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Actual Findings on Internet Advertising |
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Although Web advertising becomes a significant portion of marketing budgets, advertisers are still unsure on how to unlock the potential of the Internet. Current findings show that:
- Consumer brands spend only a fraction of their advertising budget on on-line advertising.
- Technology companies spend five times more on advertising in the WWW.
- While banner campaigns are still popular, there is no standardized solution for on-line advertising.
- Ad pricing is based on CPM (costs per 1.000 visitors), rather than on results.
- Personalized targeting has not yet taken hold. Instead advertisers mainly target on content.
At the moment three dominant models are used for Internet advertising:
Destination Sites: They use entertainment, high production values and information to pull users in and bring them back again.
Micro Sites: Content sites or networks host small clusters of brand pages.
Banner Campaigns: Those include other forms of Web advertising like sponsorships.
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United Brands Company
American corporation formed in 1970 in the merger of United Fruit Company and AMK Corporation. United Fruit Company, the main company, was founded in 1899 producing and marketing bananas grown in the Caribbean islands, Central America, and Colombia. The principal founder was Minor C. Keith, who had begun to acquire banana plantations and to build a railroad in Costa Rica as early as 1872. In 1884 he contracted with the Costa Rican government to fund the national debt and to lay about 50 more miles of track. In return he received, for 99 years, full rights to these rail lines and 800,000 acres of virgin land, tax exempt for 20 years. By 1930 it had absorbed 20 rival firms and became the largest employer in Central America. As a foreign corporation of conspicuous size, United Fruit sometimes became the target of popular attacks. The Latin-American press often referred to it as el pulpo ("the octopus"), accusing it of exploiting labourers, bribing officials, and influencing governments during the period of Yankee "dollar diplomacy" in the first decades of the 20th century.
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