And the Banner Man Held His Banner High

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Article by Martin Avis
We hear it all the time: “Banners don’t work anymore!”But did ‘banners’ ever really work in the first place?The latest published figures seem to suggest that theaverage click-thru-rate (CTR) for a banner ad on theInternet is between 0.15% and 0.3%. That is 1.5 to 3per thousand.Why is that such a surprise? Can you remember the lasttime you clicked on a banner ad? I certainly can’t.Yet businesses are still putting banners up. Are theyjust kidding themselves?In the same way that big businesses will buy endless TVspots or radio ads to get their name better known, sotoo are banner ads used as a branding medium. Thesecampaigns, where response is only a secondary aim,bring the average CTRs down considerably.In the offline advertising world, Direct Responseadvertising is thriving. Ads that solicit a measurableaction – call this number, fill this coupon, visit thisweb site – are growing as a percentage of the total.The reason is simple. Every measurable response letsthe advertiser learn more about the mix of media on hisschedule. Newspaper A pulls more calls than newspaper B- then lets drop ‘A’ from the plan and try out ‘C’.This constant learning and refining should be practicedonline as well, but how many do it? The overall CTR isfurther damaged by too many banners being bought on thewrong sites, and staying there too long.An advantage that offline media planners have is thesheer volume of research into the audiences of everyadvertising medium you can think of. So before a singledollar is spent, they know that their ads will be seenby the most appropriate people.Not so online. Yet. In a large number of cases, bannerads are bought and sold in bulk. For every perfect siteyou buy, several others may be included in ‘thepackage’. This arbitrary approach will decline if sitesare forced to audit both the size and composition oftheir audiences before advertisers will buy from them.Making a successful banner campaign depends on fourfactors:1. Ensuring that the audience of the site you advertiseon is as closely matched as possible to your own. Notjust in terms of age and socio-demographics, but alsoin attitude. Wastage is useless, and expensive.2. Advertising on popular sites that people are likelyto have bookmarked. One of the reasons many peopleresist clicking on banners is because they know theywill be taken away from the site they are viewing tosomeplace they may not want to be. Highly bookmarkedsites are easy to find again.3. Getting the right price. Until recently, most sitesselling banners insisted on a cost-per-thousandimpressions policy. The advertiser pays every time aviewer has an opportunity to click the banner whetheror not that opportunity is taken. This is becomingoutdated, thankfully, as a more appropriate payment-by-results model is growing in popularity.4. Getting the creative right. This is not easy. Havingspent many years working in advertising agencies, I cantell you that the few creative people really understandthe Internet. They end up creating online versions ofbillboard advertising. Since the majority of billboardads are about branding and image, not direct response,the difficulty is clear.I recently ran a banner campaign for a web site whichshowed up-to-the-minute financial data on budget day.Banners were tactically placed on news and currentaffairs sites, using clear, unambiguous copy. Noflashing lights or animations, just a simple, appealingmessage. The click-thru rates were between 5% and 8%.The server was overwhelmed.Recently, I have seen reports that banners that aredesigned specifically for the site they appear on – sothat they blend in and look like part of the site -have achieved click-thru rates of over 10%.In summary, here is my top ten pointers for making yourbanners work well above the average:Audience——–1. Aim at the right people2. Be relevant. Make sure your main offer is ‘in tune’with what the site’s viewers are thinking about.Research——–3. Keep testing. Instantly drop any banner that isn’tpulling.4. Know how much you can pay. If you are averaging per click and one in fifty buy from you, then you hadbetter make more than 0 profit on each sale, or youwill go bust.5. Before you spend any money on a site, talk to otheradvertisers. If they say that their response stunk,(and their ad seems reasonably okay), bear this in mindwhen you negotiate price.Design——6. Make your banner intriguing. If they don’t care,they won’t click.7. Tell them what’s in it for them. If you show orimply a really great benefit that they will gain fromyour site, they are more likely to click to see more.8. Consider disguising your banner. If you make it looklike part of the site, more people may have theconfidence to click it.Price—–9. Don’t buy cost-per-thousand impressions unless youreally have to – and the price is low enough.10. Negotiate, negotiate, negotiate. Never take thefirst price offered. Always ask for (and expect) adiscount on the price, or a bonus on top of what youare buying.Achieving valuable CTR’s can be done, but not byblindly following the sheep. Successful advertisers dothings a little differently.