These developments point towards one fact: the Internet is an effective medium. It is also one of the most dynamic of all media, making it perfect for interactive advertising. Also in interactive Internet advertising's favor is the fact that the average customer of today does not listen or view promotional messages in isolation; he or she would rather be part of the entire process. Thus, we see more marketing efforts designed with evolving customer desires in mind.
To this end, marketing and advertising efforts are no longer directed towards brand communication or product promotion in isolation. They take into account the consumer's preferences, shopping habits, television viewing habits, and even things like work and vacation patterns. In short, marketing is all about understanding the consumer's lifestyle.
Now imagine a medium that provides the advertiser instant answers to such lifestyle questions. The answer is the Internet, through which consumers can click to answer questions and indicate preferences. Interactive advertising has moved beyond ads in other media. Consumers can instantly see if the product or the brand being advertised will add value to their lives or not.
This exercise provides valuable insight to advertisers: how does the brand fit into the consumer's life; what new products may also appeal to him or her?
However, there is a catch here: the need to tailor the ad communication to the website.
A look at blogs and social networking sites will reveal that they do not always attract as much advertising as they would like to. On the other hand, there are blogs and sites so cluttered with ads that the average Internet user is not likely to give them more than a glance.
One reason Internet advertisements may not hit their target is because blogs and social communities are focused points of information. Blogs, a very personal medium of expression, generally reach a close circle of readers, and social networking sites attract a consistent audience drawn by common interests. Because of this, ads that are not relevant are lost on these viewers. The financial cost of just a few such "lost ads" can also be enough to derail the carefully crafted media plan of an advertiser.
Aside from the cost factor, advertisers fear that placing an ad in the wrong environment will create a negative image of the brand or product in the mind of the consumer. However, the focus of all successful advertising is aligning the product or brand with the medium, and in turn, with the consumer.
Interactive advertising goes a step further; it allows the customer to participate in the product or brand communication.
