VietNamNet Bridge – The display at network is believed to witness a boom in 2013, while the banner advertisement would gradually fall into oblivion.

New times, new ad display methods

The recent years have witnessed the rise of online ads, especially display ad with banners. Besides, ad pieces have also been delivered via emails, mobile messages, key words or under the form of articles on newspapers.

However, Nguyen Minh Quy, General Director of NovaAds, said the turnover from the banner ad, which has been existing since 2009, has decreased sharply.

A survey on 20 leading websites in Vietnam has found out that in 2008, banner ads brought 80 percent of the total online ad turnover, while the figure dropped to 74 percent in 2010 and to 66 percent in 2011.

It is expected that the banner ad revenue would only make up 22-24 percent of the total online ad turnover in the next coming years.

The decrease in the popularity of banner ads has been attributed to the disadvantages of this type of ad. For example, it is difficult to count the number of clicks to the ad pieces. Besides, businesses cannot choose the subjects and cannot find out optimal support to ad campaigns. It lacks the capability for positioning and choosing targeted groups of customers for different groups of products.

Therefore, the market has witnessed a strong shifting from banner ad to automatic display ad network since 2011. The new method can connect the advertisers with tens or thousands of websites through a single account, thus helping advertisers manage and measure the efficiency of ad campaigns, which allows them to find out the most effective ways for the campaigns.

Advertisers have been attracted by the automatic display ad network also because they only have to pay if viewers click their mousse to the ad pieces about their products, 1000-1500 dong per click.

In 2012, the ad networks Admarket, Innity, Vat gia, Ambient, Ad360, Adnet, Vietad reportedly attract tens of thousands of enterprises.

Quy thinks that the revenue from automatic display ad network would soar in 2013. He said that a good ad network is the one which has some characteristics as follows: 1) friendly and easy to use 2) having large coverage 3) allows to give real-time detailed statistics 3) international standard IAB 4) having the capability of optimizing ad campaigns.

Especially, it needs to have a good system which allows to prevent virtual clicks. Quy stressed this should be a very important requirement in Vietnam, the country which is believed to have the highest percentage of virtual clicks.

However, automatic display ad network proves to be not the smartest ad method. It still cannot allow to recognize and target the right customers, cannot measure Internet users’ online behaviors.

Therefore, in mid 2012, the market saw the appearance of the next generation ad method – the context ad – Google Display Network. The network has had a large coverage after six months of operating in Vietnam. Meanwhile, NovaAds and E.click of FPT Online are expected to come out in 2013.

Online marketing still grows slowly

The budgets for online marketing allocated by Vietnamese businesses now still account for the smallest proportion in their budgets for communication campaigns.

A market survey by TNS Media showed that the total revenue spent on ads on mass media in Vietnam in 2011 was 16,357 billion dong, up by 24 percent over 2010. Of this, the ads on Internet brought the lowest revenue, just accounting for five percent. Meanwhile, newspapers and journals 14 percent and TV 81 percent.

Buu Dien