What are display ads?

Display Ads, header image

Display ads or display type advertising is a online advertising format in which advertisements are displayed in the form of banners, with a series of images, text, video or audio representative of the offer, on the target web pages, usually represented at the top or side of the web page.

Display ads are the typical advertising banners found on the vast majority of pages and websites on the Internet.

Although this advertising format can be contracted directly, it is most often done through intermediaries. In this sense, in the display ads there are three main actors the affiliate platformssuch as Google Ads that act as intermediaries between the two interested parties. These are responsible for managing the process of changing the percentage of earnings and advertisers can more easily manage the process of choosing the websites on which they advertise. Finally, there are the advertisers and the webmasters, who are the ones who offer the advertising space on their websites and blogs.

As for payment models, in display advertising there are four different formats. Choosing one or the other depends on the advertiser and the objectives of the campaign. The payment models of display advertising are:

-Flat rate: This is a fixed amount, which can be daily, weekly or monthly, agreed by the two parties (advertiser and webmaster), which will be independent of the results. This option is not available on platforms such as Google Ads.

-Cost per action: In this modality the advertiser only pays when the user performs a certain action, such as buying a product or requesting a trial. This is a complicated option, but it can be very profitable.

-Cost per click (CPC): In this mode you only pay when a user clicks on the ad.

-Cost per thousand impressions (CPM): It is usually, along with CPC, the most common model on platforms such as Google Ads. The advertiser pays an agreed amount every time the ad is shown 1000 times on the platform.

What are the advantages of display advertising?

The first one is that it is very easy to measure the resultsIt’s easy to monitor key metrics such as impressions, frequency of display, CTR, etc. In this way, it is also very easy to optimize the ads to improve performance by performing A/B tests and tests.

On the other hand, it is possible to segment campaigns so that they are shown to the target audience, achieving a much higher performance. In addition, this type of advertising has a great visual impact, although in recent times users have learned to differentiate the banner from the real content, so it is also possible that, if it is not really attractive, the ad goes unnoticed.

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