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Banner Animation...
Most of the companies have been using animation for their advertisement campaign. According to the 4P’s magazine banners with animation attract more customers than others. Animation has been proven to greatly increase a banner's click-through-ratio (CTR), we highly recommend using it in all banner designs, where ever possible. Animation should be subtle enough to attract attention to your banner ad but not so ostentatious as to interfere or clash with the design of the web page you are advertising on.
 
Animation...
It is the process of taking a series of individual pictures, called frames or panels, and stringing them together in a timed sequence to give the appearance of continuous motion. A GIF animation is an animation created in a GIF file format. One of the main advantages of using a GIF animation in a banner design is that GIF is one of the most widely used file formats supported by Web publishers.
According to the survey done by online marketers and add agencies the GIF animated banners yield better results than rich media banners

Guidelines for using GIF animation for Banner designs
 
 
Color ...
GIF can only support 256 web-safe colors. In order to keep the banners looking their best across all monitors and platforms, always design them within the 256-color palette.
 
 
Photos...
If you are using photos in GIF animation remember to use them at low resolution because photos contain millions of colours while GIF contains only 256 colors.
 
 
File size...
Most web publishers expect animated GIF banners to have a file size of less than 12K. To help keep file size to a minimum, use only a few high contrasting and complementary web colors to call attention to the main points on your banner. Utilizing the smallest web-safe color palette possible in your animated GIF banners will allow you to use more creative special effects in your animation.
 
 
Looping ...
In animation, looping is the number of times animation repeats itself. Most web publishers have strict looping specifications. For example, the major search services (Yahoo, AOL Search, AltaVista, MSN Search, etc.) will only allow a banner ad to loop 3 times, and each loop should last less than 10 seconds.
 
 
Frame/panel sequence...
It is you who has to decide whether the important message has to appear on the first panel or the last panel.

If the web page you are advertising on has a long download time it would be wise to have it on the first page because very few users wait for complete web page to be loaded
Conversely if its on the last page it will leave an impression in the minds of users. Despite all of the hype surrounding rich media banners, designers and ad agencies have been placing more emphasis on the “wow” factor of the banner design but it is also important that the message for which a banner is designed is conveyed to the viewers.

 
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