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Potentials of online advertising largely untapped

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Potentials of online advertising largely untapped

Advertising on the Internet is still at its nascent stage. Experts say that online advertising would grow only if the stakeholders in the domain adopt innovative methods. Speaking on the subject at the recently held iZone Round Table on ‘Business on the Internet: Real or Virtual’, Arun Tadanki, President & MD, Monster Asia, said that online advertising would have to don an innovative mantle. He felt there is ample potential for online advertising to grow and illustrated this point by stating that a significant number of classified job advertisements have shift from print to online because they get better positioning.

He said that the total number of online advertisements is small and hence every advertisement gets a good display. “The Internet is an extremely economical medium to advertise,” he said.

Amitabh Singhal, President, Internet Service Providers Association of India (ISPAI), added that online advertising has more than doubled in the recent years but felt that the volumes could grow by way of inter-media advertising.

Mahendra Swarup, CEO, Times Internet Limited, said that unlike other mediums, the Internet has not used print or television to grow. He said that TV listings and ratings, for instance, could be more effectively advertised through the Internet. But he added that online advertising is constrained by an archaic mindset that rules the advertising world.

He explained this by stating that while the exact reach of print and television is a matter of speculation, the Internet reach can be calculated to the last digit. Further, there has been no attempt to use the multiplier with regard to Internet user points. “For instance, a PC in a cybercafe may be used by more than 50 persons in a day. But such factors are not taken into consideration while calculating the Internet reach,” he said.

Swarup also felt that a significant number of people in the advertising world are not acquainted with the potentials of the Internet and therefore advertising doesn’t happen on the Net in the way it should have.


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