Online Advertising's in the Media Mix

As the newest media vehicle on the block (and arguably the most notorious), Internet advertising has developed a somewhat strange standing. The media regards it as a source of scandal and grasps every opportunity to expose and villainize its flaws. Consumers view it as a battleground for the forces of good and evil, harboring a love/hate relationship with the medium. They furiously dodge pop-ups and spam while responding to advertising offering value and savings on products and services purchased online.

Advertisers, too, are victims of a struggle. Theirs is an internal one. On the one hand, they recognize the value of the reach and exposure the Web can provide. They know they have a responsibility to put it to the test. On the other hand, they fear the results a poorly executed Internet campaign could produce. Trepidation comes naturally where a new medium is concerned, particularly when that medium has been the target of obloquy in the past.

A study was conducted by Interactive Advertising Bureau (IAB) and the results in this provided some strange results;

   1. When, using a static budget, optimal results are achieved when online advertising is 10-15% of the marketing mix;
   2. Adding online advertising expands reach and coverage and
   3. Increasing online allocation produces better overall results by increasing the ROI.


The table below lists the recommended allocation for online advertising in the media mix of few marketer:

                                            
 

Company                 Current      Recommended

Colgate                         7%               11%
Kleenex                         3%               10%
Dove Nutrium Bar         2%                15%
McDonalds                    1%                13%

 

So now it could be said that online advertising is the talk of town today, but the question is How to go about it. The different ways  of advertising online are mentioned below.

• PPC Advertising: Pay-per-click (PPC) advertising (also called pay-per-search or pay-for-performance) is one of the most popular methods of online marketing. PPC harnesses search engine marketing power in an inexpensive, uncomplicated manner. Instead of approaching Internet users with messages and offers unrelated to current online activities, PPC allows advertisers to get in front of searchers at the precise moment they're searching for information about advertisers' services. It's not a visual placement, and it isn't effective for promoting brand awareness or recall.

• Portal Text Links: Also widely sold on a pay-for-performance basis, text link placements on portal sites are another reliable way to drive traffic to your client's Web site or online marketing program. This placement's advantage over PPC advertising is it appears on contextually relevant branded specialty portals. Advertisers can also display a logo. Portal text links offer a combination of branding and consumer response that can enhance most any online campaign.

• Rich Media: Numerous studies confirm rich media ad formats are among the most effective for improving brand awareness, ad recall, and purchase intent -- three criteria essential to the majority of online ad campaigns and likely your client's long-term success. Whether your weapon of choice is an animated GIF or a Flash banner, incorporating rich media into your client's campaign is a great way to showcase the Web's innovation and versatility. To top it off, these placements aren't only good for branding alone.

• E-Mail Marketing: E-mail remains the most popular online activity. Over 93 percent of Internet users use it. E-mail newsletter sponsorships and PPC placement help hone in on this massive user group, enabling advertisers to greatly extend their audience reach. E-mail newsletters tend to feature very few ad placements, so advertisers can put to rest fears of being disregarded due to site clutter and other online distractions (pop-up ads, for example). This particular breed of email marketing completes a well-rounded and successful online advertising campaign.

 

Well from now on you too should use this medium along with the traditional ways. Have your say on this. Just don't sit around.