What is Display Advertising? Definition and examples

Display advertising involves the use of visual or graphical advertisements. Since the advent of the Internet, it has been increasingly done online. Online, in this context means on mobile apps, computers, tablets, websites, and other digital platforms.

Display ads can take various forms, such as videos, banners, or interactive rich media. Advertisers typically place them in designated areas of an app, social media platform, or webpage.

Web Banner - Display Advertising
A Wikipedia image adapted by Market Business News.

Indeed.com has the following definition of the term:

“Display advertising is the process of promoting a product or service through visual ads on websites, social media channels and digital platforms.”

“The most common visuals used to create display advertisements include photos, graphics, videos and animations. Display ads may also appear as banner or text advertisements on third-party websites.”

Purpose of display advertising

The main aim of display advertising is to promote specific products and services to a target audience. Many marketing managers say it is also a great way to generate brand awareness.

You can use demographics, interests, consumer behavior, location, and other targeting options to reach your desired audience. Hitting the right consumers with good quality display advertising can lead to higher engagement and better conversion rates.

Conversions rate, in this context, refers to the percentage of inquirers, webpage visitors, or people who view your advertisements who become paying customers.

Offers flexibility

Display advertising offers great flexibility. You can choose from variety of ad formats, placements, and sizes to fit your specific marketing requirements, goals, and objectives. The words advertisement, advert, and ad have the same meaning.

You can also use DCO (dynamic creative optimization) to test many different versions of an advertisement to determine which is the best performer. DCO is a type of programmatic advertising that allows sellers to optimize the performance of their creative using real-time technology.

Display advertising using CPM or CPC

In most cases, this type of advertising is sold on a CPM (cost-per-thousand) or CPC (cost-per-click) basis. With CPM, the advertiser pays a fixed amount for every view or impression of the advert.

With CPC, the advertiser only pays when people click on the ad.

If you decide to embrace display advertising, make sure you do not saturate visitors with too many ads. Overexposure can lead to ad fatigue and lower consumer engagement. You could also drive visitors away or encourage them to install ad-blocking technology.

Monitor and optimize all the time

You must continually monitor and optimize your advertising campaigns to make sure that they are reaching the right audience and generating a positive ROI, which stands for return on investment.
Display advertising is one of many marketing tactics you can employ, such as SEO (search engine optimization) and content marketing. Overall, it is a popular and effective way to promote your product or service in a niche market.