Digital Advertising Formats

Digital advertising formats refer to the different types of online ads that advertisers can use to promote their products or services. Here are some common digital advertising formats:

  • Display Ads: These are visual ads that appear on websites, typically in the form of banner ads, pop-ups, or interstitial ads. Display ads can be static or animated, and may include text, images, videos, or interactive elements.
  • Video Ads: These are ads that appear before, during, or after online video content. Video ads can be skippable or non-skippable, and may include pre-roll ads, mid-roll ads, or post-roll ads.
    The visual and narrative richness of video can enthral and inform audiences in a way that no other medium can. It is not surprising then that video ads achieve the highest click-through rates among all digital ad formats.
  • Search Ads: These are text ads that appear on search engine results pages (SERP) when users search for specific keywords or phrases. Search ads are typically pay-per-click (PPC) ads, meaning that advertisers only pay when someone clicks on their ad.
  • Social Media Ads: These are ads that appear on social media platforms such as Facebook, Instagram, Twitter, LinkedIn, and Snapchat. Social media ads can be in various formats, including text, images, videos, carousel ads, or sponsored content.
  • Native Ads: These are ads that blend in with the content of the website or app where they appear. Native ads are designed to look and feel like regular content, so they are less disruptive to the user experience.
  • Rich Media Ads: These are interactive ads that use advanced features like animation, audio, and video to engage users. Rich media ads may include expandable ads, interstitial ads, or in-banner video ads.
  • Audio Ads: These are ads that appear on streaming audio platforms like Spotify, Pandora, or Apple Music. Audio ads can be either voiceover or music-driven, and they typically run between 15-30 seconds.
  • In-Game Ads: These are ads that appear within video games, either as static or dynamic ads. In-game ads can be displayed on billboards, banners, or within the game environment itself.
  • Influencer Marketing: These are ads that use social media influencers to promote products or services. Influencer marketing can be in the form of sponsored posts, product reviews, or influencer takeovers.

Pricing Models

Here are some common pricing models used for online advertising:

  • CPM (cost per thousand [mille] impressions) — Advertisers pay for every thousand impressions or views of their ad. This model is often used for display ads.
  • CPC (cost-per-click) — Advertiser pays each time someone clicks on their ad. This is a common pricing model for search ads, where advertisers bid on specific keywords and pay for each click their ad receives.
  • CPCV (cost-per-completed-view) — Applicable for video ads — advertiser pays only if the viewer watches the entire ad. This is sometimes also referred to as a CPV (cost-per-view) model.
  • CPA (cost per acquisition) — Advertiser pays for acquisitions delivered by ad. Acquisitions relate to specific actions taken by the viewer, such as filling out a form, making a purchase, or signing up for a newsletter. The advertiser pays only when the desired action is completed.

It is worth noting that there are other pricing models used in online advertising as well, including CPE (cost-per-engagement), which charges advertisers based on user engagement with their ad, and flat fee models, which charge a fixed price for a specific period of time or ad placement. Advertisers will typically choose a pricing model based on their goals and the type of ad they are running.

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