2005 The Turning Point For Online Ads
An anonymous reader writes "Google's advertising sales vice president, Tim Armstrong, said this week in an interview that 2005 was the turning point for online ads. Older businesses went from trying out the internet as an advertising venue to investing full-on." From the article: "'The experimenting and testing phase begun in the 1990s has ended. Corporate ad buyers are investing now,' he said. Jupiter Research estimates the U.S. online advertising market will grow 28 percent over last year, to $11.9 billion in 2005, moving to $13.6 billion in 2006 and $15.1 billion in 2007."
that a good bit of the Firefox users (about 10% of the online browsing community, if I remember correctly) use the Adblock, Flashblock and NoScript extentions. We were largely ignoring them before, now we are even seeing them. I wonder if investors are taking this into consideration or are they fishing for the IE masses? It's only a matter of time before non-tech savvy grandmas and the like are going to start using Firefox in order to cut through the craptastic ad-laden world that is viewed through IE. (Not to mention the IE vulnerabilities)...ugh.
"I know that 50% of my advertising is wasted. I just don't know which half" - John Wanamaker 1886
Thankfully, Adblock works rather well, filtering out visually disturbing ads from actually useful and/or entertaining information on the web.
this kind of hype reminds of the dotcom bubble that exploded some years ago :p
...)
i think thinkgeek.com does experience increased sales from online ads, however regular industries that dont push their online services, hardly gain anything, most of what's seen on the screen is forgotten when you turn it off. if you think it's some other way around, tell me what was the 5th banner back that you saw on slashdot.
currently the webservices have increased into a more mature stage, but i still think it will just explode like the previous bubble, only this time it will take longer (and since big time investments are in here, it will hurt more).
ps. the money is being spent into google (this is the latest trend you know
I'd tell you the chances of this story being a dupe, but you wouldn't like it.
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Does anyone else think that this is partly because of text based advertisements, and also because of the "adsense" idea? They've finally made advertising that is relevant to what you're looking for.
"I have never let my schooling interfere with my education." - Mark Twain
Much like the 'blink' font tag in HTML, Internet Ads need to learn that it's important to be present, but not distracting. No self repecting web designer uses the blink tag any more. It's just too obnoxious, and actually puts people OFF of the website. Online Ad designers need to embrace this same philosophy. It is my opinion that the adblock extenion for Mozilla browsers was created because some ads are just too destracting, and make the content of the PAGE harder to read.
Rotating images/text is one thing, but blinking/flashing graphics will NEVER get me to click on the link..
-- You can't idiot-proof anything, because they're always coming out with better idiots.
Don't. Not unless you can afford establishment advertising.
Honestly. Advertising can work for the very select top tier products that become the establishment product, but in the long haul, there is only one way to make a product successful and profitable: quality.
It doesn't have to be the best, it has to work in the customer's situation. If you sell service, do it happily and as close to perfection as possible.
In all my years of being in business, I have never seen a good return on advertising that turned into a long run of regular customers. Sure, I may have seen some profits, but I also so many losses. I will never advertise again, I can't compete with Target or the like. What brings customers to my various businesses? Word of mouth. It spreads like wildfire when you perform a really good service or sell a great product.
The web is in trouble as programs like AdBlock and the like gain use. I know many of you use AdBlock, but if you use it on a website you like, turn it off. Click the damn ads. How do you think that site is being provided for? I pay as a subscriber to slashdot, and this Christmas I'm planning on giving a dozen or so subscription gifts to people on here that I admire. Sure, Taco and the boys have some nice money now, but I love the site, and I will continue to support it.
Advertising online doesn't work as well as many think it does. I've been watching the companies that have started to use AdSense within their catalogs (offering paid links to their competition). Only the top companies are making it big. I've spoken to some large bloggers (off the record) and their numbers in advertising don't make their blogging a real income. Yeah, there are a few who are making it big.
Google is taking in the most, but they have to find ways to combat against AdBlock and other ways to avoid the advertising. I don't know how they'll do it, but as I find AdBlock being used on more and more systems, I know that Google won't remain the king.
I do believe that sponsorship advertising of the web might work. Basically a monthly payment in order to say "Slashdot, brought to you by Microsoft" or something of the sort. Some podcasts I've listened to are receiving sponsorships, and they are't tacky ads but well thought out slogans or quick product placements.
if you think it's some other way around, tell me what was the 5th banner back that you saw on slashdot.
I am not sure what you point is. What is the 5th advertisement back you saw on television? Which of your relatives was the 7th birthday back? What was the 12th meal back you ate? (Yes, all of these questions sound grammatically wrong to me too, I cant quite put my finger on the correct format).
All you have done is prove that people have a poor memory for detailed facts, but if I asked you what dabs.com sell or which industry you associate nestle with, I am sure you could give me an answer. It is this kind of 'vague association' that advertising folks want to build, so that next time you need a new PC or you need to search the web you know where to go intuitively.
I happen to believe that online adverts DO serve this purpose, but I would also say that there are companies that I associate negative feelings with because their advert popped onto my screen while I was reading something important (or amusing).
If I click on an ad, order a product, get a great service, need the same kind of product again, I will probably return to that same site. Advertising may only be the first step, but it is probably the most important as without that ad I would have never have made the order or even found the site.
So details like "What was the 5th banner you saw" are completely irrlevant if the 5th banner you saw now means you associate a specific product or service with a specific company. Who cares how many adverts back it was???
.. due to an extreme focus on clicks.
Regular magazine advertisements have no direct link between the advertisement and the shops selling the products, while online advertisement do.
The problem is that for a long while, web adverts were considered useful only if they gave DIRECT hits to the target website. That is highly unfair imo. Having people SEE the banner is useful enough on it's own. It helps generate brand recognition.
I think the web sites oversold the idea of clicks so much it made companies undervalue viewings of the ads. In my opinion web ads should be more expensive per square cm per viewing than regular ads, because of the added statistical information the client gets. In addition, clicks should be rewarded.
tell me what was the 5th banner back that you saw on slashdot.
Slashdot has banner ads?
I leave unobtrusive text sidebar ads alone. For everything else, a combination of AdBlock and FlashBlock make the web FAR more tolerable.
People wonder why Google has done so well, despite having the potential to turn into the next Microsoft-like Evil Empire? Simple - They "get" it. Provide me with something useful (a great search engine), and don't deliberately piss me off to get my attention.
If EVERY single online advertiser used a small text sidebar to advertise, I wouldn't bother blocking any of them. But when some marketing "genius" decides that garish colors, loud sounds, and insanely distracting motion will make me more likely to buy their product - Welcome to AdBlock.
Of course, "unobtrusive" also includes only taking up one fairly modest sidebar with text. If I start seeing two-deep sidebars on both the left and right, along with top and bottom "side" bars, I suppose I'd have to start blocking those as well. But as long as they stay reasonable, I'll stay reasonable.
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I find it strange that we are all "worshipping" a company whose only revenue stream is placing internet ads and whose main focus is to pester us with more ads.
I think a lot of you are placing blame in the wrong places...for every company willing to pay somebody to place a nasty popup, popunder, expanding flash, spyware injecting or moving target type of advertisement, there is also a lame webmaster that actually PUTS IT on their site...so, who is to blame, the company trying to buy it, or the webmaster that puts it online? I for one never accept those types of ads for my sites, for the reason you guys site, they suck...and are even dangerous... don't hate the player, hate the game
dB Masters
Well, while I personally agree with your sentiment, it's obviously simply not true because ads sell things...false ads work...hell, look at politician ads around election time when they start getting desperate. I put your thoughts up there with many I read here, many /.ers think that everybody thinks like them, works like them and shops like them, and it's simply not true, /.ers are, on the average, more technically proficient and savvy people, most don't know HWO to block ads and many shop with them, the statistics prove it...that said, stats can prove anything with the right number-cruncher :-)
Ask any marketing dept. in the world, all you need to sell something is a catchy little phrase...
dB Masters
Image
Brand recognition
Reputation
They are all intangible but somehow people can associate a premium to them (i.e. Lexus, Cadillac, Rolex, Luis Vouton(sp?) ).
But to accountants that all means overhead in trying to achieve it, I don't think that would ever change.
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