Monday, August 21, 2006

 

Current Advertising Model





1. A marketing partner develops a self contained, generic banner ad.

2. The banner creative is delivered to ad serving networks that track viewers across a group of web sites.

3. The ad serving network delivers the banner on the publisher website based on the network's demographic data about the viewer and advertising buy.

4. The viewer reads the targeted advertisement.

5. The ad server collects more data about the viewer and resells it to its entire client base.

6. If the viewer ‘clicks-thru’ to the advertiser’s web site, the advertiser can attempt to execute a transaction from the viewer—this ‘click-thru’ happens less than 1% of the time. Which is why banner advertising ROI is not based on direct sales.

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