Tag: display ads

Last Friday, I highlighted an article that discussed the low rate of consumer interaction with display ads. That detail has not deterred marketers from allocated significant budget resources to the format. The latest figures from comScore shows the format continues to grow through the key players in the industry have begun to shift.

A couple of weeks ago, I blogged about the ways that marketers are improving the look of their display ads. It turns out there’s a lot going on behind the scenes before an online display ad appears in a consumer’s browser. Marketers want to deliver their content to a specific audience for the best possible price. And the media space owners want to maximize the profits for delivering that audience to marketers. This situation has given rise to a real-time bidding market for display ad space. By many accounts, this bidding business model will continue to grow in 2011.

When banner and display ads first appeared online, users greeted this new ad format with high click thru rates (CTR). In Fall 2006, the CTR peaked at 0.21% on a global basis. The CTR declined since then though the format recorded a spike in April 2010. The average CTR has hovered at around 09.% for over a year and MediaMind research analysts say this equilibrium indicates that the ad format has found a place in the ad market.