There are many different places you can buy advertising online. There is no one best place for everyone. The best place will vary based on the type of site you own and the market you're targeting. You may even have to experiment a bit before you find the right place to advertise your site.
Google AdSense is one very popular place to buy advertising online. Rather than having to pay a large amount up front as with banner ads, you can simply pay a few cents for each click you receive on your ads. You'll be billed monthly, although Google may periodically charge your credit card if they feel your balance is too high.
Advertising on blogs by means of ad posts is a great way to advertise. You should carefully choose a blog that is relates to your site in nature. If your site is an ecommerce site that sells computers and electronics, then you should advertise on technology blogs, instead of sports or politics blog.
You can buy ads through CPA companies like Market Leverage and Rocket Profit. These sites offer you several ways to advertise, paying by the click, for email addresses, for address or telephone submissions, or for sales. You can figure out what type of action you need visitors to take, and then pay for that type of action.
You can create traffic to your site (if you're selling your own product) by starting an affiliate program. People who sale your products can be paid accordingly, instead of having to pay for each click, no matter if you don't make any money out of it. Affiliation program can be started on your own server with scripts, or you can go through already existing solutions like Commission Junction.
Facebook sells targeted advertising. If you're looking to target specific groups of people, you can use Facebook ads to reach a very specific market segment. These ads are very inexpensive to set up, and they can pull in fantastic traffic if they are well-targeted.
Note that, there is just no one best solution that can work for every site. AdWords may produce exceptional results for you, while your friend using AdWords for his website, has very poor results from the same source of traffic.
You'll need to first determine the demographics of your target market, and then search for an advertising method that targets that specific demographic. Only when you target the right audience for your site will you achieve the results you're looking for.
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