Alternative Offline Advertising Media and Mass Online Advertising

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Alternative Offline Advertising Media and Mass
Online Advertising
Chapter Thirteen
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Chapter Thirteen Objectives

• Describe various alternative media
• Realize that these media are typically
  compliments rather than substitutes for
  traditional mass media
  
• Understand value of yellow page advertising

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Chapter Thirteen Objectives

• Appreciate magnitude, nature and potential of
  internet advertising
  
• Understand how internet advertising differs from
  conventional mass-media advertising and how same
  fundamentals apply to both
  

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Chapter Thirteen Objectives

• Recognize different forms of internet
  advertising.
  
• Appreciate importance of measuring internet
  advertising effectiveness and various metrics
  used
  
• Understand the value of targeting internet ad
  recipients and the web analytic procedures used
  to this end
  

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Alternative Advertising Media

• Two Broad Groupings of Media Alternatives
• Alternative Offline Mass Media
• Mass Online Ad Media

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Alternative Offline Advertising Media

• Product Placements in Movies
• Videos for VCRs

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Alternative Offline Advertising Media

• Virtual Signage at Sports Stadiums and Other
  Venues
  
• CD-Rom Advertising
• Yellow Page Advertising

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Product Placement in Movies

• Evidence of effectiveness of such advertising is
  limited but growing
  
• Building Brand Awareness, as well as enhancing
  recall
  
• Peripheral Route of persuasion
• Little to lose and more to gain by using this
  form of advertising
  

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Product Placement in Movies

• Capturing key visual and audio information about
  a brand and distributing this info to customers
  as videotapes
  
• Limited research to verify effectiveness of
  video advertising
  

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Product Placement in Movies

• Firms in the industry maintain that it is more
  effective and less expensive than print
  brochures
  
• More entertaining and so more capable of
  capturing attention
  

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Virtual Signage

• Some brand logos seen at sports venues on t.v.
  are virtual (i.e. computer generated image)
  
• Imagine Video Systems and Princeton Video Image
  charge about 20,000 for a half-inning of
  national baseball coverage
  

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CD-ROM Advetising

• Increasing use of medium to present consumers and
  B2B customers with detailed product information
  
• Automobiles and Vacation spots
• B2B marketing
• Retailers are using CD-ROMs to advertise
  products
  

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Additional Alternative Media

• Creative Advertisers have virtually unlimited
  sources to convey messages
  
• The Fruit Label Co. has used vegetables and
  fruits to carry ads for movies
  
• Levis advertises 501 jeans on the back of comic
  books

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Car Advertising
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Post-it Advertising
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Yellow Page Ads

• Yellow Pages is an advertising medium that
  consumers turn to when seeking a product or
  service and are prepared to make a purchase
  
• Annual revenues of 14 billion.
• Both local and national advertisers use the
  service
  
• Young. Professional and educated demographic

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Yellow Page Ads

• Reasons for using Yellow Pages
• Saving time spent shopping around for
  information
  
• Saving energy and money
• Finding information quickly
• Learning about products and services
• 60 of American Adults use yellow pages at
  least once

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Yellow Page Ads

• Yellow pages differ from other ad media
• Unlike other media, yellow pages costumers
  actively seek ads
  
• Advertiser largely determines quality of ad
  placement by the actions it takes
  

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Yellow Page Ads

• Yellow pages differ from other ad media
• Clear-cut limits on possible creative
  executions
  
• Method of purchase (i.e. purchased for full
  year).
  

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Mass Online Advertising

• Internet not replacement but key element of IMC
  programs
  
• 60 of U.S. households have internet access
• By 2005, online spending will represent 8 of
  overall advertising and amount to 16.5 billion
  

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The 2 Is of the Internet

• Individualization
• Refers to the fact that the Internet user has
  control over the flow of information
  
• Interactivity
• Allows for users to select the information they
  perceive relevant for brand managers to build
  relationships with customers via two-way
  communication.

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Internet Advertising Formats

• Websites
• Users seek out web sites in a goal-oriented
  fashion
  
• Movie web sites play prominent role in
  predicting box-office performance
  
• Form follows function

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Internet Advertising Formats

• Banner Ads
• Equivalent of 30-second T.V. ads
• Who pays attention?
• Nielsen/NetRatings Average click rate of
  2001 was 0.49
  
• Exposure not equivalent to attention

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Internet Advertising Formats

• Pop-ups
• Ads that appear in a separate window out of
  nowhere

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Internet Advertising Formats

• Interstitials/Superstitials
• Interstitials
• Ads that appear between two content pages
• Superstitials
• Short animated ads that play over web page

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Internet Advertising Formats

• Site Sponsorships
• Advertiser is a partial or exclusive sponsor of
  a Web site and benefits from the visitations to
  the site
  
• Ex. IBM paid 1 Million to be sole sponsor of
  National Football Leagues http//www.superbowl.co
  m

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Measuring Internet Ad Effectiveness

• How many people clicked through a particular web
  ad?
  
• What are the demographic characteristics of
  these people?
  
• How many visited a particular Web site?
• What actions were taken following click-throughs
  or site visitations?

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The Tools of Internet Audience Measurement

• Log file analysis
• Surveys of sample users using recall
  measurement
  
• Electronic measurement of a sample of internet
  users
  

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Log File Analysis

• Examining server log files
• Tracks machines
• Provides no information about the people who
  request particular files
  

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Surveys

• Using survey methods to obtain information about
  consumers Web-site usage activities along with
  demographic psychographic characteristics
  

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Surveys

• Problems
• Memories are fallible
• People overstate their usage of popular Web
  sites and understate usage of less-popular
  sites
  
• People often provide responses that put
  themselves in positive light
  

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Electronic

• Media Matrix Nielsen Media Research
• Software tracking meters

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The Metrics of Internet Advertising

• Click-through rates
• Cost-per-thousand impressions (CPM)
• Cost-per-thousand actions (CPA)

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The Metrics of Internet Advertising

• Click-through rates
• The of people who are exposed to a banner ad
  who actually click their mouse on the ad.
  
• Banner ads can have effect without a
  click-through needed.

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The Metrics of Internet Advertising

• Click-through rates
• The of people who are exposed to a banner ad
  who actually click their mouse on the ad.
  
• Banner ads can have effect without a
  click-through needed.

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The Metrics of Internet Advertising

• CPM
• How much it costs to place an ad on a particular
  Web site.
  
• Opportunity to see

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The Metrics of Internet Advertising

• CPA
• Number of users who
• Actually click on a banner ad,
• Visit a brands Web site,
• Register their names on the brands Web site,
• Actually purchase (electronically) the
  advertised brand.