The Anatomy of Profitable Digital Ads To Improve Growth In Your Business
Today, more and more companies are allocating a higher percentage of their marketing budget towards digital channels.
Digital channels such as social media platforms, search engines, shopping sites, website banner ads, native ads, and the list go on, etc.
This shift in advertising budget spending has impacted the bottom line of big digital ad platforms like Facebook, Google, LinkedIn, and Amazon.
The question most marketers and media buyers want to know the answer to is this: How do I ensure that I run profitable digital ads?
There are a few key components that will help you create and run more profitable digital ads.
But first, let’s take a look at why Digital Advertising is so important.
5 Reasons Why You Want To Use Digital Ads
First of all, it’s a penny a click.
Let me give more clarity to this…
When compared to traditional forms of advertising, Digital Ads are much cheaper.
This reduces the barriers to entry and so, almost any business can run ads to reach people they need to reach with a minimal budget. Getting good results and keeping it that way totally depends on if you know how to do it right.
2. Wider Reach
Because the cost of Digital ads are so cheap, it allows businesses of all sizes reach a wider audience than they thought possible.
Now on Facebook, you even have newer targets like Engaged (1 year), Expecting Moms, Away on Honeymoon, Has Birthday in 1 Week, etc.
Targeting with broad interests on Facebook may seem like an efficient way to reach a large audience… but the fact of the matter is, doing this maybe more expensive since users spend less. Installing the Facebook pixel will be needed.
In the past, this was seen as an ineffective way to reach audiences; but the introduction of Facebook pixel makes it far more effective.
3. Enhanced Targeting
You can specify exactly who it is you want to target in ways that was not possible 10-15 years ago. This is known as Detailed Interest Targeting.
This is a simple way to target users with the information provided in their Facebook profile.
The most attractive advantage of Digital media by far is the fact that you can track results! You can do this on Facebook using Facebook Insights and on Google using Google analytics.
This allows you to know things like how many people you are reaching, how many people interacted with your ads, how many people bought from your ads.
This information allows you to know what’s working and what’s not, and make adjustments accordingly.
Last, but definitely not the least, is the ability to retarget.
Retargeting, in a nutshell, is the ability to follow up on people based on previous behavior with your website, content, etc.
The possibilities of this are endless. You could use this to get repeat buyers, abandoned cart buyers, additional information to those sitting on the fence.
The Components of Profitable Digital Ads
Running Profitable Digital Ads requires T-A-C-T:
- Ad Copy
In order to have profitable digital ads, you need to target the right people.
You need to figure out who your Ideal clients are.
Dan Kennedy says that every product or service has the ability to appeal more strongly to a definable group of people than it appeals to all people.
Your job is to find that definable group of people your product or service appeals to the most. They will be your customers.
Use our ideal client worksheet to figure out who your ideal client is.
How you target will depend strongly on the platform you are advertising on.
On Facebook, you can target your ideal clients by their interests, behaviors, jobs, locations, groups, digital activity, and in some countries, their income, etc.
(Recommended Resource: How To Create Winning Ads on Facebook).
On Google, you can target your ideal clients by what they are searching for – keywords – or websites they visit or videos they watch – YouTube.
On LinkedIn, you can target job roles, job functions, industry, location, groups, etc.
This refers to what you write in your ads.
The platform you are running ads on will ultimately determine how your ad copy will be.
However, regardless of the platform, your copy needs to do a few things:
- Identify who it is for
- The Problem
- What they get (aka The Solution)
- A call-to-action: Tell them what they need to do next. This is critical.
Your creative has to do with your visual content.
It is most likely the first thing that will attract your ideal clients’ attention and so, you need to put some thought into it.
A picture is worth 1,000 words and a video is worth about 1,000 000. ?
The bottom line is, you want to use a creative with your ads where relevant.
Creatives can be:
- GIFs, etc
Important: Avoid using Google images for your ads.
If you have no other choice, use them but be sure to make sure that they are licensed for reuse.
Your ad could get shut down if you use a copyrighted image.
Tracking is an important component of profitable digital ads because it lets you know what’s working and what’s not.
When you track, you are able to know when something isn’t working and make changes ASAP.
It also allows you to know what’s working and do more of it.
- Post engagement on social media
- Website Visits
- Ad Reach (for brand awareness)
- Number of leads generated
- Number of sales, etc.
It’s important to know your numbers so that you will have something to benchmark your ad results against.
If you do not have your own numbers, you can use industry benchmarks until you do get your own numbers and know what works for you.
That’s it. The 4 key components you need to run Profitable Digital Ads that help in business growth.
Got any questions about ads you’re running?
Ask them in the comment section below.