Business owners on a limited budget who want to take advantage of Internet marketing strategies such as banner ads may find banner exchanges useful. The ideal use of banner ads would include placing your banner ad on a website which receives a lot of traffic and attracts an audience who will be interested in your products or services.
Additionally, this website should not directly compete with your business. This scenario may be difficult to find and, even when a business owner is able to find such a site, purchasing advertising space may be expensive, especially if it is a highly competitive niche.
Banner exchanges are an affordable alternative.
The most appealing factor of banner ad exchanges: participation is free. Unlike placing a banner ad independently, there is no cost for the appearance of your banner ad on another website but you do have an obligation to fulfill. You will be required to post at least one banner ad, and sometimes more, on your website in exchange for having your banner ad displayed on another website.
Many banner ad exchanges will attempt to match your banner ad to a relevant website but this is not always possible. Your banner ad could wind up on a website which is not relevant to your products or services. This, in all likelihood means the banner ads will generate very little interest in your products and services. Similarly, the advertisements you are asked to post may not complement your website.
You will likely have the opportunity to reject advertisements you find offensive but will have little control beyond that to moderate the banner ads on your website.
Another very affordable option for placing your banner ads on the Internet may include starting an affiliate marketing campaign. This is an Internet marketing campaign in which website owners, or affiliates, post your banner ad on their website and attempt to promote your products and services for you. The banner ads typically include graphics and text which entice Internet users to click through the ad to your website and also include embedded code that provides you with feedback detailing which affiliates generated the website traffic.
This information is necessary because affiliates are typically not paid unless they achieve a desired result such as enticing Internet users to click through the banner ad or make a purchase. The affiliates are typically compensated either on a cost per click basis or a cost per sale basis. Cost per click means the affiliate receives a predetermined amount of money each time a user clicks on the ad. Cost per sale means the affiliate receives either a flat fee or a percentage of the sale for each sale generated by the affiliate. Affiliates may also be paid on a cost per lead basis which means they are compensated when a user performs a specific action such as registering with a website or filling out a survey. Most people favor affiliate programs because it is a cost-effective way to place banner ads online.
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Source: http://www.coltecit.com/coltecit/blog/post/2013/01/18/Participating-In-Banner-Exchanges.aspx
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