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Digital Advertising 101

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Casey Lovegrove

on 10 July 2013

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Transcript of Digital Advertising 101

Digital Advertising
Benefits of
Digital Advertising

Terms to

Social Media

Challenges to Digital Media Investments
Digitized content
(text, graphics, audio, and video)
that can be transmitted over internet or computer networks
The creative convergence of digital arts, science, technology and business for human expression, communication, social interaction and education
(Digital Media Alliance Florida)
An ecosystem of various messaging channels including web sites, video, audio, blogs, and various social networking platforms
The integration of entertainment and communications

What are the distinct traits of digital media as opposed to print and analog media?
Experiential and interactive
A new conception of narrative and brand storytelling
More fragmented and multi-dimensional, due to multiple channels that require highly adaptive messaging
Ethic of transparency
Ethic of immediacy
Allowance for user-generated content
, as well as the opportunity to encourage and capitalize on UGC.

Ads in Pockets
Brands can easily and effectively geotarget
Brands can be social entities and befriend consumers.
Brands can now track, analyze, and measure impact
Interact and connect directly with consumers
Meet consumers where they are: online
Why advertise digitally when I already advertise in print?
“We as consumers are living in a 24/7 digital world. And our message to brands is that if you’re not focused on that, you’re missing out. You’re going to be left behind.”
–Neal Mohan, VP of Display Advertising at Google
If you aren't, you're getting left behind
Digital ad revenue increases significantly each year:
“The [IAB (Interactive Advertising Bureau) report] found that 2012 digital ad revenue overall hit $36.6 billion—a 15 percent lift compared to 2011's $31.7 billion.”
"In this day and age, you have a fusion of distribution and messaging happening, and where you reach people and the context [in which] you reach people is as important, if not more important now, than what you say."
–Laura Desmond, Global CEO of Starcom Mediavest Group
Digital advertising provides brands and consumers interactive and connective opportunities.
An ad can link directly to a brand’s site, for example.
The ad can directly and simultaneously put the brand in contact with the consumer.
"It’s about experiences. It’s about getting consumers and people to participate in brand stories."
–Laura Desmond, Global CEO of Starcom Mediavest Group
UBJ’s mission as a brand itself is to
directly connect
area businesses with each other and with consumers.
UBJ also seeks to
with these businesses, our partners, and our readers.
Digital advertising is experiential, and the appearance and placement of the ad is only the beginning of its effectiveness:
“Digital media provide opportunities to marketers because they are fundamental to human beings, people, users, consumers' needs to connect with others, be enlightened, be informed, feel secure, etc.”
-Randy Kilgore, IAB Board Chairman
(Ad Age Digital, 2/12/13)

Brands want ways they can measure the impact of their ads, and digital advertising provides just that.
New and returning visitors
Traffic sources
Average visit duration
Bounce rate
Percentage of new visits
Unique visitors
Page views
Pages viewed per visit
Number of visits
The practice of targeting ads to web users based on their physical location
Digital marketing can reach anyone, anywhere, doing anything.
It is mobile
, and there are more smartphone users than ever before.
Mobile advertising spend jumped
$3.4 billion
during 2012, per an Interactive Advertising Bureau report.
This is the second consecutive year of dramatic mobile growth, after a
increase in 2011.
“Really what's happened is everybody is staring at their cellphone now. Marketers are trying to reach them where they are at—on elevators, at coffee shops, etc. The inventory is there, and the people are there. You combine those elements with localization, and mobile presents a great opportunity."
–David Silverman, partner at PricewaterhouseCoopers
Social media
allows for greater brand transparency and increased trust from consumers. It is about the
development of relationships
through real conversation and digital connectedness.
Digital marketing can be supplemented through a combined
social media strategy partnership
between advertiser and publisher.
There are more opportunities for expanding the advertiser/publisher partnership in the digital space.
What we do is journalism.
We cannot promise story features to our clients, but we can promise
social engagement
and the development of unique content for the social media sphere.
With a print or television campaign, there is no direct interaction; the advertiser must hope that the reader or viewer will call a phone number or go to a website.
The chances of someone actually getting up in the middle of watching a TV show or reading a newspaper are slim.
With online advertising it is not asking nearly as much for someone to click or at least interact with a banner ad to see what it is about.

Ad Impression
An ad which is served to a user’s browser
Pulled ads
--can be requested by the user’s browser (UBJ site ads)
Pushed ads
--emailed ads (weekly UBJ inbox)
A metric which measures the reaction of a user with an Internet ad
--the action of following a link within an advertisement or editorial content to another website or another page or frame within the website
In-unit clicks-
-the measurement of a user-initiated action of responding to an ad element which generally causes an intra-site redirect or content change.
-- the process by which a user places his/her mouse over a media object, without clicking. The mouse may need to remain still for a specified amount of time to initiate some actions.
Beyond the Banner
The idea that, in addition to banner ads, there are other ways to use the Internet to communicate a marketing message
Includes sponsoring a website or a particular feature; advertising in e-mail newsletters; co-branding with another company and its website; contest promotion; and finding new ways to engage and interact with the desired audience in general
CPC (Cost-per-click)
The cost of advertising based on the number of clicks received
CPM (Cost per 1000 impressions)
An online payment model where advertisers pay for every 1000 impressions of their advertisement. This is an ideal method of payment for advertisers who are primarily concerned with the number of times their ads are seen. The “M” in CPM is from the Roman numeral for 1000
To calculate CPM, divide the cost of the ad by the number of readers, viewers, listeners or visitors, broken down by thousands. If an ad costs $4,000 in a newspaper with a circulation of 100,000, your cost to reach 1,000 readers is $40, since 100,000 / 1,000 = 100 and $4,000 / 100 = $40. If a radio ad costs $250 and the station has 50,000 listeners, the CPM for that ad is $5.
As in "above the fold," a term borrowed from print media
Refers to an ad that is viewable as soon as the web page arrives. You don't have to scroll down (or sideways) to see it
Native Advertising
A web advertising method in which the advertiser attempts to gain attention by providing valuable content in the context of the user's experience; it is similar in concept to an advertorial, which is a paid placement attempting to look like an article.
A native ad tends to be more obviously an ad than most advertorials while still providing interesting or useful information. The advertiser's intent is to make the paid advertising feel less intrusive and thus increase the likelihood users will click on it.
ROS (Run-of-Site)
The scheduling of Internet advertising whereby ads run across an entire site, often at a lower cost to the advertiser than the purchase of specific site sub-sections
Opt-in Email
An email containing information or advertising that users explicitly request (opt) to receive
Responsive Design
Responsive web design
is a web design approach aimed at crafting sites to provide an optimal viewing experience—easy reading and navigation with a minimum of resizing, panning, and scrolling—across a wide range of devices (from desktop computer monitors to mobile phones)

Unique Visitor
Someone with an unique address entering a website for the first time that day (or some other specified period)
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
For More Terms
Visit the IAB’s [Interactive Advertising Bureau] Glossary of Interactive Advertising Terms
The IAB is a non-profit trade association devoted exclusively to maximizing the use and effectiveness of interactive advertising and marketing
Increased brand presence across social media channels/increased awareness of brands

Increased positive sentiment about brands/ability to monitor what is being said about our brands
What can social media do for our brands?
Development of relationships for future partnership opportunities & strengthening of existing ones

Increased traffic for websites

"The only acceptable way to get links is to write link worthy content and use social media to promote it.”
–Dan Zarrella (award-winning social media scientist at HubSpot and author of four books)

Increased attendance/ticket sales at sponsored events

Identification of new product, service or sales opportunities

Earned Media
Middle Men
New Behaviors
Brands as Competitors
We are increasingly seeing
earned media outperform paid media
and becoming the main driver of traffic to marketing initiatives.
Media needs to break down the barriers between brands and participants online.
Today the artificial divide media offers are lessening the value compared to brands own initiatives.
Increased accessibility to tools and technology not only boosts media consumption, but also changes how the use integrates into our daily lives.
Advertising models tailored for a more traditional media consumption loose effectiveness.
The competition is no longer between digital media channels with similar products;
it’s between media channels and the brands’ own initiatives.
Earned Media
Middle Men
New Behaviors
Brands as Competitors
Earned media is earned, which means it finds and links to stuff that is valuable.
(In effect this isn’t relevant to any advertising campaign that people don’t want to share).
If the advertising is valuable, then
the media channel needs to offer the space for where the content resides.
If brands build stuff on media channels that earned media links back to, you create a win-win situation.
Media needs to get out of the way.
At the same time they need their presence as they are dependent on not becoming invisible themselves.
This creates
a situation where brands and media need to collaborate.
We already know that both brands and media channels are value providers, and it is the interfaces where they create shared value we are looking for.
Media opens to such a collaborative opportunity through its development of
arenas specially tailored to niche interest and niche brands.
Increased accessibility to information, media, and social technology first changes our tools, then our behaviors.
What we are seeing now are people not only changing how much time they spend with media channels, but also how they use them.
The jury is out on this one as the changes in behavior have just started, but
content enrichment
through participation carries some very promising and clever inspiration.
As brands can create their own media channels and direct relations arenas, the need to use media as a vehicle for messaging decreases.
This means that the competition for marketing dollars is not exclusively between the media channels but between the media channels and the brands’ own initiatives.
What media needs to do is both understand how they can facilitate and increase the value of these arenas, by offering a new property tailored to each brand’s initiative.

Challenges that Interrupt Digital Media Investments
Addressing these Challenges
What is digital media?
Full transcript