Advertising

What is Advertising? What does Advertising focus on? What is it’s purpose? We all know the answers to these questions. Shortly put, advertising means letting the consumers (people) know of new products, services or even new companies. Every day we are fed different audio, video, pictures, banners, text or other types of adds on several information channels. What I want to talk about in this article is the efficiency of these information channels (from the advertising necessities point of view) and some simple ways to make them more efficient.

Existing types of advertising

The most known types of information channels, used also as advertising channels, are: radio, television, magazines/news papers and internet. Let’s say a few words about each one of these.
Radio ads are mostly listened to while driving. They are not the most efficient type of advertising, but they get the message to a lot of people. When we play radio ads, we have to make sure that the target people are the same or a big part of people driving cars.
Television ads are probably the most expensive type of ads. Even if the consumer likes it or not, an interesting movie or a tensioned sports game is interrupted for advertising. We’ve come to accept this and it’s almost natural now.
All types of magazines and news papers use 50% or their space (probably even more) for advertising. They are pretty much targeted ads because you’ll rarely see a dog food ad inside a business magazine.
Nowdays the internet is already a very efficient advertising channel. It has started displaying ads by using banners and pictures and links. Now the best way to advertise on the internet is by context ads, which are basically text ads which provide links to different sites with products and services.

All these type of channels have a very important characteristic: no matter the channel, when an ad is broadcasted / played / displayed / clicked, the channel owner will charge the ad owner. So all the money from the ad go into the channel owner’s pockets.

Problems with the existing type of advertising

Existing types of advertising get ignored by a lot of people each day. Some of us change the TV channel when the movie is interrupted for ads, some of us do not read or even look at ads inside printed magazines, and probably a lot of us have developed a sense in reading web pages without even seeing the ads (I know I have). How do we make people pay attention to our ads, how can we increase the efficiency and return of investment of ads campaigns? What can we do in order to make more people pay attention to our ads?

Solutions

Let’s think about Text Ads. They are probably the youngest type of ads. They tend to change a lot but something remains the same: who cashes the money. It’s always the one that displays the ads. These text ads haven’t embraced the Web 2.0 concept (I used this “Web 2.0″ tag because it’s so used these days that we all know what it means). They haven’t adapted to the “empowering people”, “collaboration” or “social networking” concepts. They have given power to the publishers, so they’ve made a few steps ahead, but they do not bring anything new to the readers, to the users.

The money on ads get to the channel owners without doubt. But you, as a channel owner, how can you make more people pay attention to the ads that you broadcast or publish? It simple: Start sharing the money with the users. Start giving money to your consumers. You don’t have to give your own money, you just have to take less than before and give to your users or viewers a part of the money that you’ve charged for broadcasting or publishing the ads. Is this a crazy idea? I’m sure it sounds like a crazy idea right now, but I don’t think it will sound like a crazy idea in a couple of years. Sharing the money with your users gives you the guarantee that they will start watching the ads. It gives you the guarantee that the users will start noticing the ads. The problem that you need to figure out is how to do that. How can you share with your users the money from advertising? How can you be sure that there’s no fraud? How can you attract people and also ad owners?

If you understand my suggestion and then figure out a solution, you’ll have your idea for a golden startup.