Reasons Why People Are Doing Online Advertising

Online advertisement also referred to as internet advertising. It is an advertising medium that uses internet to pass marketing information to customers. It includes email marketing, social media marketing, mobile advertising, search engine marketing and display advertising. Online advertising involves the following characters that facilities the advertising:

  1. Publisher – one who organizes the advertisements in its online content.

  2. Advertiser– who provides the advertisements to be shown in the publisher’s space.

  3. Advertising agencies – Who helps in generating and placing the advertisement copy.

  4. Ad server – who helps in delivering the advertisement.

  5. Advertising affiliates – who does marketing job for the advertiser.

Internet advertising is being widely used by many businesses and has really grown at a high rate. According to research, in the year 2011 USA generated revenue of $31.74 billion from internet advertising and has exceeded that earned from broadcast and cable television.  In 2012 there was an increase in the revenues generated about $36.57 billion.

Benefits of online advertising

  1. Cost – use of internet is not costly as compared to other advertising media and due to this one is able to display large advertisements at low cost, thus making lots of profits.

  2. Formatting – Internet advertisements provide a wide range of formatting ways to present data and those who advertise online are accessible to those ways, which help them to present their messages in a way that online users will be attracted to.

  3. Coverage – Online advertising covers a wide geographical area as compared to other advertising media.

  4. Speed – internet advertising is faster and this is a benefit to those who advertise online because their messages will reach on time to their prospected customers.

  5. Online advertising – helps one to target a group of people and this will help one be able to reach his targeted group easily.

Limitations of online advertising

  1. Customers ignoring advertisements – since customers are used in television and radio advertisements, sometimes they ignore ads online and due to this those who have advertised through it will not gain much revenue.

  2. Lots of distraction – Online advertisement has several options that distract customers when they browse online and this will discourage them from internet advertisements.

  3. Expensive advertisement prices – online advertisement prices sometimes can be expensive for a company to advertise because it will not get revenue intended for the investment.

  4. Problems with viewing – customers sometimes can be discouraged when viewing ads online because of slow downloading speed and due to this they will not be able to view what they wanted.

  5. Privacy and ethical issues – those who advertise online should make sure their adverts comply with regulations and laws of a country, have truthfulness and are able to cater to the issues raised by the customers. Customers would love a site that will not expose their private information that they give to other people.

Ways of advertising online

  1. Email marketing – A form of marketing through the use of emails.

  1. Social networking -A form of marketing that uses social sites like Facebook, Google+, Twitter etc.

  1. Affiliate marketing – This is where advertisers get other people (third parties) to sell for them and they are paid commission on sales made.

  1. Mobile marketing – A form of marketing where the advertisements are delivered through the use of wireless gadgets like Smartphones, tablet computers etc.

  1. Search engine marketing – This is a form of marketing which involves the use of various techniques webmasters use to improve their sites so as to attract more customers or visitors.

  1. Display marketing – A form of advertising where the message is delivered through the use of texts, videos, photographs, animations, logos etc.

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