Contextual advertising-advertisers serve up targeted ads

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A software company offers its useful program as a free download. Few downloaders ever read the license agreement, but it states that the program is paid for by advertising; specifically, it explains that when the program is installed, another “adware” program is also installed that helps advertisers serve up targeted ads. Assume that you own a small online flower business that is struggling to get started. A firm with an adware system like the one described above contacts you about buying Internet ads. You pay only when someone clicks-through to your site from an ad. You try the ads for a month and your online sales triple. But you also get complaints from many people who don’t understand why your pop-up ads constantly appear in their browsers. Would you continue to use this “contextual advertising”? Why or why not?

Reference no: EM131125142

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Operation Management Questions & Answers

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