Online Advertising. Ayça Turhan Hacettepe University Department Of Business Administration

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1 Online Advertising Ayça Turhan Hacettepe University Department Of Business Administration

2 Online Advertising In simple terms, it is advertising on the internet. It can be anywhere on internet It can consist of: images Text Videos interactive elements, etc.

3 Online Advertising Some examples: Display Ads on websites Ads on Search Engines Ads on Social Networks

4 Online Advertising Some objectives of online advertising are: improve brand awareness create engagement increase sales

5 Online Advertising Source:

6 Online Advertising The biggest strenght of online advertising is the fact that everything is measurable. The Internet will transform advertising because of its trackability, not its beauty. -Eric Schmidt, Former CEO of Google

7 Track All Interactions Number of impressions Number of unique users reached Number of clicks Post-click and view data Much more...

8 Strenghts of Online Advertising In addition to tracking: The power of segmentation & targeting Geotargeting Site specific targeting Behavioral targeting Demographic targeting Retargeting Possibility of instant sales and conversion

9 Different Types of Online Advertising Search Advertising Display Advertising Video Advertising Social Media Advertising

10 Search Advertising

11 PAID PAID ORGANIC

12 Display Advertising

13 Banners

14 Banners Some standart ad sizes: 300x x x90 300x600 etc. 90px 728px

15 Rich Media Banners

16 Rich Media Banners

17 Video Advertising

18 Pre-Roll/Mid-Roll/Post-Roll

19 Video Rich Media Extended Preroll

20 Social Media Advertising

21 Facebook Advertising

22 Twitter Advertising

23 Linkedin Ads

24 Linkedin Ads

25 Key Terms Clickthrough Rate (CTR): Clicks/Impressions % Conversion: A visitor completing a target action.

26 Key Terms Explained CTR: 5.473/ = 5.47% Conversion Rate: 675/5.473 = 12.33% Ad gets impressions and clicks. Total number of orders as a result of the ad is 675.

27 Payment Models for Digital Ads CPM: (Cost per mille - Cost per thousand impressions) Payment when ad is seen. The advertiser pays for every thousand times the advert loads on the publisher s page. CPC: Cost-per-Click Payment when ad is clicked. The advertiser pays only when their ad is clicked on.

28 CPM vs. CPC Assume that: CPM price is $3.00 CPC price is $0.05 Two possibilities: If we are paying in CPM; $3.00x100= $300 If we are paying in CPC; $0.05x5.473=$ Ad gets impressions and clicks.

29 Payment Models for Digital Ads CPA: (Cost-per-action) Payment when action is taken. The advertiser pays only when a desired action is achieved. Usually, CPM favours the publisher, while CPA favours the advertiser.

30 CPM vs. CPC vs. CPA Assume that: CPM price is $3.00 CPC price is $0.05 CPA price is $1.00 Three possibilities: If we are paying in CPM; $3.00x100= $ If we are paying in CPC; $0.05x5.473=$ If we are paying in CPA; $1.00x675=$ Ad gets impressions and clicks. Total number of orders as a result of the ad is 675.

31 Key Terms Key performance indicator (KPI): A metric that shows whether an objective is being achieved. Return on investment(roi): The ratio of profit to cost.

32 An Example We are a company which is selling motorcycles on our website. We are running an online ad campaign. Our KPI is number of orders.

33 An Example CPC is $0.50 Sales Price of Motorcycle = $1.000 Our ad was shown times Our ad received 525 clicks CTR 5.25% Impressions Clicks 525

34 An Example Our site received 500 sessions as a result of ad clicks 5 session resulted in sales Conversion Rate 1% Sessions 500 Conversions 5

35 An Example CPC = $0.50 Sales Price of Motorcycle = $1.000 # Clicks = 525 # Sales = 5 ROI 1805 % Cost Revenue 5000

36 Another Example

37 Site A Site B

38 Using URL Builder The URL builder helps you add parameters to URLs you use in custom web-based or ad campaigns. When users click one of the custom links, the unique parameters are sent to your Google Analytics account, so you can identify the URLs that are most effective in attracting users to your content. Go to: / ?hl=en

39 Using URL Builder Instead of: We must use: 2 different URLs for Site A: different URLs for Site B:

40 Site A Site B

41 Ad CPC Site A: Banner 1: $1.52 Banner 2: $1.88 Site B: Banner 1: $1.35 Banner 2: $1.38

42 Sales price of car is $100.

43 Getting Your Ads Online

44 Programmatic Advertising Programmatic ad buying typically refers to the use of software to purchase digital advertising, as opposed to the traditional proceses. It s using machines to buy ads, basically.

45 Step-By-Step Guide Determine the goal of your campaign Identify your key performance indicators (KPIs). Investigate your target audience. Research potential websites to host your adverts. Set a budget. Create your adverts. Choose or create a landing page. Run your adverts. Track, measure, optimise.

46 PRESENTATION GROUPS!!! You are required to form groups of 4 students and make a minutes of presentation in the last two weeks of the semester. You can create the presentation in any format (PPT, PDF, Slideshare, Prezi, etc.). You are expected to present it to the class in English and share it with me via on the day of your presentation. All the members of each group has to present some part of the presentation as it will affect your grade. Project s subject is analyzing a company s digital presence, digital marketing strategies and tactics and making some recommendations to the company based on the topics we covered throughout the semester. You can select any company you want. You are required to share the names and numbers of your group members by (ayca.turhan@hacettepe.edu.tr) today!

47 Contact Me Course Page:

48 Sources emarketing: The Essential Guide To Marketing In a Digital World 5 Ed.» by Rob Stokes and and Minds of Quirk which is available at: ok/

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