Display and banner advertising – A beginner’s guide

In order to publicise a company website or promote a specific product, display or banner advertising is used by many of today’s businesses to great effect.

Traditionally, popular websites that generated large amounts of traffic would host expensive fixed price advertisements. Once this banner was in place, company’s did little more than wait for customers to click and visit their website.

Following this, performance-based advertising arrived, which the advertiser only paid for when there were measurable results. Pricing models for the purchaser were usually based on website impressions, qualified leads, banner clicks and online transactions.

Although these digital promotion techniques remain incredibly popular for a multitude of organisations, the world of display and banner advertising is constantly changing in order to stay competitive and attract potential marketers to invest.

Display advertising impressions

The most basic display advertising model is CPM (Cost-per-Mile or Cost-per-Thousand). Advertisers will pay a set sum every time a thousand website users view the banner. Although this is a common way of charging for display advertising, there is no guarantee that visitors will actively take notice or click on the banner.

What’s more, with millions of advertisements displayed on billions of websites worldwide, a thousand visits does not seem like a lot.

Therefore, advertisers have changed their approach towards web banners and are now focusing on more efficient ways of turning visitors into customers.

PPC display advertising

Since the introduction of PPC (Pay-per-click), which charges the advertiser every time a consumer clicks on the display or banner, the world of online promotion has become a lot more effective and has forced the industry to adopt a new approach.

Now advertisers can target a specific audience using relevant keywords or phrases and single out people based on age, gender, demographic area and several other parameters.

On search engines like Google, PPC display advertising will often appear above, beneath or adjacent to organic results. These are called sponsored links or sponsored ads and are a popular choice for companies looking to increase their visibility in relation to a specific keyword.

PPC advertising can also provide various financial incentives, often in the form of a percentage of revenue, to affiliated partner sites that provide purchase-point click-through opportunities to the merchant. This is of course a particular benefit to the advertiser, because if the affiliate does not generate any sales, then there is no cost.

Approach to display advertising

Other forms of web banner pricing models like CPL (Cost-per-Lead), where the advertiser only pays for qualified leads such as signing-up to an offer or promotion, are also available. However, the type of display advertising you decide to go for will depend on company objectives and marketing budget.

In order to increase sales in a rapid and cost-effective manner to guarantee a solid ROI, it is sometimes advisable to go for a PPC campaign. This way you can exclusively appeal to a specific target market and only pay for the advertisement when the user clicks on the display or banner.

However, if your intentions are to improve general awareness and increase overall visibility on a website that attracts a lot of visitors, traditional display advertising is the best option. At Mintcandy we can help you whatever your digital marketing objective may be.

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