Tifani Wiyanto
29 October 2004
Student number: 4846567
Email to: t.wiyanto@student.qut.edu.au
While the Internet users grew for more than 50% in 2001 (Internet Software Consortium, quoted by Flew, 2004), the rise of digital media [See Digital Radio and Digital TV] is closely involved with the proliferation of the Internet and online businesses. Furthermore, as with any other medium, one way to financially support the businesses is through advertising (Adams, 2003, p.10). Along with the growth of online businesses, online advertising has become another trend of the Internet which has led the Internet to be argued as a tool of commercial exchange.
== From Printing to Popup-ing ==
The growth and development of online advertising has led advertising to be the most significant and popular activity on the internet. Online advertising is the most recent medium to distribute or promote products and services to target broad (internet) audiences (School of Informational Studies, 2004). It is estimated that the web advertising revenue will reach 16.5 million by 2005 with Internet users bombarded by up to 950 online ads per day (Jupiter communication, 2000). Incorporating various design features, online advertising emerges in formats of emails [See spamvertising], banner, websites, and pop-ups.
Nevertheless, although online advertising may ease the way e-businesses promote their brands, such approach has produced challenges. One of the challenges is:
=== America’s power ===
Marketing news (quoted in Penn State University, 2000) states that “North Americans will remain the worldwide online marketing leader in both online population and online ad revenue.� For many, it is argued that online advertising symbolizes the American power of capitalism as the country mostly receives the highest revenue in the economic market. This argument seems to appear based on the facts that the top 20 online advertisers were mostly US-owned such as Amazon, Microsoft, and IBM (School of Informational Studies, 2004; Olsen, 2003). Moreover, the prediction of online revenue in 2003 shows that the United States has reached the highest revenue while the country also hosts most website on the Internet (Penn State University, 2000)
The World Online Advertising Revenue
| | Country | | | Online Ad revenue (in US billions) | | | |
| | America | | | 10.5 | | | |
| | Asia Pacific | | | 1.3 | | | |
| | Europe | | | 2.8 | | | |
(Source: Penn State University, 2000)
== Global/Local Dialectic ==
The term of global/local dialectic emerges along with the term globalisation which particularly is seen through the mass media. Global/local dialectic involves a hybridisation, “dialectically in harmony or conflict with localism powerful socio cultural phenomena and communication mechanisms� (Ferguson, 1995). This theory this can be applied in online advertising’s context, suggesting that changes and trends in the ad or the products and services are articulated locally and mediated between global and local. The growth of localisation and combination of local and foreign advertising appears to happen in many countries such as Australia. NineMSN, the most popular Australian website (NUA, 2002) contains international ads (Microsoft), local ads (realestate.com.au) and localisation of foreign ads (ebay.com.au)[See: the popularity of eBay]. Another country such as Japan seems to favour more local brands or localisation of foreign brands (Net Ratings, 2004) [See Top Ten Online Ad Banners – Japan].
Therefore, from these examples, it can be seen that foreign advertising appears to not dominate local websites. “From its start, the businesses [produce] locally oriented websites that offer everything from concert listings and reviews to commuter traffic reports and school lunch menus� (Flynn, 1998). With the increasing number of local websites, global/local dialectic – the combination of global and local online advertising – may keep on perpetuating, challenging America revenue domination over online advertising.
== References ==
Adams, R.(2003) www.advertising, New York: The Illex Press Limited. ISBN 0823058611
Ferguson, M. (1995) "Media, Markets, and Identities: Reflections on the Global-Local Dialectic," Canadian Journal of Communication, vol. 20, no. 4, retrieved October 23, 2004, from www.info.wlu.ca
Flew, T. (2004) New Media: An Introduction, Melbourne: Oxford University Press. ISBN 0-19-550859-9
Flynn, L. J (1998, Sept. 14) "The Real Internet Action is Local," The New York Times, retrieved October 23, 2004, from Proquest Online Database
Internet Software Consortium (2002) "Estimated Internet Hosts Worldwide," retrieved January 16, 2002, from www.isc.org
Jupiter Communication (2000) "Online Advertising to Boom, Despite Dot.Com Gloom, Spending to Grow to $16.5 Billion by 2005," retrieved October 23, 2004, from www.retailindustry.about.com
Net Ratings (2004) “Top 10 AD Banners Viewed,� retrieved October 26, 2004, from www.netratings.co.jp
NUA (2002) “Australians flock to the same sites,� retrieved October 23, 2004, from www.nua.ie
Olsen, S (2003) "Online Ad Outlook Brightens," retrieved October 15, 2004, from www.news.com.com
Penn State University (2000) "Online Marketing and Advertising Trends," retrieved October 11, 2004, from is124.ce.psu.edu
School of Informational Studies (2004) "Portal Services - Online Advertising," retrieved October 23, 2004, from istclass.syr.edu
== Other Topics on Cultural Imperialism and the Internet ==
The Internet Gatekeepers
The Internet Gatekeepers - China
American Domination on the Internet
Cultural GLobalisation
== Related Links ==
Tifani Wiyanto 09:23, 29 Oct 2004 (EST)
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