Internet advertising: How different is it?

Document Type

Conference Proceeding


Faculty of Business and Public Management


School of Business




Velichkovich, D. (2001). Internet advertising: How different is it? 6th Asia-Pacific Decision Sciences Institute (APDSI) Conference. Singapore.


The growth of the Internet has spawned various differing “new economy” organisations and business models. A major benefactor of the Internet Internet Advertising Organisations (IAOs). The IAOs operate within a business model that specialises in using the Internet as a medium. The Traditional Advertising Corporations (TACs) specialise in the use of the “old media”(television, radio and print). In general, the TACs approach the use of the Internet (as a media segment) by implementing the same methods that are used for the “ old media”. Internet or On-line advertising incorporates differing advertising formats (referred to as ad formats). In general, the IAOs have concentrated on delivering one specific ad format. The most popular ad format that is used, is the banner. In turn, several organisations have evolved that have produced technologies to “serve’ banner advertisements. Although they are basically advertising organisations, they operate quite differently to the TACs. The Internet advertising industry has grown significantly in a short period of time (proposed$6,000M for the year 2000). The TACs, have in general, been cumbersome to derive the benefits or capture additional revenue streams that can be generated via implementing Internet Advertising services. The problem being that, in the main, TACs view Internet media as being no different has been the growth of various than the traditional print, radio, and television media. In fact there is a significant difference, and this being the point, has led to the growth of the IAOs.

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