The 4 Shocking Banner Ads Statistics, And The Effects On Your Marketing Campaigns
Do you know that banner ads are now 20 years old? According to statistics collated by comScore in their 2013 Digital Future Focus report, more than 5 trillion display ads had been seen by US consumers in 2012.
Another brief from the Interactive Advertising Bureau reported that Internet advertising revenues in the United States alone had reached a whopping $43 billion in 2013—a 17% jump from the numbers collated in 2012. This simply means that for the first time, Internet advertising has surpassed TV broadcast advertising and the numbers are growing.
The graph below shows that the biggest revenue slice goes to Search advertising, with Display/Banner Ads right next to it, with a 7.8% growth from 2012 with $2.8 billion in Display Ads revenue.
This must mean one thing: Banner Ads still work. But do they, really?
The answer actually depends on a varied set of factors, such as targeting the right audience, creativeness of the ads, and placing the ads on the right websites. In the end, however, banner ads are undisputedly one of the most effective ways to reach a target audience—WHEN DONE RIGHT.
And when you reach the right audience with the right creative and the right context, you will surely have an immensely successful digital campaign.
To help you have a clearer view as to why banner ads are effective and why should you seriously consider making it a part of your business marketing strategy, I put together a list of reasons:
- The Positive Effects Of Incidental Exposure
According to the Journal of Brand Management, most advertising exposure happens when the attention of the audience is focused somewhere else, like when he is browsing a site or reading through a page. A new study reveals, however, that incidental ad exposures have a positive effect on the attitude of the consumer and are expected to grow more, as Internet users are becoming more adept at multi-tasking. While CTR numbers may show different results, banner ads continue to create favorable outcomes because of repeated exposure.
- Banner Ads Beat TV Ads Into Pulp
New research reveals that consumers are now more engaged with banner ads compared to outdoor and TV ads. According to Digiday, banner ad Click Through Rates average at 0.07 percent, while Nielsen confirms that TV response rate is at mere 0.05%. Radio, on the other hand, is at an advantage at 0.13% although it lacks the visual element of its contenders, according to Arbitron.
- Banner Ads Target Varied Demographies
There is nothing in hyper-targeting audience by lifestyle, age, and geography than banner ads. This is confirmed by eMarketer’s correct projections involving the top 5 sellers of display advertising, that they will generate close to $20 billion in the United States last 2013. The projection proved correct, and the industry saw a 20% increase versus the generated revenues in 2011.
The unprecedented advance of distribution system and advertisement technology is touted to be the root of this spurt in revenues, as display advertising becomes more and more targeted and efficient each day. eMarketer continues to boldly predict that display ads could overtake search ads in the next couple of years.
- In the end, it’s all about ROI.
If it doesn’t work, it will die. Right? That’s a reality that nobody can contest.
Again, banner ads are still here after 20 years. Not only that, marketers continue to spend billions of dollars into banner ads because of its efficiency and its sheer scale. With lower CPMs versus other media, marketers are able to afford a higher volume of impressions without having to spend too much.
When combined with business revenue generated directly by clicks—notwithstanding the collateral damage occurring beyond the clicks—advertisers find that their investment is well worth it.
The statistics quoted above should give you a clearer view that banner ads really do work. With proper planning, creativity and the right execution of your display advertisement campaign, banner ads can significantly and positively impact your marketing efforts.
To drive the point home, here is an excellent infographic from Business2Community:
With banner ads, you can reach millions of consumers without having to spend a lot. It is important to keep in mind, however, that there are many other elements in a successful marketing campaign, so putting in effort and time to get the right mix between these elements will result in excellent results.