Marketing

What is Online Advertising? Types, Benefits, and Best Ways

Whenever I hear the word “online advertising”, I think of something valuable, influential, and (equally) annoying for some people. Whatever you think about it, online advertising has completely revolutionized the way people promote their businesses. 

This marketing technique offers tons of benefits, and people are using its different types to reach out to their audience.

In this article, I am going to discuss what online advertising is in detail. Besides that, I’ll also cover its major types, benefits, and best ways to utilize.

What is Online Advertising? 

Online advertising is any promotional content delivered via the internet for getting to more users about a service or a product.

Well, it would’ve been simple if we were talking about online advertisement a decade ago. Today, everything has been digitalized and this advertisement technique has been diversified as well. 

💡Pro Tip

Rather than viewing online advertising as a single channel, think of it as an interconnected ecosystem where campaigns across multiple platforms can reinforce each other for greater impact.

Now, we see ads on almost every Internet medium we open. It includes search engines, mobile games, social media platforms, and even our email inboxes. This form of advertising is almost everywhere. 

📊 Key Online Advertising Stats


1. The global digital advertising and marketing market is projected to grow from $667 billion in 2024 to $786.2 billion by 2026, with a compound annual growth rate (CAGR) of 9%. (
2. Total spending on social media advertising is expected to reach $276.7 billion in 2025, accounting for approximately 30% of all digital ad spend.
3. Companies are projected to spend $190.5 billion globally on paid search ads in 2024, highlighting the continued importance of search engine marketing.
4. It’s projected that 83% of total social media advertising spending will be generated through mobile platforms by 2030.

Major Types Of Online Advertising

Online advertising has different types and each type is utilized by different businesses to achieve different results. I’ve discussed some of the major types here. 

Major Types Of Online Advertising

1. Display Advertising

Display ads are one of the most common forms of online advertising that I see around the Internet. It’s on different platforms, including websites and applications. These sites are mainly focused on showing a brand visually via images, graphics, and short videos. 

Companies buy space for these ads using different platforms, including Google Ads. This type is very effective as well and can hook the target audience very easily if the visuals used are attractive. 

2. Email Marketing

Email Marketing is known as one of the most valuable and high ROI forms of online advertising. This type is pretty simple, but requires patience and consistency. In this technique, marketers directly send promotional emails to a targeted audience. 

They send these emails in a specific sequence to gradually influence people to join the brand. This technique not only brings customers, but also creates a positive brand perception. 

3. Search Engine Marketing

Have you ever searched for something on Google and seen some sponsored websites popping up at the top results? Well, that’s search engine marketing. Search engines like Google have become our primary gateway to the Internet. 

Billions of people visit these search engines to make billions of searches on these platforms. So, marketers target these platforms and display their websites at the top results via search engine marketing.

4. Social Media Marketing

I see tons of sponsored reels pop up while I’m scrolling Instagram. Similarly, you may have encountered sponsored posts on different social media platforms like Facebook, X or TikTok. This happens through a type of online advertising generally know as social media marketing. 

Unlike organic SMM, paid ads allow companies to run sponsored ads to a specific target audience. This way, companies do not have to beat the algorithm and reach organically to the audience organically.

💡Pro Tip

On social platforms, video ads typically generate 48% more views and 20% higher engagement rates than static image ads. Consider starting with short-form video content (under 15 seconds) to maximize completion rates.

Key Benefits Of Online Advertising

Online advertising is beneficial for companies in many ways. I’ve discussed the major benefits below:

Benefits Of Online Advertising

1. Wide Reach

One of the biggest benefits of online advertising is having a wide audience reach. Unlike traditional ads that run on TV, online ads are watched by millions and billions of people around the world. 

Why?

It’s because the Internet is being used by more than half of the world’s population. So, if the ads are displayed the right way, companies have an opportunity to expose themselves to a large audience in a short period of time. 

2. Cost-Effective

Cost-effectiveness is another huge benefit of this advertising. Back in those days, people had to pay a huge amount of money in order to buy ad space on television networks. Now, they can pay a small amount and get ad space on search engines or social media.

Besides that, this marketing technique can be performed for free as well. Building a decent online presence on social sites and sending promotional emails are big examples of this. 

3. Easy Tracking And Measurement

I think easy tracking and measurement is one of the most underrated benefits of online advertising. When you run an ad on a TV channel, there’s no direct way to know how many people have viewed or interacted with it. 

However, it’s possible to do when you’re utilizing online ads. Each ad-displaying platform, whether a search engine or social app, offers tools that are designed to track and measure ad performance. In simple words, you can know how many people have viewed the ads or interacted with it easily. 

4. Flexibility and Control

Online advertising is completely flexible. You can decide how wide of an audience you want to reach via ads. Marketers are in full control over how much budget they would like to spend on different online platforms for promotion.

This flexibility makes online ads an ideal form of promotion for both small and big businesses around the world. 

5. Target The Right Audience:

A lot of companies use online mediums for promotion just to hit the right target audience. When a marketer puts marketing effort into a target audience, it’s likely that the marketer will receive a lot of positive results.

Different online platforms allow these marketers to advertise the brand to a specific audience so that they can get the best results out of the marketing campaigns easily.

6. Enhanced Customer Engagement

Online advertising facilitates two-way communication between brands and consumers. Interactive ad formats, such as polls, quizzes, and shoppable posts, invite audience participation rather than passive consumption.

This engagement creates meaningful brand interactions, building deeper connections and providing valuable feedback directly from your target market.

7. Remarketing Capabilities

Digital marketing is a way to show targeted ads to users who have previously visited your website or interacted with your brand. This powerful technique keeps your business top-of-mind and reminds potential customers to return and complete desired actions.

This is a process of remarketing significantly improves conversion rates by focusing on warm prospects already familiar with your brand, products, or services.

Best Ways To Use Online Advertising

Online advertising is a huge field. To get the best results, you can follow the following best practices to use this marketing type: 

1. Setting Clear Goals

First of all, you need to set clear goals. Make sure what end results are required from the marketing campaign. While utilizing this technique, marketers usually have the following types of goals in mind:

  • Brand awareness
  • Increased website traffic
  • Lead generation
  • Direct sales

It is important to pick these types of end goals since they allow creating a proper strategy for the whole campaign. 

2. Understand The Target Audience

It’s usually not very efficient to market a brand without understanding the target audience. When marketers understand the target audience, they are able to generate relevant ads and promotional content that resonates.

A piece of content that resonates with the audience has a better chance of making the right type of impact. So, before starting the campaign, make sure to understand the needs, requirements, and issues of the target audience. In this way, you’ll be able to create a decent campaign to get better results. 

3. Pick The Right Platform

Picking a platform for online advertising can make or break your marketing campaign. Each platform has different features and benefits the companies in different ways.

  • Search engines capture high-intent users actively seeking solutions.
  • Social media provides granular targeting based on interests and behaviors.
  • Display networks offer broad reach and brand awareness.
  • Email marketing excels at nurturing leads and customer retention.

Choose platforms where your ideal customers spend time and that support your specific marketing goals.

4. Use Creative Ads

The amount of clicks and engagement usually depends on how creative a piece of ad is. It is important to put some effort into creating ads in order to increase their chances of getting clicked. There are different things that you can do in this regard. For example:

  • Use eye-catching visuals and colors.
  • Feature concise, benefit-focused headlines.
  • Tell compelling stories that evoke emotion.
  • Include clear calls-to-action that drive desired behaviors.

💡Remember

Even the most sophisticated targeting can’t compensate for weak creative execution.

5. Use A/B Testing

A/B testing is a great way to understand what type of ads and content is more efficient for online marketing. In this technique, you usually run two different types of ads and then measure their performance. Test individual elements like:

  • Targeting parameters
  • Headlines and copy
  • Images and videos
  • Call-to-action buttons
  • Landing pages

Let data guide your decisions by systematically implementing the winning variations and continuously optimizing performance.

💡Pro Tip

Test only one element at a time to ensure clear, actionable results. When testing multiple elements simultaneously, you won’t know which change actually drove performance improvements.

6. Adapt To The Situation

Digital advertising changes rapidly, with new platforms, formats, and best practices emerging constantly. There’s always some new trend being followed by marketers to reach out to the audience.

So, it is important to adapt to the situation. You should keep an eye on the market and understand what type of tactics are offering the best results. Then, mold your campaign accordingly in order to get positive results.

7. Maintain Brand Consistency

While testing different creative approaches, maintain consistent brand elements across all advertising channels. Visual identity, tone of voice, and core messaging should align with your overall brand strategy.

This consistency builds recognition and trust while reinforcing your brand positioning with each impression.

8. Utilize Data for Continuous Improvement

Digital advertising not only provides useful data from within the actual metrics of the campaigns. Use audience insights, behavior patterns and competitive performance as input to further fine tune your overall marketing strategy.

Such an approach based on data makes your advertisement change in line with the changing market situation and consumer preferences.

Final Summary

Online advertising has become the new normal of the marketing world. People are utilizing different Internet platforms to promote their brand to a specific audience.

This advertising comes with many benefits, including reaching the right type of audience and being cost-effective. Each type of marketing has its benefits and even drawbacks. So, be a little cautious and follow the best practices while running online advertising campaigns. 

People Also Ask

1. What are the benefits of online advertising?

Online advertising offers cost-effectiveness, precise audience targeting, global reach, detailed performance metrics, and flexibility that traditional marketing channels cannot match.

2. How to be an online advertiser?

To become an online advertiser, you can complete different online courses. Then, create a professional profile and start hunting clients.

3. Which online advertising is best?

It usually depends on the end goal of a company. However, search engine marketing and social media marketing are usually very beneficial.

4. How to advertise on social media?

Each social media company offers a paid advertising option. You can purchase a package according to your budget. Then, create and display attractive ads on these social sites and attract an audience. 

Fawad Malik

Fawad Malik is a digital marketing professional with 15+ years of experience in the industry and CEO at WebTech Solutions. He regularly explores and shares ideas in which advanced technology helps individuals, brands, and businesses survive and thrive in this competitive digital landscape. He is passionate about keeping his mission alive on WiseToast as well.

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