Contextual advertising is a form of targeted advertising Targeted advertising is a type of advertising whereby advertisements are placed so as to reach consumers based on various traits such as demographics, purchase history, or observed behavior for advertisements Advertising is a form of communication intended to persuade an audience to purchase or take some action upon products, ideals, or services. It includes the name of a product or service and how that product or service could benefit the consumer, to persuade a target market to purchase or to consume that particular brand. These brands are usually appearing on websites A website [citation needed] is a collection of related web pages, images, videos or other digital assets that are addressed relative to a common Uniform Resource Locator (URL), often consisting of only the domain name, or the IP address, and the root path ('/') in an Internet Protocol-based network. A web site is hosted on at least one web server, or other media, such as content displayed in mobile browsers A mobile browser, also called a microbrowser, minibrowser or wireless internet browser , is a web browser designed for use on a mobile device such as a mobile phone or PDA. Mobile browsers are optimized so as to display Web content most effectively for small screens on portable devices. Mobile browser software must be small and efficient to. The advertisements themselves are selected and served by automated systems based on the content displayed to the user.

Contents

How contextual advertising works

A contextual advertising system scans the text of a website for keywords Keywords are the words that are used to reveal the internal structure of an author's reasoning. While they are used primarily for rhetoric, they are also used in a strictly grammatical sense for structural composition, reasoning, and comprehension. Indeed, they are an essential part of any language and returns advertisements to the webpage based on what the user is viewing.[1] The advertisements may be displayed on the webpage or as pop-up ads Pop-up ads or pop-ups are a form of online advertising on the World Wide Web intended to attract web traffic or capture email addresses. It works when certain web sites open a new web browser window to display advertisements. The pop-up window containing an advertisement is usually generated by JavaScript, but can be generated by other means as. For example, if the user is viewing a website pertaining to sports and that website uses contextual advertising, the user may see advertisements for sports-related companies, such as memorabilia dealers or ticket sellers. Contextual advertising is also used by search engines A web search engine is designed to search for information on the World Wide Web. The search results are generally presented in a list of results and are often called hits. The information may consist of web pages, images, information and other types of files. Some search engines also mine data available in databases or open directories. Unlike Web to display advertisements on their search results pages based on the keywords in the user's query.

Service providers

Google AdSense AdSense is an ad serving application run by Google Inc. Website owners can enroll in this program to enable text, image, and video advertisements on their websites. These advertisements are administered by Google and generate revenue on either a per-click or per-impression basis. Google beta tested a cost-per-action service, but discontinued it in was the first major contextual advertising network An advertising network or ad network is a company that connects web sites that want to host advertisements with advertisers who want to run advertisements. Increasingly Ad networks are companies that pay software developers as well as web sites money for allowing their ads to be shown when people use their software or visit their sites. It works by providing webmasters with JavaScript JavaScript is an implementation of the ECMAScript language standard and is typically used to enable programmatic access to computational objects within a host environment. It can be characterized as a prototype-based object-oriented scripting language that is dynamic, weakly typed and has first-class functions. It is also considered a functional code that, when inserted into webpages, displays relevant advertisements from the Google inventory of advertisers. The relevance is calculated by a separate Google bot, Mediabot Mediabot is the name given to the web crawler that Google uses to crawl webpages for purposes of analysing the content so Google AdSense can serve contextually relevant advertising to the page, that indexes the content of a webpage. Recent technology/service providers have emerged with more sophisticated systems that use language-independent proximity pattern matching algorithm to increase matching accuracy.[2]

Since the advent of AdSense, Yahoo! Publisher Network The Yahoo! Publisher Network is a beta network launched on August 2, 2005 by Yahoo!. As the service is currently in Beta, it is currently only accepting US-Based publishers; it is believed[who?] that Yahoo! will expand this when the program comes out of Beta. YPN provides cost per click contextual advertising as well as various tools and services, Microsoft adCenter Microsoft adCenter , is the division of the Microsoft Network (MSN) responsible for MSN's advertising services. Microsoft adCenter provides pay per click advertisements, AOL Sponsored Listings and others have been gearing up to make similar offerings.

Impact

Automatically generated contextual ads sometimes fail to deliver the products they describe

Contextual advertising has made a major impact on earnings of many websites. Because the advertisements are more targeted, they are more likely to be clicked, thus generating revenue for the owner of the website (and the server of the advertisement). A large part of Google's earnings is from its share of the contextual advertisements served on the millions of webpages running the AdSense program.

Contextual advertising has attracted some controversy through the use of techniques such as third-party hyperlinking In computing, a hyperlink is a reference to a document that the reader can directly follow, or that is followed automatically [citation needed]. The reference points to a whole document or to a specific element within a document. Hypertext is text with hyperlinks. Such text is usually viewed with a computer. A software system for viewing and, where a third-party installs software onto a user's computer that interacts with the Web browser A web browser is a software application for retrieving, presenting, and traversing information resources on the World Wide Web. An information resource is identified by a Uniform Resource Identifier and may be a web page, image, video, or other piece of content. Hyperlinks present in resources enable users to easily navigate their browsers to.[3] Keywords on a webpage are displayed as hyperlinks that lead to advertisers.

Agency roles

There are several advertising agencies An advertising agency or ad agency is a service business dedicated to creating, planning and handling advertising for its clients. An ad agency is independent from the client and provides an outside point of view to the effort of selling the client's products or services. An agency can also handle overall marketing and branding strategies and that help brands understand how contextual advertising options affect their advertising plans. There are three main components to online advertising:[4]

  1. creation — what the advertisement looks like
  2. media planning — where the advertisements are to be run
  3. media buying — how the advertisements are paid for

Contextual advertising replaces the media planning component. Instead of humans choosing placement options, that function is replaced with computers facilitating the placement across thousands of websites.

See also

Notes

  1. ^ "Contextual Marketing Definition". http://www.pcmag.com/encyclopedia_term/0,2542,t=contextual+marketing&i=56351,00.asp. Retrieved 2008-07-21.
  2. ^ "Proximic Signs Deals With Yahoo and eBay To Turn Product Listings Into Contextual Ads; Taking on AdSense". http://www.techcrunch.com/2008/01/15/proximic-signs-deals-with-yahoo-and-ebay-to-turn-product-listings-into-contextual-ads-taking-on-adsense/. Retrieved 2008-01-15.
  3. ^ "Customers Now", David Szetela, 2009
  4. ^ "Customers Now", David Szetela, 2009

Further references

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'Contextual Advertising' News
Google, Apple ready for battle - GulfNews
gulfnews.com
Google, Apple ready for battle - GulfNews
Fri, 13 Aug 2010 06:11:10 GMT+00:00
GulfNews Google, Carrington says, already knows how to do the contextual part of a scenario like this. We're still working on the location-based bit, he adds. ...
Google News Search: Contextual advertising,
Fri Sep 3 03:20:55 2010
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