Online ads are more important than ever, but the online ad landscape is constantly evolving. There are always new social platforms, types of ads and ways of targeting. Luckily, we can help you understand everything you need to know about online ads across different platforms and types of advertising.
How to advertise online
Organic marketing and paid advertising are often seen as distinct and separate from each other. There are certainly different goals involved. Organic marketers are typically focused on increasing traffic and conversion, while advertisers are focused on return on ad spend and cost per acquisition.
However, your organic and paid marketing can definitely work together and your online advertising efforts can even improve the performance of your organic marketing. How, you ask? Here are three ways that online advertising can help improve your organic marketing.
- Increase in brand awareness. By posting online ads, you gain an increase in brand awareness, because your content is shown to people both inside and outside of your networks. That means that more people are visiting your site and reading your blogs and content, therefore increasing your organic traffic and conversions.
- A better understanding of your audiences. When you post online ads, you gain knowledge about your target audiences through the analytics and targeting of your ad platforms. When you know more about your target audience, you can better target them through your organic marketing efforts and boost your traffic and conversions.
- Creation of higher-performing content. When you post online ads, you can better understand which content helps you achieve your business goals, like increased revenue and return on investment, and which does not. This knowledge helps you create better organic content that actually gives you a higher return on investment through increased traffic and conversions.
Ad spend and bids
It’s crucial to get a positive return on investment with any ad that you’re posting online. This means you need to receive more revenue from the ad campaign than what you’re spending on the ads. But how exactly do you decide how much to spend on ads? First, you need to understand bids.
A bid refers to the maximum amount of money you’re willing to spend for an action, like a click on your ad. It’s basically an auction to pay for ad space on an ad network. Ad networks have a limited amount of ad space, so they run auctions to see how much advertisers are willing to pay for their ad space.
The highest bidder wins, but they only have to pay one cent more per action than the next highest bidder. For example, if you bid $10 per click and the next highest bidder bids $5 per click, you only need to pay $5.01 per click to win the bid rather than $10 per click.
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