The establishment of Integrity Chamber presents:

The Cost of Internet Advertising

Did you know that the U.S. has one of the largest advertising markets across the Globe? Let’s put this into a better perspective: in 2016,the cost of spending on advertisement in the U.S. was above $180 billion, which is double the amount spent in China, which by the way, has the second largest advertising market in the world. As far as digital advertising is concerned, by the year 2020, it is estimated that digital advertising expenditure would reach an estimated $223.2 Billion in the U.S.

The reason for the rise in popularity of digital advertising, in comparison to TV and Magazines or Newspapers, is because today, your average customer spends more time online than watching TV or reading a magazine. Modern technology has brought everything within the easy reach of customers, including access to product/service information, carrying out purchases and making payments online.

THE TRUTH ABOUT THE DIGITAL ADVERTISING MARKET

The world of online advertising has some interesting statistics for the business community. According to a report, online advertising forms a whopping 95 percent of Google’s revenue! Now within the category of digital advertising, you as a business have numerous advertising options to select from, including Search Engine Marketing (SEM), Email Marketing, Social Media Marketing and Display Advertisements. All of these options vary in popularity, based on their effectiveness and efficiency in reaching target customers and generating a response from the target market.

As far as the digital advertising trends are concerned, it may be of interest to you to know that display advertisements, which include banner ads, are the second popular digital advertising option in use, after SEM being the first most popular. No wonder Google earns 95% revenue from online advertising! The thing about banner ads is that they call for an immediate action from the customers and provide an option to your customers for carrying out a transaction quickly. The ads can be designed to be highly creative and engaging. They can send your advertising message through animations, making the entire advert highly interesting and captivating. The best thing about them is that a single click on the banner ad will take your customers to your web page where they can make their purchase, without any further do.

This is absolutely in-line with the observed behavior of customers against online advertisements. According to a survey, about 31 percent of customers respond to online advertisements by clicking on the ad; and what better option can you give them to execute this behavior than reach them through a banner ad? Furthermore, 27 percent customers search for a product/service brand/company and 21 percent customers directly open a known company’s website, whenever they want to make an online purchase.

The above statistics clearly reflect the importance of including digital advertising as part of your overall marketing strategy, if you haven’t started already. In order to remain visible to your target market, you must place your ads where your customers are mostly found, that is, online. And since banner ads are quickly gaining popularity, we would suggest that you get some designed by us for yourself and get into the race by winning market for your products/services.

HOW MUCH DOES THE BANNER ADS COST?

By now, hopefully, you have been hooked on the idea of using banner ads as part of your online marketing campaign. If yes, then the first thing you would want to know, as a smart businessperson, would obviously be more information concerning the cost of banner ads. Before you can engage a company like Smartketer.com to design a highly effective banner ad campaign for you, you would want to know how much, exactly, would this move cost your pocket.

Placement of your Banner Ad – Website Ranking Affects Banner Ads Cost

Just like everything else, the cost of banner ads depends upon the quality you get in return. If you browse around, you can get rates as low as 50 cents per thousand impressions (CPM). ‘Impression’ is concerned with the number of times your banner ad gets displayed. So, for 50 cents, you can have your banner ad displayed 1,000 times. However, the banner ads cost is directly proportionate to the ranking of the website on which your ad gets displayed. When you choose to place your banner ad on websites which rank higher, the cost increases accordingly.

If you chose a popular search engine such as Yahoo!, for your banner ad placement, you can get charged somewhere between $20 to $50 per 1,000 impressions. However, with such companies, you have a restriction of purchasing a minimum number of impressions. For example, you may need to purchase a minimum of 100,000 impressions from Yahoo!. On the other hand, such companies also offer discounted packages and bulk package deals that you can avail and save up to a great deal, on the overall cost of banner ads.

A homepage banner ad costs about $450,000 per day on Yahoo! and a YouTube homepage banner ad, containing a video, would cost about $400,000 for a day. Placing your banner ad on Facebook logout page can cost you about $100,000.

Our cost is less than 2% of that and we own more 7,700 webpages. Imagine what can you get with less money. This is a great way to promote your business and stand out of the crowd. Are you committed to a integrity? Join us at www.integrityChamber.com we can help.

Document Courtesy of our Integrity Chamber CEO, Cornell U. Kay.

More information, a contract and compensation method will be provided upon request.