Banner ads have been the standard in online advertising for quite some time. But it’s no more effective than a 30-second TV commercial. A better way to go may be rich media that combines animation, sound and video to get the attention of Web surfers, according to two recently released studies.
The study by IPSOS-ASI [http://www.asiresearch.com], entitled Rich Media I, measured brand awareness, user interaction with the ad, and its likeability. It found that:
- Brand recall of rich media advertising averages 44 percent, a significant 34 percent higher than brand recall of narrowband, or GIF banners.
- More than half of broadband ad viewers who clicked on the ad spent between 30 seconds to five minutes at the advertiser’s site.
- The higher recall rates and increased advertiser interaction found in rich media significantly lowers the cost per branding impression of online ads.
“Results of the study show that there is a ceiling in narrowband advertising that broadband has the capability to break,” explains Suzanne Brisendine, director of Intel’s [http://www.intel.com/] interactive marketing program. “Increased bandwidth enables advertisers to communicate messages more effectively, build consumer awareness and potentially generate higher click-through rates.”
But while rich media seems to be more effective, right now only a small percentage of Web users have the capacity to view anything beyond basic text and images. Only 19 percent of users have audio and even fewer have access to technology to view video. This will certainly increase over time. The question is how long.
Among the advertisers that participated in the IPSOS-ASI study was toy seller Toysrus.com [http://www.toysrus.com/]. The retailer says the study was the perfect testing ground for broadband advertising. “Our goal was to raise the awareness of Toysrus.com and specifically to drive online sales,” says Deb Kimball, general manager of Toysrus.com. “We extended our electronic storefront and simulated the experience of interacting with select toys. Broadband delivery speeds and multimedia intensive ads generated positive sales results during our peak season and achieved over 50 percent brand recall.”
Another new study by Millward Brown Interactive [http://www.mbinteractive.com/] confirmed the results of the IPSOS- ASI experiment. Three advertisers that participated in the Millward study realized a 340 percent increase in user click-through with rich media.
What makes these studies especially important is that for the first time there is a way to “quantify the entire branding experience — not just click-through,” explains Susan Bratton, director of interactive advertising for @Home Network [http://www.home.net/]. “This is a highly valuable metric for advertisers. By trying to understand how consumers view and use online advertising, we’re helping the early adopters and the industry comprehend the broader value of rich media and to get the most from it.”
What these studies fail to consider, however, is the lack of broadband technology usage among Web surfers. According to the GVU’s 10th WWW User Survey [http://www.gvu.gatech.edu/gvu/user_surveys/survey-1998-10/], 19 percent of respondents use audio technology, 3.9 percent use video, 6.6 percent use 3-D, 22.9 percent take advantage of Javascript and 9.9 percent use other Internet technology. So while broadband ads may be more effective than standard GIF ads, the question remains, Are there enough users out there to make the investment in rich media ads worthwhile? Only time will tell.
Interestingly enough, IPSOS-ASI Interactive has recently announced plans to launch a second study into broadband advertising on the ‘Net. The new study will focus on a variety of ad models and technology options within ads to identify the most effective way to attract and engage viewers. Results of the second Rich Media study will be released in mid- to late-1999.
