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The TRUTH About
Free Banner Advertising

Banner exchange programs are a very popular means of advertising on the web. A banner exchange is exactly what the title suggests. You simply display a company's banner on your site, and in return they will display yours.  

It sounds like a fair exchange, but when you learn a bit more about how people react to banners, the exchange isn't all that fare.  Here are some solid facts about banners and banner exchanges:

  • Banners are not as accepted as they were about 10 years ago when the web was fairly new.  People simply do not click on them anymore because they feel a sales pitch is being thrown at them.  

  • Most people come to a web site for a reason - to order a product, find information, etc.  Clicking on a banner means they have to interrupt their brain flow to read something that could be totally unrelated to what they came to the site for.  In other words, banners can distract people.

  • Most people that join these banner programs put the code all the way at the bottom of their page, which means that's where *your* banner will be displayed.  Who do you think is going to see it?  Yep....not many.

  • There are numerous banner exchanges out here, but from what I've seen they all pretty much give the same results. Yes, there are some that are more popular than others, but popular doesn't necessarily mean better (more on that later).

  • The more traffic you have coming to your site, the greater they benefit you. Why? Because most programs display your banner based on your page hits. So, if your web site is only getting 10-15 hits/day, then your banner will not be displayed as much as a site getting 400-500 hits/day.


*NOTE* Many programs give you free credits (or banner displays) when you join, so you will immediately receive a bunch of banner displays at the start of the program. So when your "# of displays" suddenly drops off, don't think anything is wrong, you've just used up all of your free credits (or displays).


I have the same feeling towards banner exchange programs, that I do for the free classifieds. They do bring some hits to your site, but they are not as effective as the search engines or the paid classified sites. Again, don't expect a traffic explosion from these banner programs UNLESS your site is already getting lots of hits (at least 500/day). And even still, I wouldn't expect any miracles.

The misconception is that joining a banner exchange will rapidly increase traffic to your site, but they mostly benefit the web sites that already get many visitors. More on that later...

So what happens is, they produce a slight increase in a web site getting small traffic, and they produce a larger increase in web sites already getting lots of traffic. 

Really fair, huh?

How Banner Exchange Programs Work

Most banner exchange programs operate on a visitor ratio, and 2:1 is the most popular. Meaning your banner will be displayed once for every 2 hits your web site receives. So if your web site gets 1,000 hits in one week, then your banner will be displayed 500 times. (Now you see why traffic is so important).

BUT just because your banner is displayed 500 times, doesn't mean the someone will click on it. And getting the click is what makes the program useful. Of course, a lot of that will depend on how effective your banner is.

An above average click-thru ratio is at least 2%. 3% is considered excellent, in most cases. So if your banner is displayed 500 times, 15 clicks would be considered an above average click-thru ratio. 

Most people that join banner exchanges receive anywhere between a .05-2% click-thru ratio. Again, now you see why having a web site that is already getting good traffic is so, so important. More traffic = more banner displays = more clicks (hopefully).

Again, I am not a big fan of these types of programs, but if you decide to join one, two popular ones are  Link Buddies and Free-Banners.com. They both use the 2:1 ratio. You also earn money when you get people to join under you.

With Free-Banners.com, you earn 10 cents for every person that joins the banner exchange under you. You can choose to have the money sent to you, or you can turn it into displays for your banner.

The Big Banner Exchange Myth!

"The more banner programs I join, the better."

Okay, if you do the math, surely if you join 17 different banner programs, your banner will be displayed more, BUT if your site is only getting 10 hits per day, your banner won't be displayed that often with any of those programs.

And remember, a display doesn't necessarily mean a click. Don't forget, the average click-thru ratio is a .05%-2%. So a web site getting 10 hits per day is looking at one click per week, per program. (on average).

I can't tell you how many sites I've seen with umpteen banners on them. Banners dramatically slow down your page loading time, and they clutter up your site - which makes it it look very unprofessional. I mean, do you see Microsoft with 5 banners on their site?

Now, I ask you....is it really worth junking up your page with 5 or 6 different banner programs that are only bringing you 5-6 hits/week total?

THE BOTTOM LINE:

  • If you are going to participate in a banner program, choose one banner program and stick with it. When it comes down to it, they all pretty much yield the same results in the long run. The success of the program depends more on your web site's traffic than it does the actual banner exchange program.

  • Use them to supplement your advertising campaign, but don't rely on them to carry the weight, and bring in loads and loads of traffic.

  • The best way to use banners is on your own site and use them to advertise affiliate programs that relate to the theme of your site instead of participating in an exchange. 

There is a lot of hype over the free banner exchanges. While they may bring you some traffic, they will NEVER be the medium that takes your traffic to another level.

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