Well, we’re not surprised.
Old trends in the digital market are still being used in Malaysia, after all.
In marketing, we have to constantly update ourselves with new information. It’s one of our core beliefs here at Cause Effect.
Banner ads were a big thing. There’s no denying that.
There were static ads, flash ads and animated GIF ads too.
They were cheap and they worked. The CTR (Click Through Rate) went between 50-90% CTR in the early 2000s!
Well, they’ve stopped working now.
Are we sure about this? Definitely. Let’s take a look.
Why Is It Dead?
1. It’s Obstructive
People have plans. They want to shop. They want to watch videos.
They want to find information.
Banner ads interrupt their plans.
It stops their experience and bothers them.
Users have learnt to ignore their existence over the years. It’s called banner blindness.
Why? Substandard ads, scams, poorly designed ads and links that don’t work.
Yeah, that’s right. Marketers ruined banner ads.
2. Mobile Phones
Users are spending less and less time on their desktop. That’s where your banner ads live. People are making online transactions on their phone and watching videos.
So I’ll spend on mobile phone banner ads instead of desktop banner ads.
That won’t work too, unfortunately.
Banner blindness is especially high for mobile phones.
A. Too Slow
When people were already spending 20% of their time on mobile phones, only 4% was being spent on mobile ads. Users got used to not seeing ads on their mobile phones.
B. Mobile Responsive Websites
Marketers started using mobile banner ads before they were ready for it.
The banner ads brought users to a website that was not optimised for mobile. It didn’t exactly build a good reputation for banner ads.
C. The Big Boys Don’t Use It
It’s simple. There are some internet giants who decide where the trend goes.
They do a lot of research about it. If Facebook and Google don’t use banner ads, you shouldn’t as well.
Even publishers are adopting a different approach these days.
3. It Hurts Your Brand
This is important. People have developed an annoyance towards banner ads.
A research from Retale in 2016 states that 60% of all mobile banner clicks are accidental.
Accidental clicks caused annoyance (68%), frustration (45%) and anger (22%).
Those are not emotions you want to be associated with your brand.
It does not work. What’s worse is it also affects your image and your future marketing efforts.
Sixty-six percent of users who encountered a mobile banner ad said they found the ads themselves to be useless or not very useful.
Cause Effect believes banner ads are better off dead. It uses a one-size-fits-all system that uses the same ad on different platforms and websites.
Each platform and website use a different layout, which will affect how users react to an ad design.
Banner ads are a dinosaur. It’s time to upgrade our marketing skills and look to the future.
What Replaced Banner Ads?
Now that’s the right step forward. Move on and evolve.
Welcome to the world of native advertising.
Google. Facebook. Twitter. Instagram. Wall Street Journal. Forbes.
They’re all using it.
What is it, though?
“A form of paid media where the ad experience follows the natural form and function of the user experience in which it is placed.”
Confused? Let’s simplify it further.
An ad that looks like it belongs. A native ad on Facebook looks and behaves like a Facebook post.
Is that good? Definitely. Here’s why.
Eye tracking studies show that 52% of users noticed native ads more frequently than display ads.
25% more users noticed native ads compared to display ads.
It doesn’t interrupt the user experience. It blends with the content.
A majority of marketers have also learnt from their mistakes. Marketers are encouraged to create ads that have value to customers.
Facebook, for example, incentivises good native advertisements by showing them to more people.
What Do I Do Now?
It’s time to update your marketing strategies and tactics.
Confused about how to start marketing online?
Better yet, send us an email and we can make your transition from banner ads to native ads more efficient.
We certainly hope you enjoyed the article.