Internet Advertising

1M.P.Birla Institute of Management

A RESEARCH REPORT ON

“EFFECTIVENESS OF INTERNET ADVERTISING”

BANGALORE

A DISSERTATON SUBMITTED IN PARTIAL FULFILMENT OF THE

REQUIREMENTS FOR THE AWARD OF MBA DEGREE OF

BANGALORE UNIVERSITY

BY

LOKESH.K

Reg.No-05XQCM6041

Under the guidance and supervision

Of

Prof.B.K.Ramaswamy

M P Birla Institute of Management

Bangalore

M P BIRLA INSTITUTE OF MANAGEMENT

(ASSOCIATE BHARATIYA VIDYA BHAVAN)

#43, Race Course Road, BANGALORE. 560001

2007


DECLARATION

I hereby declare that this dissertation titled a study on

“EFFECTIVENESS OF INTERNET ADVERTISING” is the result

of my own research work carried out under the guidance and supervision

of PROF. B.K. RAMASWAMY, of M P Birla Institute of

Management, Bangalore

I also declare that this dissertation has not been submitted earlier to any

Institute/organization for the award of any degree or diploma.

Place: Bangalore

Date: (LOKESH.K)


PRINCIPAL’S CERTIFICATE

This is to certify that this dissertation entitled “EFFECTIVENESS OF

INTERNET ADVERTISING” is the result of research work carried out

by Mr. LOKESH under the guidance and supervision of PROF.

B.K.RAMASWAMY, of M.P. Birla Institute of Management,

Bangalore.

Place: Bangalore (Dr.Nagesh S Malavalli)

Date: Principal


GUIDE’S CERTIFICATE

I hereby state that the Dissertation entitled “EFFECTIVENESS OF

INTERNET ADVERTISING” is the project work carried out by

Mr. Lokesh.k under my guidance and supervision.

Place: Bangalore (prof.B.K. Ramaswamy)

Date:


ACKNOWLEDGEMENT

I am happy to express my gratitude to Dr. N. S. Malavalli, (Principal, M.

P. Birla Institute of Management) and many valuable ideas imparted to

me for my project.

I extend my sincere thanks to Professor B.K. Ramaswamy

M.P.Birla Institute of Management, Bangalore for providing me all

the Information required and the guidance throughout the project without

which this project would not have been possible.

I would also like to sincerely thank all my lecturers and my friends for

their help in completing my project successfully.

Place: Bangalore

Date: (Lokesh.k)


CHAPTER Chapter Name Page No.

1 Executive Summary 01-02

2 Introduction 03-14

Theoretical background

3 Design of the study 15-17

Statement of Problem Objective of the Study Limitations of the Study Review of literature

4 Methodology 18-20

Research Methodology Sampling Technique Sample Description Sample Size Instrumentation Technique Data Collection Tools Used Other Software Used for Data Analysis

5 Industry and Product profile 21-33

6 Analysis of Data and Interpretation 34-58

7 Hypothesis Tables and Analysis of data of data

8 Summary of Findings and Conclusion 59-64

Findings Recommendations Conclusion

Annexure

Bibliography

Contents


LIST OF TABLES

Sl. No

Particulars

Page.No

6.1 Table showing the features of the sites for hypothesis testing

35

6.2 Table showing the hypothesis testing 36

6.3 Table Showing the Gender Classification 37

6.4 Table Showing the Age Classification 38

6.5 Table Showing the Occupation of respondent 40

6.6 Table Showing the frequency and Duration spent in Surfing

42

6.7 Table Showing the Percentage of Respondents Checking Online Advertisement

44

6.8 Table Showing the Ads related to products 45

6.9 Table Showing Respondents Ranking of their preferred website

47

6.10 Table Showing No of Respondent purchased Online

49

6.11 Table Showing Percentage of various products & services purchased on Internet

50

6.12 Table Showing No of Respondents prefer and do not prefer to purchase online

52

6.13 Table Showing Reasons for Non preference to purchase online

54

6.14 Table Showing Percentage of Respondents respond to online Advertisement

56

6.15 Table showing the type of Ads respondents would like to see

58


LIST OF GRAPHS

Sl. No

Particulars

Page.No

6.1 Graph Showing the Gender Classification 37

6.2 Graph Showing the Age Classification 39

6.3 Graph Showing the Occupation of respondent 41

6.4 Graph Showing the frequency and Duration spent in Surfing

43

6.5 Graph Showing the Respondents Checking Online Advertisement

44

6.6 Graph showing the Ads related to products 46

6.7 Graph Showing Respondents Ranking of their preferred website

48

6.8 Graph Showing No of Respondent purchased Online

49

6.9 Graph Showing Percentage of various products & services purchased on Internet

51

6.10 Graph Showing No of Respondents who prefer and do not prefer to purchase online

53

6.11 Graph Showing the Reasons for Non preference to purchase online

55

6.12 Graph Showing the Percentage of Respondents respond to online Advertisement

57

6.13 Graph showing the type of Ads respondents would like to see

58


EXECUTIVE SUMMARY

Internet is fast emerging as a powerful medium of advertising in the

new millennium. With the number of Internet users increasing manifold, the

new medium is viewed as the advertiser's dream. The Internet is the fastest

growing medium in the 2000’s with millions of users and an average

estimated growth of 124% annually.

Internet advertising is becoming a part of some companies

marketing strategy- however it requires new strategies and thinking. The

benefits of Internet advertising is its ability to cover people from different

geographical area with varied tastes and preferences.

This study is descriptive study and the sampling technique here

used is convenience sampling. The sample size is 100 selected from the

population of Bangalore City. The data is collected with the help of

structured questionnaire, which includes open end and close-ended

questions.

Here the Hypothesis Testing is done with the help of the Chi-

square test, this is to test the relation ship between the two attributes.

Here the attributes are Features and Effectiveness of Online

Advertisement.

The next step in the research process is Analysis and

Interpretation of the Data collected from the respondents. This Analysis

and Interpretation is done with the help of Graphs and Tabulation, They

are prepared with the help of MS Excel software.


With the help of Analysis and interpretation the findings are drawn

which includes whether consumers are aware of online advertisement, do

online advertisement effect their purchase behaviour.

With the critical Analysis and Interpretation the Suggestion’s are drawn

on how to improve Online Advertisement in order to attract much of the

viewership and to increase the purchasing efficiency and also to improve the

methods of online advertisement.

Finally a conclusion, where the briefing and the topic aspects is been

given with few suggestions, finally concludes the Project Report.


THEORETICAL BACKGROUND

Marketing is more than just distributing goods from the manufacturer to

the final customer. It comprises all the stages from creation of the product and

the after- market, which follows the eventual sales, advertising plays a very

important role in this process.

The product or service itself, its meaning, packaging, pricing and

distribution, are all reflected in advertising, which has been called the lifeblood

of an Organisation. Without advertising, the products or services cannot flow

to the distributor or sellers end on to the consumer of or user.

The need for advertising developed with the expansion of population

and the flow of towns with their shops and large stores, mass production in

factories, infrastructure to deliver goods & services and increasing level

education. Advertising grew with the development of media, such as the

coffeehouse, newspapers and the arrival of advertising agencies.

Definition: - The institution of practitioners in advertising defines "advertising

presents the most persuasive possible selling message to the right prospects

for the product or service have the lowest possible cost".

What is Online Advertising On line advertising is similar to other forms of communication except for one

critical difference that is Internet. Consumer behaviour follows a model

radically different from traditional advertising media. This model can be

explained as the progression 'Awareness - Interest - Desire - Action'. All these

activities occur simultaneously in Internet advertising. Online advertising


entails, placing of electronic messages on a web site or email platform which

achieves the following purpose-

Generates awareness for the brand.

Stimulates interest /preference for a product or service.

Provides the means to contact the advertiser for information or

to make a purchase.

History of Internet Advertising Advertising has faithfully served the print industry for 200 years, and was

applied to the Internet with every expectation of success. Web advertising

began with Center and Siegegl’s in famous Green Card Lottery message on

the Usenet site in April 1994 and was followed in October by advertising

placements for AT&T, MCI, Sprint, and Volvo on Hot-wired and finally the

idea caught on. The Advertisement grew in sophistication, and today there

are Static, rotating, scrolling, animated, flash and interstitial banner ads all

which are designed to generate traffic, increase brand awareness and

generate leads and sales.

Internet companies were founded on advertising revenues, and for some

years the companies prospered.

Rate depended on: -

i. The Type of advertisement.

ii. Where it appeared on the WebPages.

iii. How it integrated with content.

iv. How well it matched the advertiser’s target audience


Online advertising has to offer:

1. Scalability - Like television commercials, it doesn't cost very much to

increase the reach of an online ad campaign. There is no need to print

additional copies of a magazine, or to create and mail

direct-mail pieces.

2. Hot demographics - The online community is more affluent, better

educated, and younger and more willing to spend than the population at

large. More and more people go online and the number is ever increasing.

3. Targeted messages - Unlike broadcast and print media, the Internet

allows advertisers to target exactly who will see their ads, and in what

context. Web publications serve every conceivable audience, from the mass-

market obscure niche groups. Beyond that, the technology leads target

customers by their computing platform (PCs or Macintoshes), Web browser

(specific versions of Netscape Navigator or Microsoft Internet Explorer),

domain type (. com, .edu, .gov, .mil, or .net) or individual domains (America

Online, IBM, Prodigy).

4. Broad and flexible reach - While the Net cannot yet match

television's market penetration, the size of the online audience is growing very

quickly. More importantly, because you buy online ads by the impression, you

can buy as much or as little of that audience as you desire. And that's true no

matter how popular or specialized the site on which your ads run- as a rule,

advertising costs depend on how many impressions you buy, not on the size

of a site's audience.


5. Cost-effective - Partly because you pay only for exactly what

you're getting, online advertising can be extremely competitive with other

forms of advertising. If you buy 1,000 ad impressions, for example, you know

that exactly 1,000 people will see your ad.

6. Detailed tracking and measurement - Compared to online

advertising, traditional media advertising is like shooting in the dark. The Web

allows advertisers to gather detailed information on who saw an ad,

when, in what context, how many times and so on. Better still; you get this

information instantly, not weeks later when it's too late to adjust your

campaign. Of course, not every site currently provides this level of feedback,

and not every advertiser knows what to do with it. Over a

period of time, however, this is likely to become one of Web advertising's

most important competitive advantages.

7. The ability to extend the transaction- Traditionally, advertising

was a one-way mechanism. Apart from techniques like toll-free numbers

pitched in infomercials and mail-in coupons in print publications, there was no

way for customers to act on the information in the ad. On the Web, though,

interested customers can click, learn more, and actually buy on the spot.

There's simply nothing more powerful.

8. Good Creativity - Creative Design of Home page is very important

for the surfer to get hooked on to the site. Within seconds the user should get

an idea about the site and where to go within it. If the opportunity is missed

the user many never return.

Hence Content is King Content is the most important element of a

site. Content rich Web pages lure users. The value on the web is information.

The beauty and challenge of the Web is that it gives the user, the ability to

personalize non-static information and choose exactly what she sees.


Unlike commercials or print ads, a Web ad banner is only the

beginning of the process. While your banner may present only your branding

message, interested prospects can always click on it to go directly to your

Web site. Once there, they can access as much material on your company

and products as you care to present.

Graphics & the visual elements also play an important role in the users

decision to stay or leave. Use of creative concepts, colors, movement &

sound enhance the chances of the user staying longer on the site.

In addition to all this the creators of web sites & on line advertising

must take into consideration the factors like

a) How fast does the site download,

b) How easily navigable the site is,

c) What is the domain name,

d) What are the other publicity & advertising activities which building

traffic to the site?

If all such parameters are considered while selecting the web sites for

online advertising, the impact of such advertising will definitely be felt. Online

advertising is one medium, which helps to generate awareness about the

brand being advertised, it can help in creating an image, it helps in educating

the audience and also builds interactivity & direct response. No other

traditional medium has the ability to give all of this.

We are still at the experimental stage but many clients have already

started allocating a budget towards online advertising & web is being

considered not only as an advertising medium but also as a marketing tool.

Hence online advertising, though slow to take off, will definitely be a medium

of the future.


INTERNET INDUSTRY IN INDIA – A SNAP SHOT

ISP Licenses issued

600

ISP Licenses surrendered

198

Existing ISP Licensing

450

Operational ISP’s

250

Cities covered

400 approx.

Cyber cafés/Public access kiosks

12200 approx.

Internet subscribers

4.2 million

Operational international gateways

65 approx.

Estimated Employment Provided

1,150,000

Total investment made on ISP

Rs.6000 crore

Estimated investment made on Equipments by ISP

Rs.2500 crore

Approval for setting up ISP

100+

ITSP licensing issued

100


Growth of Internet Subscriber Base in India

Month Year Subscriber base (in millions) Aug-95 0.01 Mar-96 0.05 Mar-97 0.09 Mar-98 0.14 Mar-99 0.28 Mar-00 0.9 Mar-01 3 Mar-02 3.2 Mar-03 4 Mar-04 4.2 Mar-05 7.2

012345678

2000 2001 2002 2003 2004 2005


Advantages of Online Advertisement

1. Target Marketing: - A major advantage of the web is the ability to

target very specific groups of individuals with a minimum of waste coverage.

In the consumer market. Through personalization and other targeting

techniques, sites are becoming more tailored to meet once need and want.

2. Message Tailoring: - As a result of precise targeting, messages

can be designed to appeal to the specific needs and wants of the target

audience. The interactive capability of the net makes it possible to carry on

one-to-one marketing with increased success in both the business and the

consumer markets.

3. Interactive Capabilities: - The interactive nature of the web leads

to a degree of customer involvement. Site visitors are already interested

enough in the company and/ or products to visit.

4. Information access: - Perhaps the greatest advantage of the

Internet is its availability as an information source. Internet users can find a

plethora of information about almost any topic of merely by conducting search

through one of the search engines. Once they have visited a particular site,

uses can garner a wealth of information regarding product specification,

costs, purchase information, and so on. Links will direct them to even more

information if it is desired.

5. Creativity: - Creatively design sites can enhance company's image

leading to repeat visits, and positively position the company or organisation in

the consumer's mind.


6. Exposure: - For many seller companies with limited budget the

www (world wide web) enables them to gain exposure to potential customers

that heretofore would have been impossible. For a function of the investment

that would be required using traditional media, companies can gain national

and even international exposure in a timely manner.

7. Speed: - For those requiring information on a company, its

products, and /or its service offerings, the Internet is the quickest means of

acquiring this information.

Disadvantages of Internet

1. Measurement problem: - One the greatest disadvantage of the net is

the lack of reliability of the research numbers generate. A Quick review of

forecasts, audience profiles, and other statistics offered by research providers

will demonstrate a great deal of variance leading to a serious lack of validity

and reliability. One of the industry's largest and most sited trade publication

has written an expose of a heavily sited Internet research company, referring

to the number it provides as "scary" feathers have stressed concern over the

fact that most sites figures or not audited, which mainly to rampant cheating in

the respect of the number reported.

2. Audience characteristic: - Due imparts to the accelerating growth of

the net, audience characteristic change quickly. Numbers reported may be

completed quickly and are often vary from one provided to the next.


3. Web Snarl: - At times, downloading information from the net takes a

long time. When there are a number of users, the time increasing and some

Sites may be inaccessible due to too many visitors. For many users who

expect speed, this is a major disadvantage.

4. Costs: - The cost of doing business on the MAT continues to increase.

While it is possible to establish a site in expensively, establishing a good side

and maintaining it is becoming more and more costly. As noted earlier , Levi’s

for the cost of maintaining a site is considered "world-

Class " was prohibitive and one of the reason for abandoning its E-commerce

efforts.

5. Limited production quality: - Although it is improving, net advertising

does not offer the capability of many competitive media for a production

standpoint. While the advent of advanced technologies and rich medium is

narrowing the gap, the net still lags behind some areas.

6. Poor reach: - While the Internet numbers are growing in leaps and

bounds, its six is still far behind that of television. As a result, interest

companies have turned to traditional medium to achieve reach and

awareness goals. In addition statistics says that only a small percentage of

sites on the Internet are captured and that the top 50 sites listed account for

95 percent of the site visited.

7. Language: - If I am selling the goods through the media the buyer

prefer to get the information of the products or services with his own language

but the advertiser has no option than to advertise in one single language

which is a major disadvantage.


Given below is the comparison between Traditional and Web Advertising that

will signify the importance of in today's world.

Traditional Advertising Web Advertising

Bound by geography and location

The Web market is borderless

Advertisement costs are relatively

high

Web Advertisement rates are

relatively low

Lead times for implementation are

substantial

Lead times are virtually non-existent

Limited interactivity exists, if at all

Web marketing is based on high level

of interactivity

Getting customer feedback is a

painstakingly slow process

Customer feedback is immediate

Tracking the effectiveness of the

Advertisement efforts is relatively

difficult

Effectiveness can be easily monitored

Marketing efforts are restricted by

time and space

On the internet, Advertisement can be

carried out 24 hours a day, 365 days

a year

Traditional marketing is static Web advertising is dynamic and

multimedia supported


Traditional advertising does not

invoke immediate action

Web advertising requires the user to

take immediate action - like clicking

on the banner ad and thus going to

your site to know more of company

Advertisements are passively

received

The user has a high attention level

while he is on the net. Thus

advertisements get noticed,

remembered, and acted upon

Advertisements are ubiquitous

Here, while searching for travel sites,

ads related to travel agencies are

displayed

Advertising does not target a focused

audience

Advertisements are very focused. PC

software can be displayed to PC

users, while MAC users are not

shown those ads


STATEMENT OF THE PROBLEM:

Is Online advertising effective in influencing the potential Buyers?

Internet is one of the important mediums that own all kinds of features,

which implies a great potential and powerful advertising medium in the future.

In addition, Internet has a better impact than traditional media in the features

like Format Variety, Affinity, and Preservability. Furthermore, Internet is the

only medium so far which owns the feature of interactivity. That creates lots of

new communication opportunities and possibilities that were unable to be

achieved in the past because of the limitation of media technologies. In spite

of these whether the online advertisement is effective in influencing the

Potential Buyers in modern ere.

OBJECTIVE OF THE STUDY:

To ascertain the importance of online advertising as a promotional tool.

To assess the effectiveness of online advertising on purchasing

behaviour.

To ascertain which type of online advertising is preferred by

consumers.


LIMITATIONS OF THE STUDY:

1. The sample size is limited to 100 Internet users hence the result of the

study cannot be taken as universal.

2. Findings of the survey are based on the assumption that the respondents

have given correct information.

3. Since the respondents had to fill the questionnaire while busy with their

hectic schedule, many people were reluctant to answer.

4. The study was conducted only in Bangalore City and therefore, several

other potential samples outside the city were neglected


REVIEW OF LITRATURE Purpose: Review of literature refers to identifying already existing literature in

the area of consumer behavior and marketing strategies, to find out what

contribution has already been made so that it can serve a valuable base for

further expanding the literature. the researcher while choosing the relevant

literature of this study, has taken extreme care not to omit any literature

pertaining to the effectiveness of Online advertisement The chapter revolves

around the various relevant literatures screened to formulate the subject

matter of the proposed study

To broaden the perspective about the research work

To gain new and varied ideas

To acquire more knowledge along with the direct experience

To know the current issues with respect to the research area

To spot the area which have not been covered

Methodology

For the purpose of literature survey, a sample survey was adopted

through the Structured Questionnaire, and information was gathered by those

who had conducted study, The information was also searched in libraries in

various reports, journals and internet sites were also scanned for the

authenticities of the subject matter.


METHODOLOGY DEFINITION OF RESEARCH DESIGN:

“It is a basic plan, which guides the data collection and analysis

phases of the project. It is a frame work, which specifies the type of

information to be collected, the resources of data collection procedure.”

- Thomas Kinnear

A research design is a market plan or model for conduction a formal

investigation. It is a specification of methods and procedures for acquiring the

information needed for solving of any problem.

Research design is the strategy for a study and the plan by which the

strategy is to be carried out. It specifies the methods and procedures for the

collection, measurement and analysis of data. Unfortunately, there is no

simple classification of research designs that covers the variation found in

practice.

Sampling Method

The sampling procedure used was convenience and judgment

sampling, as in questionnaire were administered at places like the residents,

cyber center, Office and colleges in Bangalore City.


Tools for data collection

Interaction with Respondents was in the form of face-to-face interviews

with the help of questionnaire. The questionnaire consisted of a set of

questions, asked to the respondent for his/her response, the questionnaire

was structured and non-disguised. It was done in a prearranged order and the

object of the research was revealed to the respondent. The questionnaire

consisted of combination of open ended and close-ended question.

Primary Data

The primary data was generated through extensive use of a structured

questionnaire, which had both the open end and close-ended questions. They

were conducted in Bangalore City and the data collected was used for the

purpose of analysis and interpretation.

Secondary Data

The second data was collected from the following sources: Books

Magazines

Website

Journals

(Details are given in the Literature Review at the Report)

Sample Size

A total of hundred respondents were interviewed during the survey,

The input from these respondents which was collected in Bangalore City

formed the primary data for the study.


DATA PROCESSING Collected data was Analyzed and tabulated with the help of MS Excel

and then they have been presented in the tables and Graphs in this report.

These are the basis for drawing the appropriate conclusion for this project.

Areas Covered

BTM Layout

Jayanagar 4th Block

Koramangala


INDUSTRY PROFILE

"Advertising is the ability to sense, interpret . . . to put the very

heart throbs of a business into type, paper and ink."

- Leo Burnett

This statement quoted by Leo Burnett a few decades ago still

holds ground as strongly as it did back then. Perhaps, with the new

medium called the Internet, we can substitute type, paper and ink with

site, page and link.

Internet is fast emerging as a powerful medium of advertising in the

new millennium. With the number of Internet users increasing manifold, the

new medium is viewed as the advertiser's dream. The Internet is the fastest

growing medium in the 2000’s with millions of users and an average

estimated growth of 124% annually.

It has great potential as an advertising medium. Online advertising

offers the advantage of reaching and interacting with the target audience,

irrespective of geographical barriers, in real time. Internet offers the flexibility

of two-way communication, through feedback and interaction in real time.

Online advertising presents the flexibility of moulding the campaign in

response to the effectiveness in real time.

Internet advertising is becoming a part of some companies

marketing strategy- however it requires new strategies and thinking. The

benefits of Internet advertising are its ability to cover all

Promotional objectives from awareness to action by leveraging all

Five Elements in the promotion mix. The Internet is also a highly


selective, cost effective media with greater measurability than any other

media.

Despite higher global reach Internet is not yet a local mainstream

media. The Internet offer companies targeting well-educated, innovative,

affluent males or students great potential for success as their segments

are highly represented. Products with high information intensity and high

buyer involvement are also appropriate for Internet promotion due to its

large information capacity at low costs. Its distribution opportunity is

especially suitable for the increasing channel of mail order products

Low product fit or low audience fit companies can benefit by

building a brand image to establish a user link or simply to learn about

interactive media. Traditional advertising is consumed passively, yet on

the Internet, users have to actively select an advert. This changes the

way advertisers generate and retain customers. To persuade visitors to

revisit and spend time on the website, advertisers must fulfill real

customer needs on a continuous basis. This requires clear objectives

and targeting. Informative quality content, advertisement with interesting

entertainment or direct sales possibilities can add value to the customer.

The commercial industry is going through a rapid and radical

development from the 2000's. Growth in disposable income, increased

purchase information and alternative service and product offerings have

expanded the customer’s bargaining power. Today’s advertiser must

individualize, differentiate and customize to achieve advertising

effectiveness. Targeting and building a relationship with customers on an

individual basis is essential to be a successful advertiser in the 2000's.


The advertisers ideal is the ‘best possible reach within a well-

defined audience (selectivity) with good possibilities of feedback and low

costs’, while mass communication often forces the advertiser to accept

high reach with a low selectively and no feedback opportunities in order

to achieve a reasonable cost-effectiveness. The following criteria

evaluate the effectiveness of the different media.

They may be new concepts right now but will be most essential part

of business world in near future. In fact, the future we are talking about is

already here! And to survive in this cutthroat competition, sooner your

organization enters cyber world, better - because in cyber world, it's always a

one-way traffic, no looking back but just zooming ahead - at lightning speed!


PRODUCT PROFILE

Some of the important products offered by Web Advertising are listed

below:

Web banner and panel ads

These are small rectangular graphic images that usually have a call to action

(Like "Click here"). These banners are placed on other high traffic web sites

like Yahoo, AOL etc so as to get an opportunity To See (OTS). They can be

placed at the top or bottom of a page. Or anywhere you like them to be.

Interstitial

Another model of Web advertising - A short-lived, usually animated ad that

pops up in the browser window for about 5-10 seconds while a page is

downloading and then disappears.

Inline Advertisements

Inline ads provide a way for sponsors to generate leads or deliver rich brand

building messages. Similar to print adversarial, inline ads integrate within site

content, ensuring that a site visitor will see them for sure. Example: When you

search using Metacrawler and get results, you will see such inline ad in-

between search results.


Pop-Up Windows

A pop-up window delivers the advertisement in a new window on top of the

site content. When you visit Homepages on Tripod.com or Geocities.com

(Advertisement supported free homepage sites), a secondary window

automatically pops up continuously rotating advertisement of sponsors.

Website sponsorships

Here, the entire Website is sponsored by an advertiser. These sites are

usually content or service based and has a very high traffic because of their

utility value.

Classifieds

Similar to classifieds in the real world, advertisers in Cyberspace can pay for

their advertisements to be listed in online classifieds. From products and

services to headhunting and matrimonial, any subject is covered.

Mailing list ads

Mailing lists are e-mails sent to group of subscribers at regular intervals

focusing on a particular topic. These e-mails can contains tips, hints or even

jokes for free and are sustained by advertisements that are interspersed

throughout the body of the e-mail. Ads are usually in 6-8 line of text instead of

graphics and animations like banner ads.


Ads on Chat

Chat is a service available on the net for two or more people to converse with

one another through their keyboards. Companies that offer these chat

services for free, earn their revenue from advertisements that are displayed to

everyone using these chat services.

So, Web marketing and e-Business, both are new concept of doing the

business and are inter-combined and are irreplaceable part of the cyber

world.

The Government initiatives

The Government has taken key initiatives over the past few years to create

an environment that is conducive to E-commerce activity. These include the

following

Announcement of the Information Technology Act 2002, which put in place a cyber, law regime in the Country.

Announcement of the ISP policy for the entry of private Internet

service providers in November 1998

Permission to private ISP’s to set up international gateways.

Permission of Internet accesses through cable TV infrastructure.

Initiation of the setting up of the National Internet Backbone.

Announcement of the national long distance services beyond the service area to the private area.

Complete non-monopolization of undersea fiber connectivity for

ISP on August 2000.


Free Right of way facility with no charge in cash or kind, to access providers to lay optical fiber networks along National Highways, State Highways and other roads.

Permission of Interconnectivity of Government and closed user

group (CUG) networks.

The establishment of Public Teleinfo Centers (PTIC) having multimedia capabilities has been permitted.

100% FDI allowed in B2B e-commerce.

Measuring the Efficiency and Effectiveness of their Site.

What metrics should be consider when calculating the value of the

Web site, or the return on investment? Let’s start with performance and

availability. To say that slow pages are the kiss of death doesn’t take all the

possibilities into account. When National Semiconductor asked its design

engineer customers about the need for speed, site visitors said that anything

more than eight seconds for a navigation page and 30 seconds for a data

sheet was intolerable.

The Advertiser should also consider the type and number of pages of

their site that visitors look at during a single visit. Are more pages better?

When visitors first arrive and are investigating the depth and breadth of the

offerings, more pages is good. But if they are trying to solve a problem by

slogging through the quagmire of your section of "frequently asked questions"

pages that are intertwined like the roots of swamp trees, more is definitely not

merrier.


Looking for patterns

If the Advertiser make use of cookies to analyze the path of each

visitor, then they can start to make assumptions about what people are

looking for and if they had trouble finding it. The trick is to look for patterns.

The researcher, the comparison shopper and the buyer all have their

own traffic patterns, and it’s up to you to serve them according to their needs.

If people are always clicking from the product page to the warranty page and

back, it’s good stewardship to put the pertinent information on the product

page and save them a click. Watch where they go and then do what you can

to make their way easier next time.

The final consideration is how often people visit your site a

combination of recency and frequency. It’s great that somebody came to your

site 10 times in one day, but if that day was six months ago, it won’t do you

any good. The most desirable recency-frequency tally is different for different

types of sites. If your name is Yahoo! or AOL, then you want all the people, all

the time. If your Web site is located at http://www.urnsandcaskets.com, you

may feel a little people who come back day after day and stay a while.

Identifying prospects

Identifying what pattern is the best indication of imminent procurement

which depends upon the Review of the site path taken by those who

completed the purchase and watch for it again. Your site can make special

offer when a potential customer visits a certain number of times or looks at

particular pages. And then you can go one step further, called Geniality’s a


clever software that will determine the fewest attributes common to those who

performed the desired act (purchase, register, subscribe, etc.). It shifts

through mountains of data about your customers so you can more quickly

recognize the ones who are statistically most likely to buy, and it can tell you

which offer is the one most likely to make that sale.

Taking all this into the consideration one can manage their site

measurement of effectiveness.

Online Advertising Operational Definition Advertising Network - A group of websites, which share a common

banner server Typically, a sales organization, which manages the commerce

and reporting. An ad network has the ability to deliver unique combinations of

targeted audiences because they serve your banner or ad across multiple

sites.

Ad view - An ad view, synonymous with ad impression, is a single ad

that appears (usually in full view without scrolling) on a Web page when the

page arrives at the viewer’s display. Ad views are what most Web sites sell or

prefer to sell. A Web page may offer space for a number of ad views. In

general, the term impression is more commonly used.

Affiliate marketing - Affiliate marketing is the use by a Web site that

sells products of other Web sites, called affiliates, to help market the

products. Amazon.com, the bookseller, created the first large-scale affiliate

program and hundreds of other companies have followed since.

Bandwidth - The amount of information that can be transmitted over

communications lines at one time. The higher the bandwidth, the faster the

Web page loads. Limited bandwidth is the main reason for keeping pictures

small. Just as it seems we will never have fast enough computers, it feels like

we will never have enough bandwidth. The amount of research and

development money being thrown at this problem should yield surprising

results before long.


Click - According to ad industry recommended guidelines from FAST,

a click is 'when a visitor interacts with an advertisement.' This does not

apparently mean simple interacting with a rich media ad, but actually clicking

on it so that the visitor is headed toward the advertiser’s destination. (It also

does not mean that the visitor actually waits to fully arrive at the destination,

but just that the visitor started going there).

Click streams - The electronic path a user takes while navigating from

site to site, and within site, from page to page.

Click Through - The act of clicking on a banner or other ad, which

takes the use through to the advertiser's Web site. Used as a counter point to

impressions to judge the response-inducing power of the banner.

Click Through Rate (CTR) - The response rate of an online advertisement,

typically expressed as a percentage and calculated by taking the number of

click through the ad received, dividing that number by the number of

impressions and multiplying by 100 to obtain a percentage - Example - 20

clicks / 1,000 impressions = .02 x 100 = 2% CTR

CPA - Cost Per Action. The price paid by an advertiser for each

'action' that a content site delivers. 'Action' may be a sale, a lead, a

successful form fill-out, a download of a software program or an e-commerce

sale of a product. Both the action, price and terms of a CPA purchase are

mutually agreed upon by the advertiser and content site and such a purchase

typically involves a back end tracking system provided by the advertiser that

allows the content site to view clicks and actions every 24 hours if they

choose to do so.

CPC - Cost Per Click. The price paid by an advertiser to a content site.

When buying on a Cost Per Click model, the advertiser and content site have

mutually agreed that the content site will continue to display the advertiser’s

ad creative until X number of clicks have been delivered - the amount

purchased. As with other forms of online advertising, s dependent on content,


audience reached and targeted delivery - Untargeted being owner priced,

targeted to an affluent audience being at the high end of the rate scale.

CPM - Cost Per Thousand (Roman Numeral) impressions. The price

paid by an advertiser for a content site displaying their banner 1,000 times.

CPS - Cost Per Sale. The price paid by an advertiser to a content site

for each sale that results from a visitor who is referred from the content site to

the advertiser’s site. This type of buying model is typically tracked with

cookies, where the cookie is offered on the content site and read on the

advertiser’s site at the success page after successful completion of one

transaction/sale. Typical rates/bounties range between 5% and 25% of the

retail price of the product or service being sold. See also CPA above.

Cookies - Client-side text file that is used by Web servers to store

information about the site visitor and visitor behavior. Information pertaining to

a site can only be ready the side that wrote the information. Used to identify

repeat visitors and track visitor behavior.

Effective Frequency - The number of times an ad should be shown to

one person to realize the highest impact of the ad without wasting

impressions on that individual.

Frequency - The number of times a given person will see an ad in a

given time period. Gross Exposures/Gross Impressions - The total number of

times an ad is shown, including duplicate showings to the same person.

Hits - Every time a file is sent by a server, be it text, graphic, video,

and so on, it is recorded as a hit. Not a reliable gauge to compare different

sites, as one page with five graphic elements will register six hits when

viewed, while a page with no graphics will only register one hit.

Impression - The Opportunity To See (OTS) a banner or other ad by

a surfer. When a page that includes a banner is viewed, it is considered an

impression. Inventory - The amount of available space for banners on a Web

site that can be delivered in a given time period. Also known as the amount of


gross impressions per month (or clicks if the publishers is selling on a Cost

Per Click rate model) available for sale to advertisers by a Web publisher.

Link - A hypertext connection between two documents, image maps,

graphics, and the like.

Page view - When a Web page is requested by somebody through a

browser. Pageviews are often used to track the number of impressions a

banner gets.

Run-of-network - A run-of-network ad is one that is placed to run on

all sites within a given network of sites. Ad sales firms such as Latitude90

handle run-of-network insertion orders in such a way as to optimize results for

the buyer consistent with higher priority ad commitments.

Run-of-site - A run-of-site ad is one that is placed to rotate on all

non-featured ad spaces on a site. CPM rates for run-of-site ads are usually

less than for rates for specially-placed ads or sponsorships.

Spam - Originally posting an ad to multiple newsgroups, now used

to describe unsolicited email advertising. Named after a skit by Monty Python,

spam is one marketing and advertising technique to avoid at all costs

Unique visitor - A unique visitor is someone with a unique address

who is entering a Web site for the first time that day (or some other specified

period). Thus, a visitor that returns within the same day is not counted twice.

A unique visitors count tells you how many different people there are in your

audience during the time period, but not how much they used the site during

the period.

View - A view is, depending on what’s meant, either an ad view or a

page view. Usually an ad view is what’s meant. There can be multiple ad

views per page views. View counting should consider that a small percentage

of users choose to turn the graphics off (not display the images) in their

browser.


Visit - A visit is a Web user with a unique address entering a Web site at

some page for the first time that day (or for the first time in a lesser time

period). The number of visits is roughly equivalent to the number of different

people that visit a site. This term is ambiguous unless the user defines it,

since it could mean a user session or it could mean a unique visitor that day.


HYPOTHESIS

It is usually considered as the principal instrument in the research, it

may be defined as a proposition or a set of propositions set forth as an

explanation for the occurrence of some specified group of phenomenon either

asserted merely as a provisional conjecture to guide some investigation or

accepted as highly probable in the light of established facts.

Testing of hypothesis

Techniques of hypothesis testing are used if we have an idea about

the value of the parameter in question. The modern theory of probability plays

a vital role in decision making and the branch of statistics with helps in

arriving at the criteria for such decision is known as testing of hypothesis.

Chi-square Test

Chi-square test statistically determines significance in the analysis of

frequency distribution. The logic involved in the chi-square test is that of

comparing the observed frequencies and the expected frequencies. It is

called a non-parametric test because it is based wholly on sample

observations and does not require any value corresponding to a population

parameter it is defined as Chi-square test

Null Hypothesis: H0 It asserts that there is a significant influence of features of Online

Advertisement on the effectiveness of online Advertisement.


Alternative Hypothesis: H1 There is no significant influence of features of online Advertisement on

the Effectiveness of online Advertisement.

Significance Level: The critical probability in choosing between the null and alternative

hypothesis. The exact level of significance is largely determined by how much

risk one variable is willing to take and its effect on the other variable.

Degree of Freedom: It refers to the number of observations that can be varied without

changing the constraints or assumptions associated with a numerical system.

TABLE – 6.1

Yahoo Rediff Sify MSN Total Creativity 16 3 1 3 23 Attractiveness 13 2 4 1 20 Information 24 5 3 2 34 Accessibility 19 2 2 0 23 Total 72 12 10 6 100


TABLE –6.2

Total 7.17 From the above calculated table it is clear that the Calculated value is

7.17 and the table value at 5% significant level is 16.92 so this states that

accept the Null Hypothesis

O E (O-E) (O-E)2 (O-E)2/E 16.00 16.56 -0.56 0.31 0.023.00 2.76 0.24 0.06 0.021.00 2.30 -1.30 1.69 0.733.00 1.38 1.62 2.62 1.90

13.00 14.40 -1.40 1.96 0.142.00 2.40 -0.40 0.16 0.074.00 2.00 2.00 4.00 2.001.00 1.20 -0.20 0.04 0.03

24.00 24.48 -0.48 0.23 0.015.00 4.08 0.92 0.85 0.213.00 3.40 -0.40 0.16 0.052.00 2.04 -0.04 0.00 0.00

19.00 16.56 2.44 5.95 0.362.00 2.76 -0.76 0.58 0.212.00 2.30 -0.30 0.09 0.040.00 1.38 -1.38 1.90 1.38


TABLE No-6.3

Table showing Gender Classification

Analysis and Interpretation

As observed from the given table and Graph the sample constitutes of

67% male respondents and 33% female respondents. There is a quite a lot of

difference between the number of males and females in the sample.

In near future the percentage will definitely increase with the increase

in the Female E-awareness.

GRAPH No-6.1

Gender No Of Percentage Respondent

Male 67 67%

Female 33 33%

Total 100 100%

Number of Respondent

67%

33%

MaleFemale


TABLE No-6.4

Table showing Age Classification

Analysis and interpretation

As it can be observed from the given table, the major portion of sample

(35 %) is constituted of people in the age group between 20-25 years, and

also a portion of sample i.e. (35 %) of respondent are in the age group

between 25-30 years, (20%) of the respondent are in the age group below 20

years, and the rest (10%) of the respondent are in the age group of above 30

years.

This states that the advertisement should target more of the Young

netizens to increase the awareness of their products or services which in turn

increases their sales revenue.

AGE No. Of Percentage Group Respondent

Below 20 20 20%

20-25 35 35%

25-30 35 35%

Above 30 10 10% TOTAL 100 100%


GRAPH No-6.2

Age Group Of Respondent

20%

35%

35%

10%

Below 2020-2525-30Above 30


TABLE No-6.5

Table showing the Occupation of Respondent

OCCUPATION No. Of Percentage

Respondent

Student 40 40%

Employee

25 25%

Self Employed 25 25%

Others 10 10%

Total 100 100%


As seen from the above table and chart, majority of the respondent (40

percent) are college students, (25 percent) are engaged in business. (25

percent) are employees of various sectors like IT Professionals Charted

Accountants, Lawyers, College Professor. (10 percent) are others constituting

housewives & children.

This shows that mainly college students are interested in browsing. So

it is preferable for the Advertiser to concentrate mainly on the College

Students to promote their Ads and influence them in increasing their sales

Activities.


GRAPH No-6.3

Occupation of the Respondent

40%

25%

25%

10%StudentEmployeeSelf EmployedOthers


TABLE No-6.6

Table showing the Frequency and Duration spent in Surfing

From the above table and graph it is clear that 47 respondents browse

weekly twice, 42 percent spent less than one hour. 29 percent of the

respondent spend one hour to two hour. 18 percent of the respondent spent

two hour to three hour and 11 percent of the respondent spent more than

three hours in browsing.

30 respondents who browse weekly once 27 percent spent less than

one hour 40 percent of the respondents spend one hour to two hour, 23

percent of the respondents spent Two hour to three hour and 10 percent. the

respondent spent more than three hour in Browsing.

18 respondents who browse fortnightly, 80 percent has spent less than

one hour 39 percent of the respondent spend one hour to two hour, 27

No of Less than 1 hr 1hr - 2 hr 2 hr – 3 hr more than 3 hr

Respondents

Weakly Twice 47 42% 29% 18% 11%

Weekly once 30 27% 40% 23% 10%

Fortnightly 18 18% 39% 27% 16%

Monthly 5 20% 40% 20% 20%



percent of the respondent spent two hour to three hour, and 16 percent of the

respondent spent more than three hour.

5 respondents who browse monthly 20 percent spent less than one

hour 40 percent of the respondent spend one hour to two hour 20 percent. the

respondent spent two hour to three hour, and feed the present of the

respondent spent more than three hour.

GRAPH No-6.4

Frequency and Duration Spent in Browsing

0%5%

10%15%20%25%30%35%40%45%

Lessthan 1

hr

1hr - 2hr

2 hr – 3hr

morethan 3

hr

Weekly TwiceWeekly OnceFortnightlyNonthly


TABLE No-6.7

Percentage of Respondents checking Online Advertisement

From the Data collected, all the Respondents are aware of online

Advertisement while only 55% of the respondent check the Advertisement

displayed on the Web and the rest of 45% do not check many of the

Advertisement displayed on the Net. So if the Ads are such that with creativity

and informative even those 45% can also be converted and included in the

55% list.

GRAPH No-6.5

Particulars Checking Online Ads

Yes 55%

No 45%

Total 100%


Percentage of Respondent checking online Advertisment

0%10%20%30%40%50%60%70%

Yes No


TABLE No-6.8

Various Aspects for Surfing

As observed from the Above table and Graph it clearly indicates that

main aspects of surfing the web is for Entertainment purpose which comes to

35%, followed by Purchasing i.e. about 22%, jobs related sites which is nearly

20%, Only then comes of the respondent. Finally Academic and jobs with

9%and financial loans 14% respectively.

This clearly indicates that even if the Respondents are aware of online

Advertisements they view mainly for entertainment than for Purchasing of the

Products or Services.

Reasons for Checking Percentage Advertisement

Purchasing 22%

Entertainment 35%

Financial loans 14%

Academic 9%

Jobs 20%



GRAPH No-6.6

Ads related to various products

AdvertisementPurchasingEntertainmentFinancial loansAcademicJobs


TABLE – 6.9

Respondents Ranking their preferred Site

From this statement and Graph it is clear that most of the Respondent i.e.

(72%) of them has stated that yahoo is the best in providing all sorts of

information and in providing Advertisements together with services on Net,

followed by Rediff with (12%) and Sify with (10%) Then comes MSN with

(6%) and Finally most of the Respondent has rated Indiatimes in last

category.

This analysis provides the information that most of the viewers prefer

yahoo so it is preferable for the advertiser to place his ads in this site, If not

the advertiser could go for Rediff which is Ranked 2nd, and other sites are less

preferred compared to these top two sites.

SITES

Rank 1 Rank 2 Rank 3 Rank 4 Rank 5

Yahoo 72% 6% 3% 0% 0%

Rediff 12% 36% 26% 9% 5%

Sify 10% 27% 30% 16% 12%

MSN 6% 18% 22% 27% 29%

Indiatimes 0% 13% 19% 48% 54%

Total 100% 100% 100% 100% 100%



GRAPH No-6.7

Respondents Rank of their preferred sites

0%10%20%30%40%50%60%70%80%

Yahoo

Rediff Sify

MSN

Indiatimes

Rank 1Rank 2 Rank 3Rank 4Rank 5


TABLE No-6.10

No of Respondents purchased Online

The given table shows that only 43% of the Respondents have

purchased online and the rest of the 57% have not purchased from the Net.

It clearly states that the percentage of respondents who are aware of

Net advertisement are almost near to that of the persons or respondents who

have purchased online and within few more years it definitely would increase.

GRAPH No-6.8

Number of Respondents who Purchased Online

43%

57%

YESNO

Particular No Of Percentage Respondent

YES 47 47%

NO 53 53%



TABLE No-6.11

Various products and services purchased online

Analysis and Interpretation: The table shows that 28% of the respondents purchased CDs and

cassettes online followed by travel booking with 21% and books and

magazines which comes to 18% and then followed by mobile phones which is

around 14 % followed by software and computer peripherals with 12% and

7% respectively.

From the Above table it clearly shows that product and services

purchased online are not costly.

Particulars Percentage

CD's & Cassettes 28%

Travel Booking 21%

Book's & Magazine 18%

Mobile Phones 14%

Software 12%Computer peripherals 7%


GRAPH No-6.9

Chart showing diffrent products & services purchased online

28%

21%18%

14%

12%7%

CD's & CassetesTravel BookingBook's & MagazinMobile PhonesSoftwaresComputers


TABLE No-6.12

No. Of Preference and non Preference to purchase

Online

Gender Male Female No of Respondent Not purchased online 23 34 Prefer to Purchase Online 18 26 Do not Prefer to Purchase online 5 8

Analysis and Interpretation: The above table indicates that the number of respondent who has not

purchased through Internet are 57 out of which 23 are male. 78% of male

prefer to purchase on line and 22 % of them do not prefer to purchase online.

Continued by 34 female who has not purchased through the Internet. 76 % of

the female preferred to purchase online and 24 % of the female do not prefer

to purchase from Internet.

The above analysis clearly shows that even though the number of

respondents who has not purchased through the Internet are more, but would

prefer to do so in the future, there are very few percentage of people who do

not prefer to purchase online. so there seems to be an opportunity that has to

be tapped.


GRAPH No-6.10

Chart showing No of Respondent prefer & donot prefer to purchase

online

23

18

5

34

26

8

0

5

10

15

20

25

30

35

40

No of Respondent

Prefer toPurchase

Donot Prefer toPurchase

MALEFEMALE


TABLE No-6.13

Reasons for non- preference to purchase Online

Analysis and Interpretation: The above table states the reason why numbers of people do not

prefer to purchase through Internet. Which clearly shows that Safety is the

main reason with 31%, followed by privacy with 23%, high risk and

registration process with 15% and 31% respectively.

From this it is clear that for online advertisement to become effective

the advertiser has to reduce the registration process and increase the safety

of the site there by build the confidence of their loyal customer, which

increases the confidence level of the customer and make them purchase on

internet.

Reasons No of respondent Percentage

Safety 4 31%

Privacy 3 23% High Risk 2 15% Registration Process 4 31% Total 13 100%


GRAPH No-6.11

Chart representing reasons for non purchase on internet

31%

23%

15%

31%

0% 5% 10% 15% 20% 25% 30% 35%

Safety

Privacy

High Risk

RegistrationProcess


TABLE No-6.14

Respondents Responding to online Advertisement

Particulars Percentage

Yes 36%

No 48%

Sometimes 16%

Analysis and Interpretation: From the above table it shows that only 36% of the respondents

respond to online advertisement while 48% of them do not do so, only 16%

respond sometimes.

From this analysis the advertiser even though has less of response or

feedback, he can take heart from the fact that 36% of them respond mostly

while 16% respond sometimes this gives a target customer of 52% who show

some positive signs


GRAPH No-6.12

Respondence who Respond to the Online Ads question

36%

48%

16%

YesNoSometimes


TABLE – 6.15

Types of Ads respondents like to see

Flash ads Pop – ups Questionnaires Ads that run

through 30% 26% 10% 34%

Analysis and Interpretation: From the above table we understand that most of the people do not like the

questionnaire form of ads (10%), while most of them preferred ads that run

through on the top or bottom of the site while they are browsing, flash ads

(30%) were the next preferred followed by pop-ups (26%).

GRAPH-6.13

0

5

10

15

20

25

30

35

flash

ad

pop

ups

ques

tionn

aire

Ads

that

run

thro

ugh

flash adpop upsquestionnaireAds that run through


FINDINGS OF THE STUDY

This study was conducted with a view to know that whether Online

Advertising is effective. It has been observed that there are many factors,

which effect this statement of Problem like Occupation, Age, life style social

factor, For this purpose a structured questionnaire had been designed and

analysed. After analyzing the data the following factors have been found out

as major causes for the Online Ads Effectiveness

The percentage of Male browsing the net are more than that of Female

Most of the internet users are in the age group of 20-30years with 35%

which indicates that youngsters are using more net than that of the

other community.

Most of the student community use internet more than that of the other

occupation as it is a means of entertainment so the advertiser should

target the student community to influence their effectiveness

Compared to that of the students self-employed business people

browse more for purchasing products and students browse more for

information and entertainment.

Almost 60% of the people who browse the Net check t online Ads while

browsing only if they are interesting and informative


The study clearly stated that most of the internet users surf for

entertainment and information rather than for purchasing on the Net

Internet with such high penetration still 53% of the respondents have

not purchased any products or services online

Most of the respondents who have purchased online have not involved

themselves in purchasing frequently and even the cost of the purchase

is also too low where it do not involve much risk.

.


Recommendations

Go International with multiple language: Offer your web site in multiple languages. Like many sites come in

Dutch, Spanish, Slovene, French, Czech, German, Russian, and Italian.

Translation service on websites is also good which will help retain customers.

Use of multi-media

As we have seen the potential for banner and Internet ads, informative

and creative ads are also preferred therefore hot new designs and innovative

sales concepts should be developed. Obviously, the biggest bridge to cross is

download time. If a little radio-like audio message that plays from your site

upon a click of mouse or a T.V-mini commercial that plays at your banner on

click of a mouse, it will be much more effective and interesting.

Use Banner Ads that Give Viewers Chance to Interact with

Banners

Interactive banner designs can be used wherein the client can print

out a product sheet from the banner itself, order a product through a secured

order form on the banner itself, click which button he prefer and be directed to

a specialized product marketing page.

Free offers

The word free is just as effective in advertising online as it is offline. By

sponsoring a freebie, a simple name submission drawing can also get

viewers to go through ads in the process they become aware of the

advertisement.


Sponsor a contest

People love to win ANYTHING! Offer your product or service as a

prize. When a winner is selected, their name web address and a link to the

site can be published. Adding a reciprocal link is a professional way to say

thank you and is of no cost to the advertiser.

Web site testimonials

Build trust or confidence in your online business by using testimonials.

A direct quote with the permission of the customer is a nice touch. Listing a

name and e-mail address it acts as a reference that is easy and quick. Keep

the testimonials to one or two sentences and keep it simple.

Target Audience

Keep your target audience in mind. Business people aren't going to

have the time or inclination to participate in game-type ads. On the other

hand, teenagers love them. If your target group is younger people, games

might be the thing for you. Design your ad to meet the preferences of your

target customer.

Include statistics

When you make a sales claim, back it up with information, including

statistics. You might say, "Our saucepans have a non-stick coating that's

guaranteed for life. In actual, in-home testing, food did not stick to our

saucepans 98.3% of the time."

Provide content on your site

As you surf the Web take note of information that supports your

advertising claims. Surveys, research, reports, testimonials, etc. can all

provide valuable information that could move a customer from the point-of-

decision to the point- of-purchase.


Offer a free report

Give away information free with a purchase or subscription to your

newsletter. Since information is what surfers are looking to receive, it will work

as a big incentive.

Few tips that will help in making a connection with the clients:

1. Use “you or your” instead of “we or us.”

2. Include personal examples rather than general examples. If writing to

hair stylists, include examples specific to them.

3. Know your target audience very well. This is the only way you will be

able to communicate with them on a personal level.

4. Write using the language of your target audience. Include industry

buzzwords and jargon when appropriate.

Customers will feel an attraction to copy that reaches out specifically to them.

In a world where most advertisers are speaking to the masses, be sure to

give yours an advantage by speaking personally to those you wish to do

business with.


CONCLUSION

Is Advertising on the Internet a viable option? I have looked at this

question in terms of effectiveness, profitability, and marketing methods.

Internet advertising offers increased awareness of companies, an easy

method to distribute information, advanced methods of targeting consumers,

an immediate and direct line to the customers, and reduced costs in

performing these tasks. The only negative aspect is that consumers have to

conquer their fears of the Internet - the fear that ordering through an on-line

advertisement will get lost in the void of cyberspace. Fears always come with

new technology, but it does not take long for people to adjust. As people get

more accustomed to finding their product information on the Web, more and

more readers will actively seek out Internet advertising sites.

Finally Donot try to do "anything and everything" to get the buyer's

attention. Everyone who comes to site isn't going to buy. The harder you try to

get their attention and force them to read your ads, the harder they will try to

escape.


Questionnaire Effectiveness of Online Advertisement

NAME : Gender : Male Female

1. AGE GROUP :

Below 20 20-25 25-30 Above 30

2. Occupation :

Student Self Employed Employee Others

3. Do you Own a computer

Yes No

4. Do you Surf the net

Yes No

5. How many hours do you Spend on Browsing

< 1hr 1hr >1hr

6. Are you aware of Online Advertisement

Yes No

7. Do you check the online Ads while browsing Yes No


8. Ads relating to which product are you interested in

Purchasing Entertainment Financial loans Academic Jobs Others

9. Which Sites consist of more ads Yahoo Rediff Indiatimes Sify msn Others 12. Have you purchased Online

Yes No

14. If yes, what have you purchased (go to Q 17)

15. If no, would you prefer to purchase Online

Yes No

16. If no, why don’t you prefer to purchase online

17. How often do you purchase online.

18. What kind of Ads do you like to see


One that pop ups One which has a questionnaire

One that flashes One that runs on the top/bottom

19. Have you responded/participated in any Ads Yes No

20. Does the Online Ads interfere in your work while browsing

Yes No

21. Have you made any purchases after seeing these Ads

Yes No 22. How you think the online Ads can be improved

Date post:	18-Nov-2014
Category:	Documents
Upload:	orengenk
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