Rovion's InPerson Technology: Changing the Face of Online Advertising


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Case Details:

Case Code : MKTG165
Case Length : 16 Pages
Period : 2005-2007
Pub Date : 2007
Teaching Note :Not Available
Organization : Rovion, Inc.
Industry : Information Technology
Countries : Europe, USA

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Truly 'Out-Of-The-Box' Contd...

At a time when many online ads risked annoying visitors to a website with the usual online ad formats and had very low click-through rates9 (CTR), InPerson ads were much more engaging and also had decent CTRs. The "out-of-the-box" experience provided by Rovion was clearly different from the conventional online ads.

"People who see things in a box see it to be not real, to be TV. When you look at… a spokesperson appearing on top of all the other content on the page seeming to be a layer closer to you, it brings the third dimension to the internet,"10 said Ostroff.

InPerson was a revolutionary technology in online advertising. In providing a differentiated product to its clients, it had gained customers across various industries. In mid-2006, two of the largest online ad networks in the industry, Advertising.com, Inc.11 (Advertising.com) and BurstMedia12, approved Rovion's InPerson format, which paved the way for use of the format by many more companies.

However, some analysts felt that the ads supported by InPerson were intrusive and would come to be seen as irritating once their novelty wore off. As the technology was being licensed out to a large number of clients, they felt that it could lead to overexposure.

But by and large, experts felt that Rovion had done a good job in developing a new technology and had opened up a number of opportunities for online advertisers.

They opined that it would be the advertisers' job to use it in an engaging rather than an annoying way.

Excerpts >>


9] Click-through rate (CTR) is the percentage of times an online ad is clicked on out of the total number of ad views.

10] Matthew G Nelson, "Microsoft Tries New Ways to Reach Small Business," www.clikz.com, December 19, 2006.

11] Advertising.com is a leading provider of strategic direct-response and brand marketing campaigns.

12] BurstMedia is an online media and technology company that provides products and services for web publishers to help them attract and meet the needs of advertisers.

 

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