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  Internet Advertisement

Internet advertisement
Online advertising is a form of promotion that uses the Internet and World Wide Web to deliver marketing messages to attract customers.

Online advertising may appear on search engine results pages, banner ads, blogs, rich media Ads, social network advertising, interstitial ads, online classified advertising, advertising networks and e-mail marketing, including e-mail spam. Many of these types of ads are delivered by an ad server.

The cause that differs online advertising with offline advertising is the use of the central server to distribute ads to consumers, potential customers, track and report their effectiveness which is hardly done by other traditional campaigns.

In Vietnam:

Today, online advertising in Vietnam can be seen easily on most e-news pages. However, only a few pages live on advertising. While e-comerece websites have not shown much positive signals.

Banners, pop-ups and videos are the three most popular types on advetising parts on websites in Vietnam. While other companies on the world has provided their customers more choices such as: online survey, multimedia (in-game ads, in-stream ads, etc)

Cimigo conducted a research on data of websites, advertiing network, media agencies and companies that are using online merketing. Data is collect directly from those ones tell online marketing merket in Vietnam still slow comparing to the growth of the country. Internet is becoming more and more popular to the people but online advertising is only a litlle in total investment. This number is also very low comparing to other countries in South East Aisa. On average, to approach a customer, each manufacutrure spend only 50 cents (10.000vnd) a year while this number is 15 times higher in China.

Although it seems still quiet in the market, there are small trends moving under the surface and preparing for higher steps. Entrepreneurs start using online advertising as another mean in their marketing strategies as it shows the most up to date technologies together with support from globalization of Internet. Some human resource companies also expand to online marketing and make it long term policy.

Market size and usage ratio:

The ratio of user in Vietnam is growing fastest in the area (12%) after 14 years joining Internet community (1/12/1997). Up to February 2012, there are 30,8 million of internet user in Vietnam (15% Vietnam population ). It is considered beneficial land for online advertising industry to grow.

According to Google’s update about advertising market on second quarter this year, the total turnover of advertising and media in Vietnam until 2011 was $ 783 millions. Among this, turnover of online advertising market was $35 millions. The number may grow to $60 million in 2012 and $ 100 millilons in 2013 as some predictions said. It is still a humble number comparing to other countries in South East Asia. However, experts propose that Vietnam market will grom from 50% to 100% in coming years.

Now,the budget for online advertising per user in Europe countries is apporximately $200/ user. In America, it is $171,5/ user, $14,5/user in Russia and $10/user in China. These numbers show the potency of each Internet market is different. In Vietnam, the capacity in market is ample as the figure is only at $0,5/ user. Unfortunately, advertising companies in Vietnam is still at low pace while the amount of user in growing faster and faster.

Gorvernors said, until 2005, Internet will be cover up to 70% population, this will bring the number of internet user in Vietnam up to 40 minllions. Besides that, most of Vietnam enterprises are small and medium which are the most suitable for search engines.


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