Why does pay-per-clic advertising remain much more efficient than traditional marketing?
“The new tools for advertising come in many exotic forms, but they have one thing in common: a desire to replace the old approach to advertising, in which advertisers pay for the privilege of “exposing” a theoretical audience to their message”
For these tools advertisers pay for real actions which are measurable such as a click on a web link, on a video, placing or buying goods at the Internet.
This means thanks to the Internet, advertising is becoming less wasteful and its value more measurable.
Online Advertising and click fraud
As well as Online Advertising has many advantages, there are also problems with “click fraud”. This means the practice of generating bogus clicks for devious reasons. Click fraud is for instance practiced in order to make a rival advertiser pay for nothing.
Development of the Online Advertising market
The graphic above shows how the Internet Advertising revenues are highly increasing from 1998 to 2005 and are still growing rapidly.
Consumers tend to be more alert on the internet, whereas people might watch a television show in a semi-comatose state of mind on their couches, consumers typically surf the web leaning forward while paying attention to the screen.
Summarily, Online Advertising is very efficient and it is the fastest-growing segment of the Online Advertising market. Nowadays, most Internet portals want to catch up with Google because the advertising model is so lucrative.
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