What is digital advertising?

Andrew Chornyy - 001
Andrew Chornyy

CEO Plerdy — expert in SEO&CRO with over 14 years of experience.

Digital marketing Blog

Using the internet as a digital advertising channel is, by all means, an objective necessity for any company that doesn’t want to lose competition in nearest future. If you don’t have a website yet, because you’re still satisfied with the current state of things, it doesn’t necessarily mean that everything will keep going the same way. If a business doesn’t get clients from the web yet, it doesn’t mean there are none there.

Frequent Google searches about Digital Advertising:

  • What does digital media offer that tv advertising does not?
  • How much does digital advertising cost?
  • Which of following is an example of digital advertising?
  • Why is native advertising an effective digital advertising technique?
  • What does cpm mean in digital advertising?

The main advantage of online digital advertising is conveying information to the target audience without any geographical limits. Moreover, the possibility of clear focusing and measuring results allows optimizing marketing budgets and sales.

Payments for online digital advertising are commonly done by means of following schemes:

  • cost per thousand (CPM): an advertiser pay for amount of his ad’s impressions;
  • cost per click (CPC): an advertiser pays every time a user clicks on his ad;
  • cost per action (CPA): an advertiser pays for a certain action performed by a potential client (purchase, applying, etc.).

In the case of placing an ad directly on a certain website from a relevant niche according to an agreement with the owner or somebody in charge, an advertiser can pay according to a fixed tariff, but it’s not common.

Main types of online digital advertising

There are several main types of online digital advertising differing by way of interaction, complicacy of settings and running a campaign, placement, and other features.

Understanding essence, advantages, and disadvantages will let you avoid the risk of wasting money. Anyway, before starting to use a certain type of advertising, you should consult with an expert.

Contextual advertising (PPC)

This is one of the most widespread and popular types of advertising. You pay in case a user clicks on ad and goes to website.

Contextual ads can be shown in:

  • search results:adwords
  • on partners’ websitesad on website

In search results, ads are shown when a user searches for corresponding keywords connected to an advertising campaign. As for partners’ websites, ads are formed according an analysis of a page content and user’s interests. That’s why it’s called contextual advertising, there is no specific search query for it.

Search engines perform as providers for contextual advertising. The biggest service for it is Google Adwords.


Remarketing is one of the functions available in systems of contextual advertising. But because of a range of peculiar features, it can be a separates type of advertising. The essence of remarketing is the possibility to track website visitors and show them ad on other resources.

For example, if conversion figure is 1%, it means that 99% of website visitors leave resources without making a purchase or doing any other conversion actions. Using remarketing, you’ll be able to remind them about website so that they can reconsider their options.

Google always improves its ways of monitoring users’ behavior, which gives bigger opportunities for running advertising campaigns. Nevertheless, remarketing’s disadvantage is that users can see the same ad again and again, no matter if they are interested or not.

Search Engine Optimization (SEO)

Search Engine Optimization is a complex of ways used to increase a website’s search results rate using keywords to get more traffic to resources.

SEO has a range of features that significantly make it different from other types of online digital advertising. One of the features is that it takes a while to see the effect. It is impossible to get an immediate result from SEO.

Display advertising

This is one of the first kinds of online digital advertising that appeared at the dawn of the World Wide Web era. Point of display advertising is placing banners on different websites; when users click banners, they automatically go to the advertiser’s target page. You can easily track such traffic using web analytics services.

You can launch display advertising using Google Adwords that provides all necessary options. Besides, you can negotiate the placing of your ads with owners of interesting resources for you. You can request banners from web designers.display ad

Display advertising loses its popularity because the internet keeps progressing, and new effective methods of attracting clients appear. In eCommerce, even leaders on the market don’t use display advertising much. Bi, it’s still beneficial when combined with PPC and remarketing. And it surely stays a useful tool for making a brand recognizable.

Advertising in social networks

This is one of the main types of digital advertising on the internet. Besides, SMM is actively used. This is marketing in social networks that aims to create and develop groups around a certain brand page.

The possibility of showing ads is available in any big social network.facebook ad

Besides, you can use different formats for ads. Testing and analyzing them will let you build the most successful strategy.

Teaser campaign

It’s a mix of display and contextual advertising with a range of features allowing it to be a different type. The teaser is an ad that consists of a headline, a short text describing a product, and a picture. Here’s how teasers typically look like:

A bright headline, an intriguing text, and an appealing picture are used. As a result of CTR-teaser’s performance, there can be an increase in contextual advertising on partners’ websites.

Cost per action (CPA)

This format of online digital advertising is often called affiliate marketing.

The model of CPA applies such a mechanism when an advertiser pays only in case a user acts. Consequently, risks for advertisers are minimal since they get a kind of guarantee of investments return.

On the other hand, CPA is not in big demand for publishers since, despite big rewards, profits may vary depending on the type of product you advertise, the quality of the advertising campaign, and many other factors.

Mobile advertising

This type of digital advertising is interesting because it allows appealing to the potential audience by its most personal device – smartphone. This gadget stays with a person all day long is an obvious advantage of mobile advertising.

Google has created a unique platform for mobile advertising – AdMob. Besides, you can create ads for mobile devices in AdWords. Anyway, launching a mobile advertising campaign will let you use all advantages of contextual advertising listed above.

For example, technologies of detecting a user’s location allow marketers to launch focused advertising.

More than a trend

Online digital advertising – is not a trend anymore, although some entrepreneurs keep seeing it like that. Nowadays, it is a necessity. It can be effectively used not only for selling products and services but for promoting brands too.

Some old-fashioned companies, for some reason, keep avoiding moving online and working in this direction. But facts tell us that clients make a business take such a step sooner or later.

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