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Q: Interactive Advertising ( Answered 5 out of 5 stars,   0 Comments )
Subject: Interactive Advertising
Category: Business and Money > Advertising and Marketing
Asked by: cng-ga
List Price: $100.00
Posted: 18 May 2004 10:59 PDT
Expires: 17 Jun 2004 10:59 PDT
Question ID: 348289
I?m in need of understanding the whole process of interactive
advertising and what players are involved.

1)What is the interactive advertising process? Beginning to end I
would like a step by step process from a high Level Perspective. 
Which type of companies are involved in which phase. Provide me a list
of 3 companies that do work in that related ?phase?

2)What are the main responsibility of companies like eyeblaster and pointroll?

3)Do companies like eyeblaster negotiate media rates? Or does an
interactive agency negotiate the rate with say and they just
call upon eyeblast to server the ads?

4)How do interactive agencies profit from providing interactive
advertising for their clients? (Creative services?, percentage of
media buy?)

5)What is the typical cost for a marketer for an online ad program?
Interactive Agency, Media agency etc.. etc..(Creative cost, Media
Subject: Re: Interactive Advertising
Answered By: adiloren-ga on 19 May 2004 12:58 PDT
Rated:5 out of 5 stars
Hi, thanks for the question. Below I have provided some background
information first and then later focus on the particular points of
your question.


Ineractive adverising as a theoretical concept:

Matthew Lombard

"Interactivity is a complex and multidimensional concept and there is
little agreement on a specific set of conceptual and operational
definitions related to it (much of the discussion and debate is
recent, prompted by the development of advanced interactive
technologies such as virtual reality). However, we need to establish
an understanding for the context of this discussion; therefore,
following Heeter (2000), Steuer (1995), and Lombard and Ditton (1997),
we define interactivity as a characteristic of a medium in which the
user can influence the form and/or content of the mediated
presentation or experience. It is not dichotomous (a medium is not
just interactive or not) but can vary in degree (from not interactive
to highly interactive) as well as type (different aspects of the form
and/or content that can be influenced by the user)."

Interactive Advertising Basics:

28 Reasons to Use Interactive Advertising

Preliminary glossary of Interactive Terms


Types of Ads

Ways of Measuring Traffic

Ten Serious Site Promotion Mistakes

Reference for Newbies

Web Advertising Industry News:

Internet Advertising Bureau


Web Marketer Today

Email advertising market:

Internet Ad Sales

Web Promote

Market reports:

"Forecasting the Future: What Do the Next 50 Years Have in Store for
the Industry?" (Acrobat PDF format)
The American Advertiser, by Jeff Goldfarb, Spring 1999, pp. 16-20.

"Thoughts about the Future of Advertising" (Acrobat PDF format)
A white paper, 1996, Department of Advertising, The University of Texas at Austin

Internet Reach/Frequency Estimation Accuracy by Data Collection
Methods (HTML format)
A paper presented at the 2000 Annual Conference of the American
Academy of Advertising in Newport, Rhode Island, in April 2000,
by Hyo Gyoo Kim and John D. Leckenby, 29 pp.

Creative Factors in Interactive Advertising (HTML format) 
A paper presented at the 2002 Annual Conference of the American
Academy of Advertising in Jacksonville,Florida, in March 2002,
by Hyo Gyoo Kim and John D. Leckenby, 31 pp.

How Media Directors View Traditional and Interactive Media Planning (HTML format) 
A paper presented at the 2001 Annual Conference of the American
Academy of Advertising in Salt Lake City, Utah, in March 2001,
by Hyo Gyoo Kim and John D. Leckenby, 24 pp.

Internet Reach/Frequency Estimation Accuracy by Data Collection
Methods (HTML format)
A paper presented at the 2000 Annual Conference of the American
Academy of Advertising in Newport, Rhode Island, in April 2000,
by Hyo Gyoo Kim and John D. Leckenby, 29 pp.

The Media Interaction Cycle (PDF format)
Working Paper, Department of Advertising, The University of Texas at Austin,
by Yunjae Cheong and John D. Leckenby, 18pp.

New Media Development: The Internet versus Traditional Media
(PowerPoint HTML format)
A presentation to the "special topics" session ("Interactive and
Traditional Media: How are they Different?") of the 1999 Annual
Conference of the American Academy of Advertising in Albuquerque, New
Mexico, in March 1999,
by Wendy Martin and John D. Leckenby.

Does Traditional Media Planning Apply to New Media? (PowerPoint HTML format)
PowerPoint Presentation to a "special topics" session ("Interactive
and Traditional Media: How are they Different?") of the 1999 American
Academy of Advertising in Alburquerque, New Mexico, in March 1999,
by Hugh Cannon of Wayne State University.

Ad Agencies Skeptical About Interactive Advertising
August 11, 2003 (3:21 p.m. EST)
TechWeb News

Web advertising's glimmer of hope
Last modified: December 18, 2002, 1:04 PM PST
By Stefanie Olsen 
Staff Writer, CNET

Maximizing the Medium: Getting the Most Out of Web Advertising

Going Local: How to Reach Your Customers Geographically

Web Advertising Tips That Work

Banner ad placement tips

"KOTW, Inc. announced today the release of their new product, Ad
Paradigm interactive advertising, designed to overcome the failure of
Internet advertising."

Tools to optimize your website:

SEO Toolkit | Interactive Advertising Agency 



1) Interactive Marketing Process

From my review of the literature, on a macro-level, I would define the
phases as follows:

Phase 1- Market Research

Researching the specific market for the product or service you are
attempting to sell/promote.

Some companies that provide this type of service are;

Forrester Research.,,1-0,FF.html

Jupiter Communications

Cyber Atlas

There are also numerous online market news sources, many listed above
under the "Market Reports" and "Industry News" sections of this

Phase 2- Designing your ads/banners.
It is important to design your ads effectively. Many businesses
specialize in designing interactive ads for clients. Here are some
(among many and not an endorsement):


Castlepeak Interactive  

Integrated Web Solutions  

Janmedia Interactive 

Phase 3- Announcing the website to increase volume- or- searching for
websites with high volume to advertise on:

Announcing companies

Add Me

The original web promotion service, NetPOST offers personalized web
site promotion in a variety on packages. By Eric Ward.

NetCreations, Inc. (*)
A new way of direct marketing. Targeted e-mail and URL announcement
services to select lists of interested webmasters. Creators of The
PostMaster, PostDirect, PinPoint search engine, and AdMagic.

Microsoft-owned site focused on promotion and advertising tools and
services geared towards the small business owner.

Website Optimization Companies:

LCGrowth Inc.  

Unlimited SEO  

10e20, LLC  

Intelle-Search LLC  

Phase 3- Is the "Campaign Management" phase. This is where the
advertising campaign is fully implemented and realized. Companies can
be hired to manage the campaign for you or you can manage it yourself
with the help of specialized software and advertising resources. Here
are some examples of such companies.

"Web Monopoly is a Major Internet Design & Marketing Firm in Los
Angeles, specializing in Top ranking Search Engine Optimization, Pay
Per Click campaigns, Targeted Traffic and Search-Engine-friendly Web
Design Services.
"Most internet websites are left up to a random and passive destiny,
like buying an island in the south pacific and hoping tourists will
show up."
Our clients range from start-ups to multi-national corporations. Our
typical strategies range from $500 to $15000.
Call us Today for a FREE consultation." 

vertical traction


BFW Advertising 

"Vibation is a Michigan-based web design company where website and
print design, corporate branding, and website development projects are
conceived, created, and all dressed up with everywhere to go.

Our company is devised to be different, and our efforts are energized
by the level of caring we extend to the clients we serve. From our
gurus of graphic design, to our aficionados of e-commerce, our staff
dares to hold a personal stake in the success of every project we
pursue, and in the businesses that call upon our affordable services.

In the ever-evolving realms of web, print, and marketing design,
Vibation offers timely solutions. We're skilled in the architecture of
fine media, whether we have a hand in the renovations of web-site
redesign, or we're laying new foundations with copywriting, flash
animation, or business card and logo design. Our toolbox is rich with
web search engine optimization and other strategies to lead toward an
increased visibility of the vision that drives your company forward."


The Silver Company
An internet advertising sales service organization geared toward
individual websites with traffic of higher than 150,000
impressions/month. In partnership with NetGravity.

Research on the process:


Creating the banners, etc. are the first and most important aspect:
"However, the real success of rich media advertising rests squarely in
the hands of the creative team that conceptualizes and creates the
banners. Currently, very few agencies have figured out how to tap into
the full power of rich media to use it for creative, effective ad

Phases according to IAB:

Phase 1- deciding what type of ad to use:

"Ads can be requested by the user?s browser (referred to as pulled
ads) or they can be pushed, such as e-mailed ads"

Phase 2- Measuring the responses:

"a measurement of responses from an ad delivery system to an ad
request from the user's browser, which is filtered from robotic
activity and is recorded at a point as late as possible in the process
of delivery of the creative material to the user's browser --
therefore closest to the actual opportunity to see by the user."

Phase 3- Method of delivery and counting:

"Two methods are used to deliver ad content to the user - a)
server-initiated and b) client-initiated.  Server-initiated ad
counting uses the publisher's Web content server for making requests,
formatting and re-directing content.  Client-initiated ad counting
relies on the user's browser to perform these activities.

For organizations that use a server-initiated ad counting method,
counting should occur subsequent to the ad response at either the
publisher's ad server or the Web content server.  For organizations
using a client-initiated ad counting method, counting should occur at
the publisher's ad server or third-party ad server, subsequent to the
ad request, or later, in the process. See for ad campaign
measurement guidelines."

Steps for successful interactive marketing

"1. Purchase banner space on sites most targeted toward your
customers. For example, if you sell financial services, in addition to
advertising on financial sites you might consider advertising on
gardening, women's clothing and shopping sites. The reason is that
studies have shown women are becoming more of a force in purchasing
financial products. You need to broaden your understanding of your
customers, and what other products and services they purchase.

2. Purchase keyword advertising from the search engines. This strategy
will keep your brand name in front of your target audience.

3. Conduct an e-zine campaign. E-zine advertising is very successful.
E-zines allow you highly targeted advertising with low costs. Most
e-zines offer top, exclusive or classified advertising. If possible,
purchase exclusive rights to a specific time period. This will
increase your success.

4. Place reciprocal links on your site. This is a great way to
increase your exposure with no out-of-pocket costs."

"Finally, track all of your results. You need to know how your
visitors are finding your site. Here are a few sites that offer
programs that will help you track your statistics:" 

2) Companies like Eyeblaster and Pointroll offer a formating medium
for interactive advertising. Their role is to provide effective ways
of presenting ads in an interactive way on the web. Most use rich
media. HTML is a common platform. Advertising companies contract the
technology so that they can employ it is their advertising methods.
Here is a little about these two companies specifically and some other
industry leaders.

"Eyeblaster is a DHTML/Flash solution which creates "floating" ads
over page content. The ads can animate across the page, which works
well for drawing attention to the ad. Eyeblaster only works in
Internet Explorer browsers -- not Netscape. Eyeblaster examples and
more information can be found at their website:"

"PointRoll is a DHTML advertising solution that allows for an expanded
banner footprint from a standard banner size when a user mouses-over
the ad creative. Expand functionality is only operable in Internet
Explorer browsers and will remain static in Netscape. Standard HTML
expand functionality has been widely tested and accepted. The use of
Flash, audio or video requires review and approval from Advertising
Production. More info can be found at:"


"The SUPERSTITIAL® from Unicast is the Internet's Commercial?. The
SUPERSTITIAL empowers Walt Disney's advertisers to combine the proven
persuasiveness of sound, rich graphics and emotion with the
interactivity of the Internet to create integrated, powerful online
advertising. The SUPERSTITIAL pre-loads while the user is not using
their bandwidth and plays perfectly every time.

More info can be found at

Macromedia Flash

"Flash technology is used for interactive vector graphics and
animation for the Web. Web designers use Flash to create resizable and
extremely compact navigation interfaces, technical illustrations,
long-form animations, and other dazzling effects for their site.
They can be reached at"


"This Java based rich media solution is hosted and streamed by
Klipmart. Klipmart streaming media banners can configured to fit into
a multitude of banner spaces, from standard 468x60 banners to a Big
Impression. More information on Klipmart can be found at:"

More here:
(all above cited from this address)

3) From my understanding, these companies simly server the ads and are
contracted by the companies themselves. Here is a description of their
client base from Eyeblaster's website:
"Over 500 agencies use the Eyeblaster Platform, including: Euro RSCG
Circle, OMD USA, OgilvyOne, Mindshare, Atmosphere/BBDO, Avenue A,
Beyond Interactive, DDB Entertainment, Horizon Interactive, Saatchi &
Saatchi, Starcom IP, Carat Interactive,,
TBWA/Chiat/Day, Tribal DDB, Deutsch, Mediacom Digital, Y&R, Universal
McCann, Digitas, DNA Studio, Modem Media, Zentropy and many more.

Over 1,000 web publishers use the Eyeblaster Platform, including
Yahoo!, MSN, AOL,,,, CBS
Sportsline, and online networks like MaxWorldwide, Primedia, Disney
Internet Group, CondeNet, Tribune Interactive, TerraLycos, and many
more. Over 4,000 web publishers are Eyeblaster-enabled.

Over 3,000 campaigns have run on the Eyeblaster Platform for national
advertisers in every major product vertical including: IBM, Disney,
Coca-Cola, AT&T, Visa, Warner Bros., Microsoft, General Motors,
Unilever, Intel, Fox Studios, Sony Pictures, Nintendo, Nissan, Pfizer,
Cingular, Pepsi, Electronic Arts, Universal Studios, Toyota,
Panasonic, Honda, Sony Electronics, Nextel, Johnson & Johnson,
American Express and many more."

4) Different types of agencies profit in different ways. However, all
seem to be contracted to provide a specific service, whether it be on
the creative end, managing the advertising campaign or providing the
format. The base company then intends to profit off its advertising
investment through increased sales of their products or services. More
specific information is available above at the company websites.

5) I have included some summaries of the services and costs of
interactive media campaigns above. However, these costs vary widely
and it is difficult to provide any reasonable "typical cost".

Additional Interactive Advertising Companies:

Ad Site.Com
"Our Traffic comes from expired domain names and popunders."

Thanks again for your question. I will be happy to clarify or add to
my response if this isn't what you were looking for. Hope this helps.

Anthony (adiloren-ga)

Clarification of Answer by adiloren-ga on 19 May 2004 13:05 PDT
sorry - a few quick things- I labeled two seperate phases as "phase 3"
the latter should be phase 4.

Also, My search terms were as following:

"interactive advertising" 
with narrowing search terms:

Clarification of Answer by adiloren-ga on 27 May 2004 13:51 PDT
I just came across this organization that you may want to check out:

Association for Interactive Marketing
cng-ga rated this answer:5 out of 5 stars
  Thanks for the terrific and detail answer...



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