Transcript CMU 300 Week 4: Economic aspects, Industry Standards

New Media
Commercial Operations
E-commerce and
Advertising
E-commerce is:
• The strategic deployment of
computer-mediated business
tools and information
technologies to satisfy business
objectives
• Fundamental shift: more then
extensions of business
Types
• Business to Consumer REI.com
• Business-to-Business Boeing
• Consumer-to-Consumer Ebay
Functions
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Product information
Customer relations
Online sales
Lobbying and public opinion
Computation
Transactions
Planning
Product support
Comparison
Advertising
Product Delivery
Advertising Issues
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Push
Pull
Profiling and Personalization VALS
Measurement & Analysis, see WebTrends
and a log report and A.C. Nielsen
Security, see Verisign
eCash
Business to business promotion
Free services to get exposure Freeweb
Payment for research and exposure FreePC
Advertising Spending
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1998 – 2 billion
1999 – 3 billion
2000 – 5 billion
However, this represents less
than 5% of all ad revenues
Advertising by Industry
Advertising Terms
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Hits
Page view/Impression
Click-through
Duration
Types of ON-line Ads
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Banners: 58%
Sponsorship: 29%
Interstitials
Affiliates or Associates Keyword
search
• Problems: “banner blindness”
and slow loads
New Developments
• Heavy promotion on traditional media
• Pay users to view the ads Dialpad