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Paying for Action

Alastair Thompson talks to Jon Ostler of “The Performance Network”

The online advertising industry continues to mature with the launch of NZ’s first “performance-based” advertising network. The Performance Network (TPN), soft-launched in March this year by First Rate founder Jon Ostler, was, he says, “in response to demands by advertisers and publishers for new advertising options”.

Search Engine Advertising – Further Information

Search Engine Advertising is the placement of small text advertisements on search engines. Google Adwords and Overture Pay-for-Performance Search are the two most well known players. On Google the text ads appear at the top of the results and on the right hand side under the heading ‘Sponsored Links’. Overture syndicates its ads to other search engines like Yahoo where they appear at the top of the page and are under the heading ‘Sponsor Results’.

Contextual Advertising

Contextual advertising places in real time an ad on a page based on the specific content of that individual page. For example a publisher may have a sports channel and has traditionally sold this placement option with the same ad displayed on all pages in the sports channel. With contextual advertising an ad for tennis shoes would appear on pages about tennis events while an ad for golf clubs would appear on a page about golf events. With a news site this becomes even more powerful due the wide range of ever changing stories and topics covered by each page of the site.