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Love them or hate them, banner ads are one of the dominant forms
of advertising online. Due to the widespread acceptance of the standard
468x60 banner ad size, buyers can easily secure placements at most
sites, and publishers can accept ads from most advertisers.
Banner ads were initially judged primarily on the
basis of click-through rate (CTR). In the early days of the Web,
click-through rates were generally much higher than they are now,
perhaps due to the novelty factor. Other causes for the decline
in CTR may include technical limitations, the awkward horizontal
shape, poor banner design, an excessive percentage of run-of-network
buys, and accumulated bad experiences of Web surfers.
"Banners never work" is a common refrain
from the anti-banner crowd. Although click-through rates have gone
consistently downward, the same can be said of banner ad prices.
It is still possible to achieve a click-through rate many times
the industry average by combining good placement and design. Combining
below-average ad rates and above-average response rates can lead
to an acceptable return on investment, just as in any other advertising
medium.
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