by: Kevin Swartzendruber, Director of Web Development
It’s no secret to anyone that the internet has caused a dramatic shift in almost every sector of our society. From basic communication to investing to information storage to news gathering, the internet has permanently changed our lives. We are no longer limited to one-on-one communication. No investment is off limits to our instant attention. No longer are we in danger of losing paper records to calamity. Even 24 hour news stations are becoming obsolete. Far from being over, this revolution has continued as newer and more powerful applications make their inroads onto the cloud. As the internet increasingly becomes the hub of our activities, more and more devices are becoming “web friendly,” opening even greater possibilities. With this shift of activity, a new advertising paradigm is emerging.
As traditional media comes under greater pressure from a loss of audience, opportunities are shifting to a non-traditional, decentralized structure, giving small businesses and individuals greater leverage. Advertisers now have thousands of choices of where to advertise. The days of pricey 30 second ads before millions of television viewers is fading. Newspapers which once commanded premiums for full page ads are losing their subscribers. The new giants of advertising are internet social media sites, auction sites, and internet blog sites. For example - blogs such as Techcrunch and Mashable combine to pull in over $1 million per month in ad revenue! In this decentralized world, skill and content reign as king. Any person with vision, skill, and tenacity can build a high traffic site supported exclusively by advertising revenue. In this brave new world, advertisers are scrambling to adjust their strategies to the new paradigm. Those who understand this shift and adjust quickly have a decided advantage over the competition.
Amid the new ad trends, advertisers have gained greater flexibility. They are no longer limited to fixed expense models of advertising such as direct marketing, billboard, newspaper, radio or television ads. Advertisers, with more options than ever, are experimenting with targeted advertising such as pay-per-click, pay-per-response or cost-per-view. With increasingly powerful software analytics, these advertisers can target their ads to sites and viewers who are looking for their products. A dog food manufacturer can now target ads to only pet or dog owners through sites devoted entirely to those subjects. A realtor can post ads on sites targeted toward property investors. As more advanced software and hardware technology is developed, this trend will only intensify.
As smart phone usage increases, more ads will be targeted directly to mobile phones. With GPS technology, coupons will be sent directly to customers as they pass by or walk into a place of business. Word of mouth will be leveraged in new ways with incentives being given to spread the word. Software that searches our computers or phones for interests will push ads tailored to us in front of our eyes.
Technology will even revolutionize more traditional forms of advertising. Billboards with internet access will update ads containing video clips and moving images on the fly. With more sophisticated statistical tracking, ads could be switched to target the general interests of drivers at various times of the day or week. Newspapers, under increasing pressure to change venues will adopt ads embedded into e-book articles. Internet TV, viewed right from our own televisions may pull in ads directed to our individual tastes.
Powerful technologies are changing our economic landscape. With a little hard work, you can be a part of the brave new world. In our next blog, “Leveraging New Trends in Advertising”, we will explore how you can leverage this powerful trend in your favor.