What Are Display Ads?
Display ads are visual advertisements — combining images, text, and sometimes animation — shown on websites, apps, and social platforms to build awareness and drive action. The main formats are static, animated, and rich media, served in standard sizes like 300×250 and 728×90, and priced by CPM, CPC, or CPA.
Think of them as the digital evolution of print ads. (Fun fact: the first banner ad ran in 1994 on HotWired.com with a 44% click-through rate — today's rates are a fraction of that, but targeting is far smarter.)
Types & Formats of Display Ads
| Format | What it is | Best for |
|---|---|---|
| Static | Fixed image, simple messaging, one CTA | Simple, fast-loading awareness |
| Animated | GIF or HTML5 with multiple frames | Telling a short sequential story |
| Rich media | Interactive, expandable, video, sound | High engagement, product demos |
| Responsive | Auto-adjusts to the available ad slot | Reaching many placements at once |
Standard Display Ad Sizes
| Size (px) | Name |
|---|---|
| 300 × 250 | Medium Rectangle |
| 728 × 90 | Leaderboard |
| 160 × 600 | Wide Skyscraper |
| 320 × 50 | Mobile Banner |
| 300 × 600 | Half Page |
The 300×250 and 728×90 are the most widely supported — start there if you only build two creatives.
Why Display Ads Matter
- Build brand awareness at scale
- Offer precise audience targeting
- Enable visual storytelling print can't match
- Work especially well for remarketing to past visitors
Key Metrics for Display Ads
- Impressions: total times the ad is shown.
- Click-through rate (CTR): share of viewers who click.
- Cost per click (CPC): cost of each click.
- CPM: cost per thousand impressions.
- Conversion rate: share of clicks that lead to the desired action.
- View-through conversions: conversions after viewing — but not clicking — the ad.
Cost Models for Display Ads
| Model | You pay for | Best for |
|---|---|---|
| CPM (cost per mille) | Every 1,000 impressions (typ. $1–$5) | Awareness campaigns |
| CPC (cost per click) | Each click (varies by industry) | Driving traffic |
| CPA (cost per action) | A specific action/conversion | Lowest risk, higher rate |
Best Practices for Display Ads
- Design: clear messaging, strong visuals, brand consistency, one compelling CTA.
- Targeting: combine demographic, interest, behavioral, contextual, and remarketing audiences.
- Optimization: run A/B tests, ship multiple sizes, refresh creatives regularly, and monitor performance.
Display Ads FAQ
What are the main types of display ads?
Static (fixed image), animated (GIF/HTML5), rich media (interactive/video), and responsive (auto-resizing) ads. The right format depends on your goal — awareness, engagement, or conversion.
What is the most common display ad size?
The 300×250 Medium Rectangle and 728×90 Leaderboard are the most widely supported. If you build only two creatives, build those.
What's the difference between display ads and search ads?
Display ads are visual and shown to people browsing other sites and apps (pull demand into awareness). Search ads are text shown when someone actively searches a keyword (capture existing intent).
How are display ads priced?
By CPM (per 1,000 impressions), CPC (per click), or CPA (per action). Awareness campaigns usually use CPM; performance campaigns lean toward CPC or CPA.
