What Is Display Advertising? Everything You Need to Know

Kickstart your direct and programmatic advertising strategy with this guide to understanding the fundamentals of digital display advertising.
The Basics of Display Ads. Ads Tips For Publishers.

Introduction to display advertising  

As you design your digital advertising strategy and product offerings, the question of which format to use will be critical. 

No matter if you choose direct or programmatic advertising, knowing the different ad types is important. This knowledge will help you decide the best formats to use on your platform. 

The type of ads you choose to implement across your website, newsletter and other channels aren’t simply a matter of taste and preference. It’ll have a specific impact on the user experience, engagement and potential revenue for your publication.

What is digital display advertising?

Display advertising is an umbrella term encompassing many types of website ads. It includes the use of text, video, and image advertising to encourage users to click through to another website and complete an action. 

Common types of display ads are website banner ads and sidebar ads. They can also include retargeting ads to get users who already viewed a specific website to return and take action. 

There are two main types of display advertising: direct advertising and programmatic advertising. This advertising is meant to be incorporated into the overall user experience of your audience as they engage with the content on your site. 

Display advertising of either type is often sold based on cost per mille (CPM) which is how much it will cost an advertiser to get 1,000 impressions. An impression is when a user opens an app or website and they see an ad.

COST PER MILE (CPM) FORMULA

Digital ads, while drawing from a conventional set of formats, have no limit to creativity and can incorporate audio, video and even interactivity.

What are the types of online ads?

Across the Internet, there are many types of online ads. Platforms with specific functions such as search engines and social media sites will have their own types of advertising. But for a publication, the advertising products you will want to use are more streamlined and simple. They include:

Display ads:

This type of ad is a catch-all term for any advertisement appearing on your website that uses image, videos, animations, or interactive elements. It’s placed on the pages of your website within or around content.

Video ads:

If your publication utilizes or produces video content, you may incorporate video advertisements directly into the clips.

Native ads:

Unlike display ads, native ads are intended to resemble the content on your site as a means of being less intrusive to the reader. For example, sponsored content can be a form of native advertising.

Read more: Indiegraf Experts guide to developing sponsor-centric messaging

What are the types of display ad formats?

Whether you are building a direct or programmatic advertising strategy, the foundation lies in designing and selecting a suite of display advertising options for your website. Since display ads represent a spectrum, it’s important to consider the various formats of display advertising out there.

Diagram of a webpage layout showcasing designated areas for sidebar display ads, inline display advertising, and content sections.
Display Ads placement on a news website

Banner ads:

An ad displayed on the margins — top, bottom, and sides — of your website with a unified, wrap-around advertisement.

Rectangle/Square ads:

Small display ads placed within or around content.

Skyscraper/Pillar ads:

Display advertisements organized as a long vertical segment that’s placed in the margins of your content. This type of ad follows the content as the user scrolls down.

Interstitial ads:

A distinct form of display ad which takes up the entire screen. The user will encounter an interstitial ad before or after they’ve engaged with your content.

Pop-Up ads:

An ad that interrupts the user experience temporarily by covering the entire page. Pop-up ads differ from interstitial ads because they aren’t optional. The user must either engage with the ad or exit it.

Expandable ads:

A display ad that shows a short amount of information but grows to display more details when the reader interacts with it.

Rich Media ads:

Any advertisement that utilizes interactive media such as a micro game or an interactive survey.

How to select the right digital display advertising format

While there are many benefits to display advertising, not all ad formats will drive the same results. Each one has its own pros and cons to consider depending on the goals of your publication and advertising partners. 

At the basis of all advertising is a call-to-action. In the context of digital display advertising, the most common call to action is to encourage users to click on the ad in order to learn more about the product and drive conversions, from brand awareness to purchases.

For example, banner ads are highly effective at increasing the overall awareness of a brand as they are often placed — and most effective — on pages with heavy traffic such a homepage. Simple, direct calls-to-action such as asking users to sign up for a newsletter is often most easily achieved using a pop-up ad

The other types of display ads may be better suited for driving actual conversions so long as care is taken to place them in ways that don’t take away from the overall user experience. 

Tips for optimizing display ads on your website

1. Keep ads relevant to your audience 

Display and programmatic advertising by their nature are intended to lightly disrupt the user experience. But this can be a double-edged sword. If the disruption is overly negative or irritating, it could alienate your readers and not just lead to low conversions but also lower engagement with your publication overall

Ensuring your advertisements are relevant to your readers is half the battle — one that starts with having a clear understanding of who your audience is. 

Display advertising on The Buckeye Flame landing page
Display advertising on The Buckeye Flame website, an Ohio-based media outlet that amplifies the voices of LGBTQ+ Ohioans.

Read more: “How to Make Effective Ads That Readers Actually Respond Too”

2. Optimize ads to minimize load time

The other key detriment to the user experience is poorly optimized ads. If the images you are using in your ads are not being saved in efficient file formats, or you are attempting to load complex rich-text advertisements onto pages with a heavy load of multimedia and interactivity elements, the overall load time of your page could slow down, which has a significant impact on your reader experience. 

All finalized ad products should be tested before launch to ensure that it’s running smoothly. You should take the time to review and establish media load limits on your website and webpages as you set the standards for your advertising products.

3. Use ad management software 

Advertising management software is essential for news publishers as it simplifies the intricate process of handling, delivering, and optimizing ads across various platforms. With features that help manage ad inventory, target audiences efficiently, and enhance revenue potential, it enables publishers to prioritize quality content while maintaining a steady income stream.

Indie Ads Manager is a full-service digital ad server that lets publishers manage their ad inventory across multiple platforms. Unlike other ad platforms that mainly handle programmatic display ads, it also lets you manage direct sale ads and serve them on your website, email newsletter, and apps.

Elevate your advertising strategy with Indie Ads Manager

Our tech gives you full control over your ad placements allowing you to connect with advertisers who align with your audience.

4. Test ads before launching

Another key consideration to avoid is display ads that cover content unintentionally. While some ads such as interstitial and pop-up ads are meant to fill the entire page, they have specific designs which aren’t overly disruptive to most readers. 

If your display ads unintentionally cover your content, as is common when display ads are rolled out across various platforms without optimization or testing, it can have a negative impact on readership, overall engagement, and your revenue. For these reasons taking time to carefully design your ad placements is key.

📌 Display ads are just one way to monetize—explore the full range of ad options in our comprehensive guide.


Ready to Transform Your Advertising Strategy?

For publishers seeking a robust, user-friendly solution for advertising management, Indie Ads Manager checks all the boxes. Whether you’re managing multiple publications or looking to optimize ad performance across platforms, this ad management platform offers the tools and support you need to succeed.

At Indiegraf, we’re building a community of news publishers just like you. By joining, you’ll gain access to exclusive resources—weekly insights, updates on grants and funding opportunities, early access to webinars, case studies, and expert advice—all sent directly to your inbox.

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