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chapter thirteen
Digital
Interactive
Media
and
Direct Mail
McGraw-Hill/IrwinEssentials of Contemporary Advertising Copyright © 2007 The McGraw-Hill Companies, Inc. All rights reserved.
13-2
Objectives_1
Discuss the various opportunities and challenges presented by digital interactive media
Explain the evolution of interactive media Debate the pros and cons of the Internet as
an advertising medium Define the various kinds of Internet
advertising Discuss the Net’s audience and the
challenges involved in measuring it
13-3
Objectives_2
Explain how Internet advertising is sold and how much it costs
Enumerate the various types of direct-mail advertising
Detail the various costs associated with direct-mail advertising
Assess which kinds of mailing lists are best
13-4
Interactive Media
Internet CD-ROM catalogs
and magazines Stand-alone kiosks Cellular telephone
systems Interactive television
13-5
Worldwide Internet Penetration
Region Population (millions) Penetration %
Africa 893.2 1.4
Asia 3,607.5 7.1
Europe 730.9 30.7
Middle East 259.0 6.5
North America 325.2 68.6
Latin America 541.8 9.4
Total 6,390.1 12.5
13-6
Types of Internet Advertising
Web Sites Banners and
Buttons Rich media Interstitials
Sponsorship Paid search Classified ads Email (and rich mail) Viral marketing
13-7
Pros of Internet Advertising
Truly interactive medium
Enormous audience Immediate response Highly selective
targeting Proximity to
purchase
Affluent market In-depth information Rapidly growth Reaches business-
to-business users Advertorials Virtual storefront
13-8
Cons of Internet Advertising
Lack of standardization
Targeting costs Slow downloads Clutter
Security concerns Privacy concerns Global marketing
limitations
13-9
Pricing and Internet Advertising
Cost-per-thousand impressions Targeted cost-per-thousand
impressions Keyword purchase (paid search) Pay per click-through Affiliate marketing program
13-10
Direct Mail Advertising
Dimensional direct mail
Email Sales letters Postcards Business reply mail Folders
Brochures Broadsides Self-mailers Statement stuffers House organs Catalogs
13-11
Types of Direct Mail
13-12
Buying Direct Mail Advertising
List Acquisition
Creative Production
Distribution
13-13
Types of Lists
House lists
Mail-response
lists
Compiledlists
13-14
List Facts
Lists can be bought or rented List brokers handle rental details for a
commission Lists can be based on “selects” like
demographic characteristics List prices vary according to accuracy
and currency and difficulty in reaching market
13-15
Pros of Direct Mail Advertising
Selectivity Intensive
coverage Extensive reach Flexibility Control
Personal impact Exclusivity Response Testability
13-16
Cons of Direct Mail Advertising
High cost per exposure
Delivery problems Lack of content
support
Selectivity problems
Negative attitudes Environmental
concerns Antispam laws
13-17
Key Terms_1
Ad impression Ad networks Adware Affiliate marketing
program Antivirus Bandwidth Banner broadband
Broadside Brochure Business reply mail Button Cable modem Catalog CD-ROM Classified ad Web
site
13-18
Key Terms_2
Click rate Click-throughs Compiled lists Cookies Digital interactive
media Digital subscriber
line (DSL) Dimensional direct
Direct mail advertising
Email Email advertising Firewall Folder Freeware House list House organ Interactive TV
13-19
Key Terms_3
Internet Internet profiling Internet service
provider Interstitial Keyword Kiosk Landing page Letter shop
List broker Mail-response lists Narrowband Natural search
engine optimization Opt-out Pay per click
advertising Portal
13-20
Key Terms_4
Postcard Return path Rich mail Rich-media
advertising Sales letter Search engine Self-mailer SPAM
Spider Sponsorship Spyware Statement stuffer Viral marketing Web browser Web crawler Web page Web site