Internet Advertising Strategies

Internet Advertising Strategies

DOI: 10.4018/978-1-4666-0885-6.ch008


Advertising is a broad concept; in this book, the authors have presented a precise look at its practical domains. Modern advertising has become low-cost with fast access to target users, transferring a persuasive concept to customers and getting a positive behavioral reaction. The last part of their definition is indicative of a new method of advertising, which goes a step further than other methods. A positive reaction embedded in an advertising function comes from advertisers’ use of new communicational practices to transfer and receive messages. The emergence and application of new technology necessitates using the appropriate tools. In this chapter, the authors first define these new tools (strategies). Then, they discuss the differences between online and traditional advertising strategies, and offer an integrated model of Internet advertising strategies. Finally, the authors introduce different kinds of appropriate Internet advertising strategies. The purpose of this chapter is to focus on online advertising strategies and provide a fundamental understanding of their relationship to marketing practices. They examine why firms must use online advertising strategies and give some examples of how online advertising strategies can help companies make sound marketing decisions.
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Advertising Strategy

Strategy is a term usually applied to qualitative concepts rather than quantitative ones. Strategy is mentioned with words like tools and practice in strategic management literature (Kaplan & Norton, 2001, p. 34). The strategy or main solution is defined on the basis of an organization’s limited resources and environment analysis to achieve a predicted organizational goal. In the advertising context, strategy is developed for broadcasting methods which try to deliver a promotional message to a target audience. Therefore, we define advertising strategy as follows: the tools and practices that are designed to promote business dissemination actions and promotional campaigns whereby a company can reach their advertising goals and outperform its competitors.

According to Schwartz (1998), the Web as it relates to the advertising industry is an enormous challenge and the greatest opportunity for long-term success. There are questions that advertising researchers must answer before launching a Web strategy. For example, is Web advertising different from traditional advertising? Does it require any new promotional strategies? (Godin, 1999; Hoffman & Novak, 1995; Zeff & Aronson 1999). Different responses have been presented by different scholars. From a comparative point of view, there are some common features in both advertising practices because the primary goal of all advertising campaigns is “information dissemination” in order to reach more members of a target audience. There is also the viewpoint that forms a new role for consumers in the information dissemination process that we know it as interaction.

Compared to traditional media, Web advertising has reformed the main operational bases like gathering information, cooperation, communication, interaction and transaction (Gretzel, Yuan, & Fesenmaier, 2000), and has provided new definitions for some of them. As discussed in Chapter 2, the concept of communication has changed from one-way to two-way communication.

The concept of a transaction and buyer decision-making model eliminates the need for previous information gathering tools like reference groups, and transactions and decisions are now based on comparison tools presented in online media. Therefore, in the new media, the opportunity is not that of performing things faster than the competition, but in reengineering business models to achieve more profit by both creating long-term relationships with customers and delivering value to them (Hagel, 1999).

In traditional media, branding gives customers a strong image of the product so that they will spend less time in the decision-making process. Broadcasting a remarkable trademark, logo, icon or other commercial signs of a company on the Web is actually cheaper than doing it through other marketing channels. However, there are some concerns about strategy development in Web advertising. For example, what is the right online advertising strategy? What is the best practice for developing a Web-based advertising campaign? How are marketers able to create an innovative advertising strategy in an organizational framework? Levinson and Rubin (1995) stated that in developing an advertising program for any online business, marketers should consider these six stages:

  • 1.

    A mission statement which defines or redefines the business in particular.

  • 2.

    Setting the main objectives which are expected to be accomplished by advertising campaign.

  • 3.

    A comprehensive list of resources which are necessary for implementing the effort.

  • 4.

    Setting a list of objectives which need to be attacked.

  • 5.

    Setting a list of the needed tools and tactics which are necessary to attack the objectives and accomplish them.

  • 6.

    Determining a schedule which controls the whole process.

Scholars have added more items to this list; for instance, Sterne (1997) has emphasized management support and the creation of a setting-up procedure. However, with regard to Levinson and Rubin (1995) and Kotler’s (2001) five Ms of advertising, it seems that an online advertising strategy needs two other basic requirements:

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