ABSTRACT
This chapter investigates the impact of content and design elements on the click-through rates of banner advertisements using data from 8,725 real banner advertisements. It examines banner advertising effectiveness (measured by click-through rates) and differences between business-to-business and business-to-consumer banner advertisements. The chapter concludes that internet advertisements build brands (i.e., increase advertisement awareness, brand awareness, brand image, or intent to purchase). While a lot of resources are being spent on Internet banner advertising, there has been little formal empirical research that provides guidelines for effective banner advertising. Authors used 10,000 actual advertisements placed by an Internet advertising company on different websites for its customers over a period of time. While a lot of resources are being spent on Internet banner advertising, there has been little formal empirical research that provides guidelines for effective banner advertising.
