Future Advertising

There is a perception that Internet advertising in its present form is a waste of money and resources and that it should deliver a more sophisticated promotional message and promote more interaction with the business and ultimately their products or services. Advertisers are looking for novel ways to take Web Advertising forward in the 21st Century. New forms of communication are being developed. In 1998 Unilever forged alliances with Microsoft and America Online to work on building innovative programmes and interactive advertising elements beyond the current paradigm which consisted mostly of banners. Advertisers are looking for opportunities to extend sponsorship and integrate brand messages with content. Unilever messages might begin to appear on such high interaction areas as message boards, live events and even within email.

There is an increased interest in web marketing circles in driving customers to one’s sites and causing users to spread the word about your site i.e. free advertising. These are many marketing techniques that induce web sites or users to pass on a marketing message to other sites or users, creating a potentially exponential growth in the visibility and effect of your message. Sites that answer a specific need and let consumers share the solution may succeed in spreading by word of mouth.

For example, ICQ enables PC users to talk to each other in real time over the Internet but both parties need specific software to do so. Users encourage their friends to get the free download so they can join in. Thus, the ICQ customer base developed without the ICQ management having to do anything.

Interactive broadcasters are promising their advertising partners a range of digital interactive advertising and e-commerce services. For example, in interactive advertising trials conducted for Microsoft, viewers were invited to access additional promotional information during commercial breaks by clicking on screen icons which will take them to web addresses specific by advertiser partners, including AA Insurance, Bass, Peugeot, Vauxhall, Orange, Barclaycard, Honda, Tesco and Goldfish. (Davis, 2000 pg125)

Future Legislation

There can be little doubt that current legislation will be updated if and when issues are identified that affect both competition and taxation. Once the current VAT Directive, due for full implementation by EU member states by 1st July 2003, is enforced digital services supplied from an EU based E-Business to a non-EU country will no longer be subject to VAT. Likewise non-EU based businesses supplying services to the EU will have to register for VAT in an EU member state thus enforcing a level playing field.

The EU Minister for Taxation and Internal Market, Mr. Frits Bolkestein, has questioned the “self assessment approach” to VAT compliance and e-commerce. This hints at tighter laws in regarded to all digital transactions.

The Internet fits into the future vision of on-line legal guidance systems. There are 4 facilities that will be on offer in due course.

• The first will be search and retrieval systems which can operate across web sites, Intranet and Extranets
• The second will be legal guidance systems; these will present practical, step-by-step assistance on legal matters, helping visitors not by not presenting narrative but by delivering “Legal Golden Nuggets” to help them in all sorts of live situations.
• The third, a more advanced facility, will be diagnostic applications, using knowledge based system technologies where users will engage in on-line interactive dialogues.
• Fourthly there will be a proactive service and facilities, whereby relevant legal information and guidance will automatically be sent out to interested parties. Intelligent agents and similar technologies will be used here.

The future standards of law represent a fundamental change in the administration of law in an innovation technology world (Susskind, 1996).

© Trinity Solutions 2002 ~ 2012