Page 301 - Introduction to Electronic Commerce and Social Commerce

Key Terms 287

several limitations, including data accuracy and represen- opinions, and so forth. Advertising is enhanced by user-
tation of the statistical population generated by using an generated ad content, viral marketing, and better
incorrect sample. segmentation.
4. Objectives and characteristics of Web advertising. Web
advertising attempts to attract surfers to an advertiser’s
site. Once at the advertiser’s site, consumers can receive KEY TERMS
information, interact with the seller (e.g., chat with an
online representative), and in many cases, are given a Ad views
chance to easily place an order. With Web advertising, ads Affiliate marketing
can be customized to fit groups of people with similar Affiliate network
interests (segmentation) or even individuals (one- to- one). Banner
In addition, Web advertising can be interactive, is easily Banner exchange
updated, can reach millions at a reasonable cost, and Banner swapping
offers dynamic presentation and rich multimedia. Behavioral targeting
5. Major online advertising methods. Banners are the Biometrics
most popular online advertising method. Other frequently Button
used methods are pop-ups and similar ads, e-mail (includ- Click (ad click)
ing e-mail sent to mobile devices), classified ads, registra- Clickstream behavior
tion of URLs with search engines, and advertising in chat Clickstream data
rooms. Some of these are related to search results obtained Click-through rate/ratio (CTR)
through search engines, such as keyword advertising Collaborative filtering
(especially on Google). Social network communities pro- Conversion rate
vide new opportunities for marketing by enabling seg- Cookie
mentation, viral marketing, user-generated ads, and more. CPM (cost per mille, i.e., thousand impressions)
Advertising in videos is gaining popularity as well. E-mail advertising
6. Mobile marketing. With the increased use of mobile E-mail marketing
devices comes the opportunity to reach individuals wher- Hit
ever they are at any time. Despite the small screen size, Interactive marketing
advertisers use clever designs to show not only banners Interactive video
but video ads as well. Mobile ads are designed for the Landing page
young generation and some of these are interactive. The Live banner
younger generation is especially active in viral Localization
advertising. Mobile advertising (m-advertising)
7. Various advertising strategies and types of promotions. Mobile marketing
The major advertising strategies are ads associated with Mobile market research
search results (text links), affiliate marketing, monetary Page
or other types of incentives for customers to view ads, Pay per click (PPC)
viral marketing, ads customized on a one-to-one basis, Permission advertising
and online events and promotions. Web promotions are Personalization
similar to offline promotions. They include giveaways, Personalized banner
contests, quizzes, entertainment, coupons, and so on. Pop-up ad
Customization and interactivity distinguish Internet pro- Pop-up banner
motions from conventional ones. It is also important that Random banners
marketing projects are localized to meet the unique needs Search advertising
of different cultures. Search engine optimization (SEO)
8. Implementation topics. In permission marketing, cus- Spyware
tomers are willing to accept ads in exchange for special Static banner
(personalized) information or monetary incentives. Ad Transaction log
management deals with planning, organizing, and con- User profile
trolling ad campaigns and ad use. Ads can be localized to Viral marketing (viral advertising)
culture, country, and so forth. Market research can be Viral video
facilitated by feedback from bloggers, chats in social net- Web bugs
works, recommendations of friends, reading members’ Web mining