What is Online Advertising?
Online advertising as the name suggests, is advertising over the internet. It is simply about promoting the marketers service or products on a website for the visitors to see and make a purchase. A good online advertising will catch the eye of the right kind of audience who will eventually become the customers. Online advertising’s success depends mainly on the kind of key words that are used and the landing page that it is placed. The usage of keywords is a pivotal part of the advertising . The keyword should relate more to the words that the potential customers look for in the website for a particular purchase.
Off late more of small business owners are using online advertising to market their goods and services to their target audience testing different keywords to specific pages of their website in an attempt to get more leads from their online advertising campaigns. They indeed find advertising online the best way to sell their goods or services . One major benefit of online advertising is the immediate publishing of information and content that is not limited by geography or time.
Another benefit is the efficiency of advertiser's investment. Online advertising allows for the customization of advertisements, including content and posted websites. For example, AdWords and AdSense enable ads shown on relevant webpages or aside of search results of pre-chosen keywords. Another is the payment method. Whatever purchasing variation is selected, the payment is usually relative with audiences' response.
The three most common ways in which online advertising is purchased are CPM, CPC, and CPA.
CPM (Cost Per Impression) is where advertisers pay for exposure of their message to a specific audience.
CPC (Cost Per Click) is also known as Pay per click (PPC). Advertisers pay each time a user clicks on their listing and is redirected to their website. They do not actually pay for the listing, but only when the listing is clicked on. This system allows advertising specialists to refine searches and gain information about their market.
CPA (Cost Per Action) or (Cost Per Acquisition) advertising is performance based and is common in the affiliate marketing sector of the business.
There are two types of advertising:
Contextual advertising
Many advertising networks display graphical or text-only ads that correspond to the keywords of an Internet search or to the content of the page on which the ad is shown. These ads are believed to have a greater chance of attracting a user, because they tend to share a similar context as the user's search query. Another newer technique is embedding keyword hyperlinks in an article which are sponsored by an advertiser. When a user follows the link, they are sent to a sponsor's website.
Behavioral targeting
In addition to contextual targeting, online advertising can be targeted based on a user's past clickstream. This totally depends on the interest of the purchaser who has clicked various links and sites for a specific request.
Thus with the advantages that online advertising offers, more companies are opting for such promotion rather than spending more money on promoting their goods or services.
