Online Advertising and the Consumer

Advertising offline whether it is radio, TV or print media still has its benefits. However, Online advertising is not only attracting more and more businesses but effectively impacting offline advertising media. This article is not about the benefits or the systematic downfall of expensive offline media. It is about the benefit of taking advantage of effective online marketing/advertising strategies.

Marketing Online With The Big Boys

I read a phrase very similar many years ago and can’t give proper credit but was a phrase well worth remembering. And it still holds true today. “Never before has there been so much exposure to so many for so little”. I would simply add time and money to the end of that last sentence and it hits home like a brick through a window.

Today if done properly you can create an inexpensive website and put all the information you can come up with on it. Unlike printed business cards, postcards, brochures, magazine and newspaper ads, radio and TV ads, you can make changes as often as you need for no additional cost. You can make those changes 24/7 and not have to rely on anyone to do those changes.

You can market to the world wide Internet or to a specific niche group or simply to your local area all online.

Your Website Is The Most Powerful Marketing Tool Your Business Will Ever Have!

Think about it.. Practically every household and business not only has one but two or more computers. Consumers don’t just shop from home online anymore they spend a secret amount of time at work shopping online as well. This is a big boon for you to make sure your website can be found online for your product(s) and/or services.

Now That You Have A Website

All too often when I speak to a business owner, they are usually disappointed in the performance of their website. Not because they got a terrible website that couldn’t capture a sale or lead if they tried. Although that has happened. It’s because they did not know or were not properly informed that once they have a website they now have to take steps to put their website directly in the pathway of interested consumers looking specifically for their product(s) and/or services.

Many retailers, small and large get the sit and wait syndrome. Websites are not like retail brick and mortar stores. You can’t just put your open sign on the door and just wait for customers to come in.

It’s all about traffic, and on the Internet the way the search engines are set up, If you are not indexed by a particular search engine, you won’t even be known by them. In addition if you don’t rank within the top 10 positions you’ll likely never receive any sales or leads. So understanding your next step of advertising online effectively is more important than you probably knew in the beginning.

For those of you that do know this already, then you will need to understand the foundation of good Website optimization and learning how to develop proper ranking techniques.

Do It Yourself Marketing

There are so many good articles on how to optimize your website, how to get your site indexed fast and avoid the Google sandbox, how to submit articles, how to create blogs, join forums, how to social network, it’s all there and you as a do-it-yourselfer have to organize it and move on it. You can read all you want but if you take no action you are simply doing busy work to avoid the reality of doing. Why, chances are it’s hard to get started, it’s hard to figure out exactly where to start, It’s hard to come up with articles to submit, it’s hard to optimize your website, it’s hard to know what to optimize and it’s simply too much time and effort for most people. It’s not necessarily a science but it is an art-form or craft and if you don’t have the time or energy, you might consider using an online advertising professional.

Cost of Using an Online Advertising Pro

It seems these days that everyone is getting in on the act. Newbies claiming to be SEO Experts. Established Advertising Agencies and Corporations realize that much of their profits are being lost to online advertising agencies. Where do you find the right help and how much should you pay?

My experience has been that the larger and more expensive the company is not necessarily the best way to go. I’ve found through years of experience that it’s usually all about overhead and expenses. This will determine the cost of services. Just think about it. Let’s compare a real life scenario.

Two guys meet by chance at a chamber of commerce gathering. They’re both in the same industry. Webdesign and SEO services combined. They eventually become good buddies and share everything. They are currently both employed by two of the largest Web development companies in their particular city. One after about a year chooses to go out and start his own business, and simply works out of his apartment. The second one is still receiving a decent salary of around $40,000 per year.

The independent SEO Expert now is on his own, his investment is minimal, computer, printer and desk. He creates his own website and starts to optimize and rank his website. Within 60 days he’s ranked on the number one page of Google right along with the same business website that his buddy is working for.

The Entrepreneur charges 65% less for the same services as the bigger established company. Remember they have the same talent and knowledge. Lets say that the fee for simplicity is $1000 for the selected service. The entrepreneur charges $350 and the corporation charges $1000 for the exact same service.

Why the difference? It’s all about overhead, the corporation has expenses, salaries, leases, rents, utilities, taxes, workers comp etc. not to mention the profit that they want to achieve. That’s what you’re paying for. Now why can the entrepreneur charge so little, because his overhead and expenses are seriously less! Same service less price. A lot of people don’t get this.

Well the next obvious question is how do you determine who is just as good as the big boys out there? I have a simple test, ask if they are ranked themselves on the number one page of Google for their business. If they are not, then don’t use them and move on. You will find the right one eventually. Take a look at their portfolio and see how many clients they’ve ranked as well. This is a big indicator that they know what they’re doing.

However, don’t be too whimsy, do your homework and you should be fine. Ask all the questions you like and if they seem confident and know what they’re talking about, go for it… if not move on. Remember its your business so be smart and frugal but don’t just shop by price. The good ones are few and far between but you can find them.

What about the small SEO Expert that wants to charge as much as the Big Boys? It’s always your choice. It’s either a difficult job or he’s gouging you trying to make a killing off of one project. Be smart and use your common sense.

Online Advertising – Ads Placement Made Easy

You have a great program to promote and you have tons of faith in it. You can see the path to success and financial independence opening up in front of you.

Now all you need is getting your advertising campaign running but you’re worried that you’re going to have to spend thousands to make an impact right? Nothing could be further from the truth and there are plenty of cost effective  online   advertising  opportunities out there for network marketers at all levels.

A step that most people forget is checking with your upline to see what  online   advertising  methods they use. Don’t go reinventing the wheel if other people have already done the hard work for you – always try to learn from the experience of others.

So how do you get your message out there for the online audiences to see? What kind of advertising opportunities are there for you?

Here’s a few to get you started.

Press Release One of the first steps you should take is to write and publish a press release for your new networking marketing business. A well written press release that inspires and motivates people and then presents them with a call to action is a real winner. If you’re really lucky your press release could be featured on a major news aggregation site and the resulting traffic and leads can be overwhelming. The single best paid press release service is PRWeb.com where a basic press release will cost $80. If you’re working with a very tight budget then there are plenty of free press release websites that you can use instead.

Get Blogging Whatever you’re doing online you need a blog and if you want to truly carve out your own niche in the networking marketing world then a blog is a necessity. Ideally you’d have your own blog hosted on your own domain name – something like “NetworkingMarketingExcellence.com” and you could then use it to blog and video blog about your product or network marketing program.

Blogging offers you a way to create free search engine traffic and leads and doing it is actually fun. If you’re working with a limited budget then at the very least sign up for a free blog on WordPress.com or Blogger.com – you can achieve most of the same results with no outlay at all.

Video Web based video was a niche for computer super geeks maybe 8 years ago. Now if you’re not using video as part of your business model then people are asking “Why not?” YouTube offers you the ability to share your marketing message with the billions of people who are online right now and best of all it’s 100% free.

If you’re worried that you lack the technical savvy get it all working then don’t. If you have a webcam, some basic screen recording software and a microphone then you’re good to go. One single, well presented YouTube video can generates millions of views. Now ask yourself what would 1,000,000 potential leads mean to your income potential and your downline?

Facebook Page Social media is a great way to help you build your networking marketing business and Facebook is one of the best ways to get your message out there. You’ll find plenty of existing networking marketing groups to brainstorm with and with the right approach and some thought a good Facebook page promoting your products can attract tens of thousands of views. Facebook is more about relationship marketing then just being a hard sell so it’s ideal way for sharing networking marketing information with a massive audience.

There are lots and lots of places to  advertise   online ..If you ask people where to  advertise  a product or service, most would simply say Google, right? Well now days Google makes it hard for us to advertise on their site, they have so many rules. And most of us, like myself have been black listed from Google AdWords, which is very disappointing because that’s where all of my leads are coming from.

But Never Fear! The simple stand great way to find places to advertise is through the use LeadTail.com. Just like Google, but they give you over 2000 places to compare. These are places you can buy advertising, they give you the results for your niche. You just put in your niche keyword into the search bar and they will give you the results.

They will offer a few different ways to advertise, but I wouldn’t recommend the use of CPM (Cost per thousand impressions), but use CPC – Cost per click instead, because That way you only have to pay when someone goes to your site not just when someone looks at your ad.

You don’t need a huge  advertising  budget to get your networking marketing business started and to start  advertising   online  – you just need to think smart and work hard.

I have given you plenty of places to for you to get started advertising. Knowledge without application is not going to get you anywhere, so go out and start placing those ads.

Why Is Online Advertising So Hot?

 Online   advertising  is the buzz word now-a-days amongst advertisers and businesses trying to appeal to masses and it ought to be, with 1.14 billion people worldwide having access to the internet and number continuously growing day by day,  online   advertising  provides an unlimited potential for businesses of all kinds to expand their client base and boost their profits. From a kid to a teenager and from an adult to a sixty year old man everyone uses internet to access relevant information about various products and services, thus internet allows a opportunity to market your product to the masses and the only way you can tap into this is by  online   advertising .

A major factor contributing to the rising popularity of  online   advertising  is the fact that compared to traditional media;  online   advertising  is far cheaper and can produce almost immediate results. And in  online   advertising  you get to appeal to people who are interested in your products by placing your ads on the sites offering products/services relating to your field and also you can select keywords for which your ads will appear on search listings and optimize your site according to the keyword specific to your business, so that it features in top search listings.

Compare this to the traditional media where you can just make a blind guess as to whether the product you are advertising for reaches intended audience. Take for example a television advertising, there are good chance that you are appealing to audience in which majority are not interested in your product or cannot afford it or even they changed the channel while your ad was telecasted or perhaps no one was present when your ad appeared. In fact according to Greg Stuart of Interactive Advertising Bureau, every year around $220 billions of advertiser’s money worldwide, is spent on ads that reach wrong audience or no audience at all.

Now on the contrary if your ad appears on the websites and relevant to your field of business and in search listing for keywords relating to your field, then you can be sure that at least you are targeting the audience that has already shown interest in the product/service related to your field. This could be the biggest plus offered by  online   advertising  as it allows you to select the criteria for which you ads appear and that too at a lower cost compared to traditional advertising.

Some may argue that the cost advantage held by  online   advertising  will not last longer as it becomes more popular marketing tool and an increasing number of businesses take plunge into  online   advertising . They might be right but  online   advertising  has many other factors that make it more of a viable option. In  online   advertising  arena you can appear to specific audience not only on the basis of keywords but also on the basis of geographies. Thus you can have your product appeal only to the audience in a particular geographical region in the world. So  online   advertising  not only allows you address a broad audience but it also allows you to address specific audience in a particular geographical region.

 Online   advertising  reveals right information to the relevant audience instead of just blindly targeting a broad audience. Also unlike traditional media where advertisements are considered nuisance by user, online advertisements tend to be considered more of a source of information. Thus propensity of an user clicking on your ad is higher if your ad appears to be a source of relevant information an user is looking for.

With more efficient and constantly improving internet technologies you can realistically track the number of users visiting your sites after clicking on your ads, Google AdWords is a very good example of this. Thus instead of empty guesses you can have realistic estimates about the effectiveness of your advertisement. So now a company can allocate their advertising budget more appropriately rather than just allocate an arbitrary amount, not knowing whether it can produce measurable returns or not.

And all these factors are contributing to rising popularity of  online   advertising  and increasingly more and more companies are looking towards increasing their spending on  online   advertising . In fact according Interactive  Advertising  Bureau  online  ad spends hit $17 billion in 2006 and are set to rise even higher in 2007, so for those of you thinking that  online   advertising  is hot, its set get even hotter.

Online Advertising Explanation

The 21st century has been an era of technological advancement, and this is most evident in the exponential growth of the Internet. As such, nearly every kind of service or activity can now be transacted over the web including advertising – which is quickly shifting focus from more traditional means like print, TV and radio to its contemporary version – online advertising.

Online advertising in a nutshell

The term itself is pretty self explanatory, if you think about it. It’s advertising done online – the kind that involves not TV, or radio or print media to promote products and services, but taps into the power of the Internet to get their message to the right recipients.

Advertising via the web takes full advantage of the Internet’s boundless scope and immeasurable potential to reach not just the target market but also anyone and everyone who is electronically connected, making it an advertising medium that many companies are exploring and developing at an incredibly rapid pace.

It’s the trend

Though research data has yet to clearly illustrate the true effects of online advertising, it has already grown in scope and influence continuing to eat up a greater portion of the advertising dollar.

Recent trends point to more and more people shifting focus from popular media such as TV, radio and newspaper to the fast-paced world of the Internet, where information-gathering, communication and socialization zips by at a rate of gazillions of megabytes of data per second.

This trend is causing more of those advertising dollars to be poured into online advertising. In fact, in a period of five years, between 2006 and 2010, the budget for this mode of advertising has doubled in size, from 6 percent of all money spent on advertising to 12 percent or more. This is already pointing to a clear and fundamental shift in the way advertising money is being spent and is going to be spent in the years to come.

Advantages

Advertising over the Internet has become a major draw for companies looking to push their products and services into consumer consciousness. First, marketing over the Internet reaches a greater number of young adult males – a prime demographic that advertisers need to target.

Second, ads over the Internet have the functionality of hypertext linking, which allows advertisers to transport consumers directly to the company’s site – especially useful for sites that sell products.

Finally, companies have the option to go for pay-per-click ads. This means that the company does not have to pay any advertising fees if users do not click on the ad, making this kind of advertisement a truly cost-effective method.

Online Advertising for Greater Visibility Online

Establishing a strong presence online is one of the first and foremost criteria for any website. To do this, most sites employ the usage of  online   advertising  techniques which help to spread the word and propagate the business effectively.

Classifieds

If you thought classifieds were ubiquitous pieces of textual ads which never did any business good, you’re wrong. Classifieds represent great  online   advertising  tools which are sure to boost revenues. The best thing about these is that they are completely free of cost. So you get to access large scale publicity without having to spend a dime!

Improving conversion rates

Your businesses’ success online depends on the sales conversion statistics. If you have a large influx of traffic but not much sales, it can really wreak havoc on your business. The key is to find strategies in  online   advertising  which help convert that visit into a sale. It is all about ensuring greater visibility and reach online. If people don’t know about your site, you can forget about sales.

Targeted traffic

It helps to leverage  online   advertising  methods which attract targeted visitors to your site. If you have large numbers of visitors to your site but no sales, it can eat into all the investing gone into improving traffic to your site. When you advertise to a niche and specific audience, you greatly improve your chances at ensuring higher sales. It’s because relevant traffic is always partially interested in your products. This way you don’t have to try really hard to convince them to buy. That’s why targeted  online   advertising  methods work best.

Large scale propagation

While it is true that niche  advertising  works best in attracting relevant traffic, it is also true that large scale  online   advertising  can help you reach far and wide. Such advertising methods target literally thousands of sites which in turn boosts the volume of traffic reaching your site. On all these sites you could place backlinks to your site which will bring about a boost in traffic.

Work smart

In the world of  online   advertising  success is all about working smart instead of working hard. Thus through clever and innovative ways you get to propagate your business while also attracting large scale traffic into your site. There are plenty of techniques to generate traffic for your site without compromising on the quality of traffic.

PPC

While PPC may remain as a fairly expensive  online   advertising  tool it certainly helps bring in the traffic. With every click you can receive virtually thousands of customers every single day. However you do need to shell out large sums of money for each click made on your site.

Banner ads

Banner ads are another great option to  online   advertising . These are the flashy advertising strips you see on the top and bottom of most sites. Very distracting and attention-grabbing, these never fail to bring in traffic. Most of the times, such ads are very interesting and generate a lot of curiosity, which makes customers anxious to want to know more about your site.

Paid Online Advertising

 Online   advertising  covers several different marketing methods – both paid and free. In this section, we will discuss some of the paid advertising options that will help you connect with local consumers.

As you know, the Internet is all about “exposure.” Since there are so many different online avenues when it comes to marketing, the most successful campaigns are those that contain a variety of methods.

In other words, don’t use just one online marketing method… use several in order to get the best results.

The best part is that even paid  online   advertising  methods are less expensive than traditional advertising methods. So not only do they cost less, but they provide better results.

Pay-Per-Click Advertising

One of the most popular forms of paid  online   advertising  is Pay-Per-Click (PPC).

If you go to any major search engine – such as Google, Yahoo, or Bing – and enter a search phrase into the box, it will return results.

The Pay-Per-Click ads are the ones in the “Sponsored Listings” section that shows up at the very top and to the right side of the results page.

This form of advertising involves creating ads based on keywords that your target market would type into the search engines when looking for your type of product or service.

Each keyword costs a certain amount of money for each “click.” The costs usually vary from a few cents to several dollars.

So every time someone clicks on your ad, that keyword price is deducted from your budget for the day.

You set a specific budget and once all of your clicks are gone, your campaign is over.

The best part is that you can target your PPC ads to only show up for users who live in certain geographical areas.

For instance, if your business only operates locally, you can set your ads up to only show up for local searchers.

Not only is this the best way to connect with your local customers, but local search terms have a much lower cost-per-click.

The first step to any successful PPC campaign is research.

The very first thing you should do is create a list of terms that describes your product or service.

For instance, if you own a day spa in Memphis, TN, one keyword may be: “day spas Memphis TN”… another could be “day spa Memphis.”

You can use the Google AdWords keyword tool to research keywords in your industry. It will tell you how many searches each phrase gets per month as well as the level of competition when it comes to ranking each keyword.

Facebook Ads

We talked about Facebook earlier, but there’s a “paid” marketing tool within Facebook as well… It’s called Facebook Ads.

Similar to PPC advertising, business owners only pay when someone clicks on their Facebook ads.

However, PPC ads are shown based on the keywords that people enter into the search box while Facebook Ads are displayed based on specific demographics that you select when setting up your ad.

Since Facebook contains a complete profile on their users – such as age, gender, education level, etc., you can set your ads up to target your exact ideal audience.

This makes it easy to set up multiple ads that drive traffic to the same offer. Each ad can be written to specifically appeal to a particular group.

The Evolution of Online Advertising Technology – Part One

Please bear with me as I go through a brief history of basic  online   advertising . The evolution of targeted  online   advertising  is interesting, because I believe the perceived harmlessness of early advertising technology and targeting tactics lulled many people into a sense of complacency or perhaps even false security.

In the beginning of targeted  online   advertising , there were banner ads. As many people recall, these were supposed to drive the Internet marketing industry in its infancy. Scads of publishers paid scads of money based on a CPI (cost per impression) model or simply paid huge dollars for banner ads and other targeted  online   advertising  on well-trafficked sites.

Then something crazy happened – nothing. It turns out that the banner advertising technology on the Internet was not the magic bullet it was purported to be. The old way of making money based on providing content (the way magazines and newspapers ran advertising) just didn’t seem to work in this context.

This new advertising technology was part of the reason for the collapse of the dot-bomb era. All the talk was about “eyeballs,” “stickiness,” “bleeding edge,” “cradle to grave,” and several other terms that, in retrospect, would have sounded more at home in a Wes Craven movie than in an emerging industry. Hundreds, perhaps thousands, of business models depended on a traditional marketing strategy working more or less the same as it always had when introduced into a non-traditional setting.

All the while, one company, originally called GoTo, then Overture, and finally bought by Yahoo!, actually formulated a targeted  online   advertising  system that worked – keyword advertising. Companies could bid on a per-click basis for certain key terms, which sent valuable traffic to its website.

Obviously, the improvement in advertising technology had to do with the model itself, which was perpetuated on relevance. By only bidding on keyphrases that you wanted, you could only pay for visitors who had already shown an interest in your products or services. This targeted  online   advertising  model was soon copied by Google, who tweaked it and made it better.

There were not many raised eyebrows at this time, in terms of privacy. After all, the user was the one entering the query, and nobody suspected at the time that search engines might one day actually create individual profiles on users. We were all just really enjoying “having the information at our fingertips” without the potential hazards of ink stains and paper cuts that traditional research required.

Google then took a similar idea a step further. Instead of just serving up targeted  online   advertising  on its home page, the company created a content distribution network called AdSense. In this program, owners of websites could sign up to have the ads placed on their sites. Google would then use a “contextual” logic to determine which ads to place where. In other words, Google would “read” the content on a page and then serve up targeted  online   advertising  in the area provided by the site owner that was relevant to the content.

There were a few missteps with this new  advertising  technology (one classic example was when the  online  version of the NY Post ran a story in 2004 about a murder victim whose body parts had been packed into a suitcase. Running alongside the story was an ad that Google served up for Samsonite Luggage). Yet this targeted  online   advertising  service also caught on, with nary a cry from privacy people. After all, you don’t have to visit the sites. And the site owners don’t have to sign you up for the service, right?

Suddenly, Gmail was offered and that raised some eyebrows. Gmail, of course, is Google’s free email-based platform. Gmail gave people an (at that time) unprecedented 1 gigabyte of email space (Yahoo!, if memory serves, offered 4 megs for free email accounts and charged people for more memory). The only caveat – Gmail would use a similar advertising technology platform as AdSense, but it would decide which ads to serve up by reading through your emails.

Well, this new approach to  advertising  technology creeped some people out, and privacy advocates were a bit more vocal about using targeted  online   advertising  by parsing through people’s emails. A California lawmaker tried to introduce some legislation preventing the practice. International privacy groups chimed in with their own concerns. In the end, however, the fact remained that one had to sign up for a Gmail account and everyone that did was (presumably) aware of how the service worked before they did sign up. So it was an opt-in system – If you didn’t want Google parsing through your email and serving up relevant, targeted  online   advertising , you didn’t have to use the service.

So there we all were, happily surfing away, not a care in the world. What most of us didn’t realize was that enough free cookies were being distributed to each of us to turn the otherwise docile Keebler elves into tree-dwelling Mafioso erroneously plotting a turf war.

These cookies, of course, are the ones that websites place on your computer when you visit – little packets of information that record your visit, and sometimes, your activity there. Certainly, there’s a legitimate reason for this. When you return to a website, it can help if it remembers your last visit and you can pick up where you left off. Assume, for example, that you were making multiple purchases from an e-commerce site and had a bunch of stuff in your shopping cart but were forced to abandon the site before completion. It’s nice to go back and pick up where you left off without having to do it all over again.

Digital advertisers, however, saw another opportunity for targeted  online   advertising . They invented  advertising  technology that would scour through the cookies on your personal machine, figure out what you liked and disliked by looking at the types of sites you went to, and then feed up highly targeted  online   advertising  based upon your browsing history. These companies included aQuantive, DoubleClick, ValueClick, and others. Of the companies I mentioned, only ValueClick is still independent. Google snapped up DoubleClick, while Microsoft snapped up aQuantive. Clearly, these companies believe in the future of Internet advertising technology and also believe in the long-term legality of this technology.

Now some real red flags were raised. I’ve written about this advertising technology before, so I’m not going to go over it all again here. Suffice to say that some government regulators were pretty skeptical about this new form of advertising technology and there have been numerous suggestions for regulation. The lack of uproar from the public, however, has not really created any backlash for the companies in question. It could be because there is widespread ignorance about Internet advertising technology (and I believe there is, based on conversations with people of average Internet experience). Perhaps a part of it is also that privacy has been eroding on the Internet one incremental step at a time.

To be continued in part two…

(C) Medium Blue 2008

Online Advertising Sinks into the Abyss!

Back in the ancient days of 1994 when Mark Andreesen and his band of hardy programmers were inventing a ground-breaking product/application/way of life called a browser, a dedicated group of entrepreneurs started publishing Netsurfer Digest a modern day “Hitchhikers Guide to the Galaxy” for the web. I subscribed to this wonderful newsletter and reference guide back in those heady days of yesteryear and have been a loyal subscriber and advocate since then. Sadly on this past Sunday I received notice that Netsurfer was moving to a paid subscription only model and would no longer be able to continue publishing their three primary newsletters by utilizing inserted ads as their sole source of revenue.

Netsurfer became the proverbial canary in the coalmine that succumbed to the hazardous winds blowing across the  online   advertising  market. They simply couldn’t build a sustainable business model via ad inserts, even by delivering a million impressions a month to an upscale, well educated, target rich demographic group. This denouement has broad implications to many who are dependent on advertising supported business models. If this wonderful award winning publication with excellent graphics, topical information delivered in snappy “let’s get to the point” journalism can’t make it then it’s time to batten down the hatches – the rough ride is still underway for  online   advertising .

What’s worse in my opinion is the founders of Netsurfer Communications said they were throwing in the towel and moving to a paid subscription model because they didn’t want to be a part of the intrusive (my words paraphrasing a bit) online ad technology that has become so “annoying.” You have to give them significant karma points for this brave stance, especially when you contrast it to the “greed is great” news that’s been hitting us all via the Enron debacle – thank God for real entrepreneurs who are putting their ethics ahead of their revenue stream, there may be some hope in the business community after all.

So, what does this mean to the broader community? It means it’s getting increasingly difficult to make a buck/euro selling advertising without selling your soul to the devil by deploying increasing invasive (does anyone really like pop ups?) technology that may irritate the hell out of your customers. Ad rates are plummeting, even the once mighty Yahoo is struggling to make revenue and their sales reps even return calls now, which is definitely au contraire to their I’m too busy to talk with customers .com glory days.

You couldn’t read a Fast Company or a Business 2.0 the last two years without reading some slick article by another reporter breathlessly telling us how the Wall Street Journal (Dow Jones) was pioneering the concept of building a viable online content subscription revenue model. This is hogwash, if we all had the type of branded content, excellent editors and the sterling reputation of one of the top five newspapers published in the world then this model would work for thousands of unique content publishers. But, most do not even have the subscriber base and branded content of a Netsurfer Digest – stay tuned to see if this model works for the Netsurfer folks (I hope so); but don’t hold your breath, I don’t think they will be ordering their $1,500. Herman Miller chairs right and left like the folks at Webvan and Quokka Sports – VC bucks don’t come around like they used to, but that’s another article.

I don’t have any silver bullets for those who are headed down the track of trying to sell advertising supported newsletters and/or shift to a subscription model. The obvious advice is this may work, but you better have other revenue sources that leverage your demographics. And, if you don’t have mutually reinforcing revenue streams, then take a hard look at your business and modify accordingly. The greatest shift in  online   advertising  is via opt-in e-mail marketing – we all want to receive information that is timely, informative and presented in a compelling manner. So, find a business model that lets you narrowcast products and services to a community of people who want to receive content (contact) from your company – good luck to all and by the way, signup for Netsurfer’s paid subscription newsletter – I did, we all have to vote with our visa cards once in a while to keep the karmic balance on an even plane.

Popular Pricing Models For Online Advertising

This article lists some of the most popular ways to charge for your advertising space include: cost per click, cost per view, cost per lead, flat rate. Examples are provided for each type to illustrate the model and its benefits.

1. CPA (Cost Per Action, Cost Per Acquisition, Cost Per Lead, Cost Per Purchase)

The advertiser is charged every time a visitor makes a transaction or purchases a product. Publishers can either set a price for each conversion or let the advertisers choose their price. Advertisers like this model since it offers the highest quality and return on investment. Advertisers often control the pricing with this model. When a purchase or lead is generated, it’s counted as one conversion and is reported to the advertiser. For an online diamond store (eg: BlueNile, Zale, etc.), a lead could earn $10 or more.

2. CPC (Cost per Click)

The advertiser is charged for each click on their ads. Click prices range from as low as 10 cents to more than $10 US dollars per click. Either publisher or advertiser can set the price. However, the concern for advertisers with this model is click frauds, which means click counters are inflated artificially to drive up the advertising cost. Publishers should use an ad server with click-fraud prevention technology to offer additional protection for your advertisers.

3. CPM (Cost Per Mille, i.e. Cost Per Thousand Impressions)

The advertiser is charged per thousand impressions. It is one of the more popular model among medium-to-large publishers. Advertisers do not have to worry about inflated clicks as in the CPC model. CPM is a very viable model when a publisher has more than 500,000 impressions per month. For smaller advertisers, number of impressions can be limited through different targeting criteria, including frequency capping, geographical targeting to prevent exceeding advertising budget and yet maintain a high quality traffic. The downside with the CPM model is there is no consideration for clicks, conversions and ultimately purchases. At a $5 CPM, 10000 visitors a month with an average of 5 view each will earn $250.

4. Flat Rate

The advertiser pays a fixed price to display ad for a period of time. This is popular among smaller publishers and advertisers because it is the simplest model with very predictable earning/expense. Publishers present their website metrics (page views, audience reports, CTRs) to the advertisers and name their advertising rates. Advertisers consider the pros and cons and make a decision to purchase an ad space for a period of time, often one calendar month at a time. Rates depend on the expected impressions, location of the ads, length of time. Since the earning is known, publishers can worry about other areas of their website. This model allows both publishers and advertisers to budget their fees and predict their profits. For example, an advertiser buys two months worth of advertising on a website with a one-time cost of $1000.

5. Hybrid or Combination of Multiple Models

With an advanced ad server, you can combine multiple pricing models to work for both sides, you and your advertisers. As an example, Flat and CPC means the publisher will have some guaranteed income (Flat) while earning extras on clicks (CPC). The pricing in this case could be arranged as follow: $500 per month plus $1 per click.

Market Targeting and Online Advertising

In this digital age, technology has revolutionized the tools in marketing and advertising. Advertising is defined as communication with the intention of persuading a target market to purchase a service, product or idea. With this electronic generation’s target market constantly enticed by advertisements left and right, market segmentation may come as a challenge, especially in an environment where market is diverse and dispersed.  Online   advertising  set the curve in advertising as it changes with the times in the fastest growing economy in the United Kingdom.

Target the Market:

A target market may be defined as a group of individuals that a certain advertiser or business is aiming its advertising efforts at to buy or support a merchandise, idea or service. Choosing the right target market would maximize the success of an advertising attempt.

Classifications of Market Segmentation:

> Geographic – market characterized by location.

> Demographics and Socio-Economic – market characterized by sex, age, occupation, income, etc.

> Psychographic – market characterized by lifestyles and values

> Behavioral – market characterized by level of loyalty

> Product Related – market characterized by relationship to a certain product

Target marketing’s principle is that those consumers specifically targeted create a strong connection and loyalty to the brand of a particular product, service or idea. To effectively promote your product, you have to know who your market is. But in this digital age, the more important question is how to find and reach your market.

The Online Advantage:

Effective advertising lies in its success in selling its ad to its target market. Times are changing and advertising changes with technology. Industries are taking  advertising   online  because the market is on the world wide web. This means  advertising  that capitalizes on interaction through  online  banner ads, social network media  advertising , direct email marketing, search engine results pages and  online  classified  advertising .

 Online   advertising  Manchester may yield fast and effective results because as statistics shows, in Europe alone, 58.4 percent of its population uses the internet everyday. Moreover, with the applications available to viewers, they can readily share ads with other users that means that you do not only sell to the market but also encourage the market to sell for you. Moreover, by engaging with social networking websites to advertise, marketing segmentation is readily available which makes advertising in Manchester, where market is diverse, easy and effective.

Why  Online   Advertising  Works:

>  Online   advertising  is big. Consumers are constantly online and are growing by the minute. Different applications, websites and platforms are developed to generate a fresh market for  advertising   online .

>  Online   advertising  is precise. Your ad is sure to target a specific group of consumers. Advertising using the internet offers systems that establish a match-up so that your market is targeted.

>  Online   advertising  gives useful information. This allows you to retrieve data on the number of people who viewed your ad, from what location, what age, socio-economic bracket, etc that could help you make more effective ads in the future.

>  Online   advertising  is cost effective. Less fees, wider range. This means that with a relatively cheap fee, your ad can reach a global market as the world wide web is your billboard.

An effective way to find and reach targeted market is to seek for audience who are actively and constantly searching for information. And that is why  online   advertising  Manchester may bring in cheap, effective and efficient results.