The Future of Internet Advertising

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					The Future of Internet Advertising
By David Strugnell (0302564) / Module Name: Communication / Assignment Code: EE2162/1




   Contents

                page 2         1. Introduction

                page 2         2. Current Methods of Internet Advertising
                page 2         2.1. Banner Ads
                page 3         2.2. Pop-up Ads

                page 4         3. Technology that will allow change to occur

                page 5         4. Conclusion
                page 5         4.1. Addressing my Research Questions
                page 6         4.2. Evaluation

                page 7         5. Bibliography
                page 7         5.1. Quotes
                page 7         5.2. Figures




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1. Introduction

                          The aim of this essay is to explore why and how internet
                          advertising will change in the future. My two objectives are
                          1) to explore why current methods of internet advertising
                          are becoming inadequate and, secondly, 2) to explore what
                          technologies are allowing changes to occur.

                          For the first objective my research question is Q1: “Why
                          are current methods of internet advertising becoming
                          inadequate?” For the second objective my research question
                          is Q2: “How will advancements in technology allow internet
                          advertising to change”

                          Full references will be given in the bibliography section at
                          the end of my essay, using the Harvard Referencing System.


2. Current Methods of Internet Advertising

                          Currently the most popular methods of internet advertising
                          are banner ads and pop-up ads.
                          .

   2.1. Banner Ads

                          These are the adverts that usually appear at the top or to the
                          side of a webpage. They have their advantages as they are
                          often made using .gif or .jpeg files which give them a small
                          file size. As a result they load quickly on to the webpage,
                          even with a slow 28kb/sec modem.




   Figure 1: An Example
   of a Banner Ad         However, banner ads are becoming inadequate for today’s
                          advertising needs. According to howstuffworks.com:

                                “a banner ad might get two to five clicks per 1,000
                                impressions” Marshall, B (a)

                          This shows that very few people actually take much notice of
                          them.




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2.2. Pop-up Ads

                       These are the adverts that appear, or pop-up, on the screen
                       in a separate window over the webpage you are viewing. As
                       with banner ads they can be created using several different
                       file formats, including jpeg, gif, flash, Shockwave, HTML or a
                       mixture of these formats.




Figure 2: An Example
of a Pop-up Ad         They have a greater success rate than banner ads but it still
                       isn’t very high. According to Howstuffworks.com:

                             “per 1,000 impressions, a pop-up ad might average
                             30 clicks” Marshall, B. (b)

                       The reason for the greater success rate is because they are
                       more noticeable on the screen as they obscure the view of
                       the webpage the user is looking at. Due to this they have
                       potential for future use. However, many users find them
                       extremely irritating and therefore close them immediately
                       or install programmes which will automatically close them.
                       These programs are known as pop-up stoppers.




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3. Technology that will allow change to occur

                             At present, the biggest restriction stopping significant
                             change is the lack of bandwidth connecting many people to
                             the internet. Figure 3 below shows how people connect to
                             the internet within the UK and how it has changed over time.




   Figure 3: Subscriptions
   for dial-up and perma-
                             From this it is clear that the majority of people in the UK still
   nent internet connec-
                             use relatively slow dial-up internet. It is also clear though
   tions in the UK
                             that the number of people using broadband/permanent
                             internet is increasing each year




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4. Conclusion


  4.1. Addressing my Research Questions

                     In this section I will answer the research questioned I posed
                     in section 1.

                     Q1: “Why are current methods of internet advertising
                     becoming inadequate?”

                     As I stated in section 2 the most popular forms of internet
                     advertising at present are banner ads and pop-up ads.

                     As shown very few people take much notice of banner ads.
                     This is mainly due to the fact that the majority of people find
                     them annoying. In a survey, which I and Robert Stewart
                     carried out, while designing some banner ads, when asked
                     “”Banner Adverts are all annoying”. Please comment” 24%
                     of the people asked strongly agreed, 21% agreed and 31%
                     where inclined to agree. Since people find them annoying
                     and because banner ads have been around so long, people
                     have learnt to live with them and therefore tend to ignore
                     them.

                     Pop-up ads are also found to be extremely annoying; I don’t
                     know one person who would say they liked them. Despite
                     this, as shown in section 2.2, there hit rate is around 10
                     times more than that of banner ads. This means they aren’t
                     as inadequate as banner ads and have potential for the
                     future. Pop-up adverts could be used as a canvas for new
                     technologies to sit upon. Although until designers come up
                     with a pop-up advert that the viewer doesn’t want to miss
                     out on people will continue to close them, which makes them
                     fairly inadequate. Advancements in technology could be the
                     thing designers have been waiting for.




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                     Q2: “How will advancements in technology allow internet
                     advertising to change?”

                     An increase of people with broadband would allow designers
                     to use newer mediums within their adverts. The main ones
                     include video, audio and 3D animation. Although these can
                     already be found in banner ads, the quality is usually very
                     poor and the size and length of video/animation very small.
                     Figure shows a example of a banner ads that uses both
                     audio and video




Figure 3: Original
Source Banner Ad
                     As internet connections increase in speed the quality and
                     size of video/audio can also increase. By using pop-up
                     adverts as a canvas designers will eventually be able to
                     create adverts that are very similar in style to TV adverts but
                     could include extra interactive features that would add to the
                     overall experience. This wouldn’t be possible with banner
                     adverts as they are too small although designers could
                     come up with an all new form of internet advert that has yet
                     to be seen.



4.2. Evaluation

                     Overall I believe that I have covered all of the main points
                     within the limited number of words I had to use. However I
                     feel that there is a lot more I could have said if I had a larger
                     word limit and more time to dig a bit deeper into the world of
                     internet advertising.




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5. Bibliography


  5.1. Quotes

                        Marshall, B (a) (Date unknown), How Web Advertising
                        Works: Pop Up and Pop Under [online] Available: http://com
                        puter.howstuffworks.com/web-advertising5.htm (accessed
                        21/11/04)

                        Marshall, B (b) (Date unknown), How Web Advertising
                        Works: Pop Up and Pop Under [online] Available: http://com
                        puter.howstuffworks.com/web-advertising5.htm (accessed
                        21/11/04)


  5.2. Figures

             Figure 1   Microsoft (Date unknown), MSN Money [online] Available:
                        http://money.msn.co.uk/ (accessed 23/11/04)

             Figure 2   Popped up while viewing - UKScreen (Date unknown),
                        UKscreen Advertising: Advertising Options [online] Available:
                        http://www.ukscreen.com/advertise.htm (accessed 21/11/04)

             Figure 3   National Statistics (17/09/04), First release: Internet
                        Connectivity, July 2004 Page 2 [Online] Available: http:
                        //www.statistics.gov.uk/pdfdir/intc0904.pdf (accessed 26/11/
                        04)

             Figure 4   Microsoft (Date unknown), MSN Entertainment [online]
                        Available: http://entertainment.msn.co.uk/ (accessed 26/11/
                        04)




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