Effectiveness of Display Advertising

by Anand on October 2nd, 2009 Share on    

Display advertising is seen to be reducing in its effectiveness over the years and there has been a sharp reduction in the click through rates (CTR) just in the past two years – Maybe because a lot of them are now on social networks, which are perennially low in CTRs.

Percentage of internet users who click on display ads has dropped from 32% in 2007 to 16% in 2009
8% of the internet users alone constitute for 85% of all clicks on display ads

Note that the study does not show that the ROI on Display advertising is getting poorer by the day. Instead it shows that CTR is not the right metric to measure the effectiveness of display ads.

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1 Leading Publishers of Online Display Ads by Content Categories @ Tech Crunchies – Internet Statistics and Numbers { 10.13.09 at 7:13 am }

[...] Digg Facebook Google Yahoo! Buzz Twitter StumbleUpon Follow me on Twitter Online display ads have low CTRs. Part of the blame goes to the fact that people are now blind to display banner ads. Another part [...]

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