Classified ads belong to a distinct genre of advertisements that cater to the advertising needs of the common man compared to other general forms of advertising that are prevalent. It is characterized by its cost effective nature and availability while compared to the usual modes of advertising. People can advertise for anything and everything and sell anything from puppies to used jeans.
These ads are distinct in their appeal to the common man who wishes to advertise, because of their accessibility and due to the fact that they are relatively inexpensive. The term classified ad is used to denote those ads that are categorized into different heads which making them easy to browse through. Some common heads under which these ads are listed in newspapers and other printed media are automotive, real estate, kennels etc.
A classified ad may consist of a few lines that sometimes generically describe the product, services or goods that are to be sold and at other times go into specific details. For example, there are ads that sometimes list automobiles for sale but don’t include the pricing or make of the automobile but only a contact number. There are also other kinds of ads that state specific details such as the color, year, make and model and price information for the product that is on sale. The reason for this kind of variation is the mechanism employed by the publisher to charge for these ads.
The cost of an ad is calculated based on the number of words or letters used, the type and size of the font used, the space occupied by the advertisement on a page. There are additional factors that contribute to an increase in the price like the inclusion of graphics or highlighting of the ad space or even the positioning and placement of the ad box on a page.
The revenues generated by this industry are enormous and is estimated to be around 100 billion dollars a year worldwide. This includes the revenue generated from not only the print media but also other streams such as television, radio and more recently the internet. Although prime time advertising slots on television channels are reserved for popular commercials that are more lucrative, some of these channels air classified ads in the wee hours of the morning or very late at night.
Classified ads are also aired by cable TV operators on local networks for a profit. Radio stations also employ this form of advertising using jingles, slogans and catch phrases that tickle the funny bone. The emergence of new media, particularly the internet with its vast potential on many different scales is posing stiff competition for the traditional media with respect to advertising.
The good thing about such websites that most of them are free and ensure easily accessible to the public by enabling options to browse through categories or search using key terms. These portals generate their income from online banner based advertisement and pop up advertisements that convert each click into income for the website.
These low cost online advertising solutions enable anybody to become a seller or buyer and reduce geographic distances considerably. A person sitting in India can offer to sell his services to someone in America and get paid for the same through sites like these.