Mequoda Daily: The Benefits of Online Advertising

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Mequoda Daily
 
Mequoda Daily
October 25, 2010

Three reasons why online advertising is valuable to online publishers

Online advertisements scared Internet users in the past. Between the spam and malware, users did all that they could to avoid these images from gracing their computer screens.

The online advertising industry has changed since then. Not to say those nuisances have been completely eradicated from the web, but more legitimate forms of online advertisements have developed.

From what I've seen this new breed of online advertising is different because it incorporates media-rich components with valuable information that aligns with the product. Some advertisements are interactive while others are thought provoking.

What's so different about online advertising now? Why is there a value behind it that online publishers should be realizing?

Three benefits of online advertising

#1: Video: Video has become increasingly popular on the web, from YouTube to Hulu. It has brought an all-encompassing feel to the Internet that people can relate to because they are able to hear and see content, instead of reading the written text. These activities engage the senses and make advertisements much more tolerable, even liked.

Furthermore, consumers are actually viewing online video advertisements. Adap.tv, the creators of the first online video marketplace and video ad platform, announced recently that they experienced "a 92% average monthly growth rate for video ad views within its marketplace since the launch in February 2010." The company experienced 440 million video ad views in September alone.

One final piece of information mentioned in the company's press release is that the online video industry continues to grow. A recent report from PwC for the Interactive Advertising Bureau (IAB) stated that there's been a "31% increase in revenue during the first half of 2010."

This has made for the video advertising industry's "highest half-year performance ever."


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#2: Content Marketing and the advertorial: Sharing content to sell content has become a positive form of marketing on the Internet. Creating an interactive or media-rich advertisement that educates and offers the opportunity to purchase an enhanced or aligned product.

The advertorial has become popular on the Internet as it continues editorial content and mixes it with advertising prowess. It's a much more logical method for promoting products opposed to those advertisers that insist on using interruptive practices that "scream" at consumers.

#3: Community: If online advertisements are creative and engaging, they may be shared through the many communities built on the Internet. For instance, Twitter is one of our top 5 traffic sources. That stat shows how influential that social network alone can be. An online advertisement that is unobtrusive yet cleverly developed may become a viral hit within your community.

There is much more to effective online advertising than the types of ads that can be created and the communities to spread them in. There are strategies for pricing and packaging ad space and for understanding the infrastructure and research required to sell effectively. For this insight, join Dan Ambrose for our Maximizing Online Advertising Revenue on November 2nd.

 

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About Mequoda Daily
The Mequoda Daily provides free, valuable tips that publishers need to build better websites. Through the Daily, publishers take advantage of sharing industry best practices with close colleagues and publishing professionals worldwide. These publishers aspire to conquer the challenges of website publishing, such as bringing print content online, creating new online revenue streams and building more profitable websites.

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