The fastest growing advertising method in these days is online advertising. Online advertising is an element of electronic commerce that makes use of Internet to market and sell products and services. The initial effort of online advertising was made in the 1990s, in the form of simple text-based websites, which present product details. Today online advertising has become the fastest growing advertising method than just selling product details. Effective online advertising is the key for generating maximum revenue from the Internet business.
Online advertising comprises information management, public relations, customer service and sales. Online advertising has become the trend that one-third of customers who have Internet access use Internet to make purchases. Presently online advertising deals with selling advertising space, software programs, business models, products and services etc.
Online industry gives you the comfort of working from any part of the world. Online advertising has business models such as business-to-business (B2B) and business-to-consumer (B2C). In B2B companies carry out business with each other whilst in B2C, it is selling directly to the customer. Peer-to-peer (P2P) is a varied business model where persons exchange products between themselves. P2P is not very common like B2B and B2C models.
As long as effective online advertising is the key to generate profit from web business, you must be aware of the various techniques of online advertising. Techniques of online advertising comprise cost per click online advertising, search engine marketing such as search engine optimization, e-mail marketing, banner advertising, affiliate marketing, article marketing, interactive advertising, and blog marketing. To keep up with the severe competition and attack of new products, the companies must keep themselves updated frequently.
The business companies should optimize their websites to search engine listings as part of search engine marketing. This is essential as almost 80 per cent of web traffic comes from search engine referrals. Online advertising with search engine optimization is very useful in the long run since advertising companies can save on their advertising budget. Website optimization is very important in online advertising provided that search engine optimization places the website of a company in the natural search engine listings.
Online advertising has certain benefits, for example the availability of information. Internet users can purchase goods and services from anywhere at anytime. For business groups, online advertising is less expensive unlike marketing in other media. Business groups can cut their sales force also. Online advertising makes local markets national and international markets. Though online advertising has some limitations also. Slow Internet connections and difficulty to download information make problems. People cannot try on tangible products before making purchases though some companies offer return policies. Sometimes, lack of progress in electronic payment processes also makes Internet shopping hard.