Like Brokerage models, Advertising models can be applied to both B2B and B2C businesses, although some are better suited to one or the other.
The Advertising model in eBusiness mirrors the advertising techniques and to some extent the mediums applied to traditional media, such as print, radio, and television. EBusiness uses Internet technologies as the medium to link sellers and buyers.
Advertisements are placed in or around Web site content, and complimentary services such as email or free Web space are
offered in order to attract an audience.
This model relies on high volumes of visitors to both interest advertisers and to obtain revenue.
There are various derivatives of the Advertising model:
Portals are of increasing popularity in both B2B and B2C situations. They can be similar to directories but do not necessarily
charge advertisers for listings or referrals. Portals have many different methods of attracting traffic, and can be grouped
into the following types, as described in the MouseOver below:
Allowing visitors to customize the site based on their interests and requirements makes for a richer user experience, but building a company's
eBusiness model on a technology that depends on turning personalized information
into sales, is no small risk.
As you will see throughout this course, it is the architect's responsibility to consider the handling of sensitive
information very seriously, and to safeguard sensitive personal data using secure firewalls, copyrights, and monitoring
liability in cooperation with diligent legal counsel.
From the get-go, privacy and profit should go hand-in-hand.
How important are the privacy rights of individuals? Personalized information suggests a richer user experience, and yet the
question of how to collect data and use it to boost the bottom line is often ahead of privacy concerns.
The next lesson wraps up the module.
Click the Exercise link below to complete an exercise on the Advertising model.
Advertising - Exercise