Environmental Technological developments and increasing internet audience worldwide has generated major changes in the advertising sector. This major generational change, coupled with the effects of recession and economic crisis have been sufficient grounds for brands and advertisers change their strategies and trends towards media and digital media like the Internet that are gaining more confidence every day.
Yet despite the growing popularity of advertising and online marketing strategies, the basis of their functioning and sustainability are being questioned by the vast majority of media and media that operate through the network.
Search engines, social networks and media capture most of the online advertising pie, but in some of these cases, the return and the profits appear to be insufficient or security to support some of their business models.
In the case of digital media, establish a business model based solely on advertising is difficult and very risky. However for this type of media is vital to have an important source of income to maintain a professional environment and competitive publishing.
The environment seems to force Internet with its own voice direction to follow. The fashion trend points to social networks as the best media for brands and advertisers. However, despite that these networks are still growing in audience, the effectiveness of your advertising is still being debated and questioned.
The digital advertising business internet geared to the medium owes part of its success to pioneers who marked a starting point from which to evolve. However, many of these companies have led to a devaluation of the media and their quality, relative to lower the costs for advertisers.
At this point, we might assume that this has served to encourage and convince advertisers to invest in this medium. However, the problem generated is simple. The advertising was not really being a profitable business for the vast majority of media professionals working across the network, or at least is not helping to achieve the goals and objectives for which it was conceived.
We could use a comparison odious. As in such sectors as agriculture, the product has gone from a direct trade relationship to be distributed through intermediaries to reach the final customer, and in this process has lost much of the benefit they receive the supports. Though considered a fundamental process of trade, this is no less unfair when the benefits are minimal and disproportionate. For this reason, many major media begin to skip this part of the chain to market its space in a much more direct and profitable.
Much has been discussed about the different advertising systems based on CPM, CPA or CPM. All of them maintain a common denominator for the advertiser, “seek the greatest return by the lower investment. Although in theory such a claim could be counterproductive, the average cost established in the market illustrates the difficulty of media and means to generate sufficient profits and revenue needed to make profitable and sustainable business. Although there is variation in estimates and costs between each of the media or media, the market imposes its strength and sometimes the quality is excluded and sidelined. It loses its value.
Outside internet advertising seems to hold other rules are quite different. As if to be another reality, large brands spend money in advertising to sponsorship, branding and brand strategies to gain visibility and generate a continuing impact. However, the “Branding” is positioned at the bottom rung of online advertising. Almost a prohibited strategy and not for lack of effectiveness, but precisely for that advertisers know they can take other forms of advertising that can not afford these strategies cover the actual value thereof.
To protect this flank, has ingeniously created another strategy based on the conversation and participation of users to generate more excitement around certain companies and brands. The Social Media Marketing as well been called, has gained great prominence as innovative trend for brands to push it though, it has also resorted to the topic of putting up does not require a large investment or even that does not involve any cost.
The culture of ‘free’ seems to be a burden that drags the medium Internet and posed an insurmountable barrier. On the Internet everything is worth little or nothing, and even the value of news reporting is reduced to ashes. Hopefully this does not happen in the online advertising market that could presage an unexpected future.