Give Me Media

Display ads to hold up online market? surely not
December 5, 2007, 2:28 pm
Filed under: AOL, marketing, MSN, online advertising, social media | Tags: , , , , ,

Online display advertising and online sponsorship will hold up advertising market and take the lion’s share of ever-increasing online spends. That bold assertion is the key finding of a report from Convera, a US-based vertical search firm. It cuts clearly against the rest of the industry consensus that paid search and social media will take a greater share of the online budget.

 So what’s the real beef? Well as CPM and PPC costs continue to swell, they occupy very specific niches. CPM for brand awareness and paid search for leads. But social networks lilke Facebook, MySpace and Bebo are all carving out ever larger slices of the online spend as marketers begin to understand how they can make them work to generate quality leads that are more likely to become paying customers.

 Will publishers earn more from display ads and sponsorships in 2008? The larger players, namely portals such as MSN, AOL and Tiscali will continue to cream revenue off channel sponsorships. But as social networks account for an increasing volume of overall Internet traffic (and in November accounted for over 5 per cent of UK internet traffic, overtaking webmail sites) the money will shift in line with where the lion’s share of the available advertising inventory is, meaning publishers will need to become more creative and go beyond simple display and sponsorship opportunities that were the bread and butter of the glory days of 2000.


1 Comment so far
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very interesting.
i’m adding in RSS Reader

Comment by music

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