Less Than Half of Advertisers Use Online Display Ads for Branding

From our friends at the Center for Media Research comes the following, cut and pasted in its entirety becasue I am too lazy to edit today. My comment? All advertising--even lead generation efforts--had better be about building your brand or you are wasting your money.

"Marketing Sherpa, in it's inaugural Online Advertising Handbook with 2008 Benchmarks, using both primary and secondary research, reports that less than half of advertisers use online display ads for branding purposes, despite overall increase in branding effectiveness of online ads, low click rates getting lower, and 80% of all clicks coming from the same 20% of all Internet users. According to the report, to choose an advertising strategy that will affect ROI, not clicks, marketers surveyed said the two tests they ran that were most likely to "significantly increase ROI" were online ad effectiveness studies and online focus groups.

The included eyetracking study shows that most individuals don‘t see most ads served to them -- especially ads served below the fold. And, says the Executive Summary, media delivery reports rarely include information on whether, or what percentage of, a media buy was served above or below the fold. According to the included chart of placement results, just being above the fold makes a significant difference.

The study notes that advertisers rate the ability to use behavioral and contextual targeting to be important as key ROI drivers, and quotes InsightExpress research, showing that targeting is a key driver of effectiveness and that ads are more effective in 2007 than they were previously.

The summary concludes that the key takeaway for advertisers is that the context in which an ad is served is just as important as the ad itself.