Magazine: How to advertise online efficiently

Just like in the case of all forms of advertising, the big question about online ads is: How efficient are they? IPG Media Labs, Cadreon and Integral Ad Science prepared a study on the efficiency of online advertisements, examining the relationship between the efficiency and visibility of a banner ad, a wide-format (rich media) ad with various media elements and a video ad.

US organisation Media Rating Council specified minimum standards for the visibility of ads and for how long they can be seen. For instance at least half of a banner must be visible for minimum 1 second in order to have some kind of effect. With rich media advertising solutions 30 percent visibility is enough for a 1-second period, while users have to watch half of video ads for 2 consecutive seconds.

The study found that the length of visibility is more important than what percentage of the size can be seen. If an advertiser wants to make sure that consumers remember the ad and can recall what brand was in it, it is best if they also place their logo above the advertisement. For instance, if one quarter of a banner ad is viewed for half a second, the chance that users will remember it is 21 percent. If they see it for 4 seconds, this ratio grows to 25 percent and if the viewing time is 7 seconds, the ratio is already 29 percent. If the same ad is seen in full size for 7 seconds, 39 percent of consumers will remember it.

How can online ads be made more efficient? 1. Use video ads and leave the sound on. Consumers remember those videos 175 percentage points better where the sound is on. 2. The company logo also has to be visible because it increases online ads’ efficiency in all cases. 3. It is best to advertise in places where the ad can dominate – if an advertising space is shared, efficiency reduces. 4. Let’s place an ads where they can be viewed longer, for instance in a newsletter.