Advantages and Disadvantages of Using Banner Advertising in a Company

Banner advertising is a form of an online advertisement on the world wide web and is delivered by an ad server which is embedded on a web page with an aim of attracting traffic by linking the web users to the website of the advertiser which are usually image based rather than text-based. This form of an advertisement has been of great importance since we began using to advertise our products. Since the current technology is inevitable to use internet, it is therefore wise for the organization to adopt the latest and most effective form of advertisement to reach a wide variety of customers relating its goods and services. Statistics shows that over 65% of the people surf internet every day. The following are the advantages that our organization has accrued from the use of a banner advertisement.

First is the easy formation and usage; unlike other digital marketing, creating and posting banner ad to the organization’s website takes the shortest time like a second. It doesn’t require any technical knowledge but knowing destination URL is important; it also gives a wide impression with a low cost. For instance, prices are rated by the click-through rate (CTR) which are relatively cheap today; therefore, saves time and labour required; Lohtia, Donthu et al. Secondly is the simplicity, banners are mainly image-based and few descriptions about the products being advertised in a text and are usually small in size of about 300 x 250. It’s also easily understood by the user and advertiser with the complete important information about the organizations products and services. This also makes it to be a user-friendly since it does not cover a wide space in the web page like other form of ads such as popups and fly-ins.

Thirdly is that banner ads usually draw attention of the web users because of the good visual impression in their imagery design; Sundar& Kalyanaraman. therefore the organization’s products will reach more customers without irritating them leading them to click on the ad and may place some purchase order thus raising the sales and increasing the recognition of the company’s products; Chitty, William et al. The other advantage of the banner ad is that; the information of the company will reach wide range of customers since it uses world wide web which can be assessed by anyone in the world at any time. Moreover, the advertiser will be able to know the number of viewers since the server will send the information of every person clicking the ad hence the company will start assessing the targeted group and remarketing to reach them effectively.

Lastly, banner advertising is relatively cheap. It normally counts per the click through rate, for instance, in the google websites, for every click by the user the advertiser will be charged ten cents. This is effective for small companies who cannot afford other forms of advertising.

There have been some drawbacks of using banner ads. The users may avoid the ad by using ads blocking tools which will not be displayed in the user’s page; Singh, Potdar et al. whether it is of high-quality design hence the organization will only incur the cost of advertising without appealing returns. Another main drawback experienced in a banner ad is the lower CTR (click through rate) than the search cost thus limiting the number of customers who actively interested in the organization’s products and services.

Thirdly is that, this form of ad is not suitable for short term sales process since the users may not have immediate interest to check the ad to look what the company offers. In addition, the users may be afraid to click on the ad thinking that it is a fraud and thus less effective using this form of add.

Finally, since a banner should be very attractive and innovative in nature; the advertiser should employ a competent and professional publisher to design the ad which will consume more time and the cost will be high. Furthermore, the advertiser will not be sure of the number of customers who viewed the ad so as to determine its effectiveness.

In conclusion, banner advertising is good for a company in marketing its products and services since the world is swiftly shifting to modern technology. For the organization to minimize the challenges they face in the market; they should always be innovating and following the recent current trends in technology since the world is changing daily for example the use of bright colour. They should also ensure they design the ad in a manner that it may not bring suspicion to the user such as not differentiating between the ad intended for good achievement and a fraud ad so that it can increase CTR. The company also should ensure they use ads that can load fast since viewers lack patience to wait an ad to load. The faster the loading speed, the more the number of viewers.