How E-commerce Businesses Can Get a Higher Yield on a Smaller Shopping Ad Budget in 2020
Accounting flat banners set with banking shopping and finance elements isolated vector illustration. How E-commerce Businesses Can Get a Higher Yield on a Smaller Shopping Ad Budget in 2020
Shops, malls, and stores are closed. Businesses are now relying more heavily on e-commerce to keep running. However, there is only so much you can do on a limited shopping ad budget.
This article will show business owners the tricks of maximizing their shopping ads, even on small budgets. Do you know that your online company can pay almost half the normal amount it would take to run shopping ads to get the same yield and revenue in these present times?
Surprised? Here’s more.
How Ad Funding Is Squandered
An old saying states that marketers squander up to half of their budgets but are ignorant of what half they waste. In recent times, we have seen that this saying is only half true. Yes, they know they waste their ad funding, and they also know what part of the funds is being wasted. In fact, most marketers can tell you exactly how much money is being wasted in their marketing campaigns.
Ad funding is squandered when the marketer has cravings for a sub-standard audience scope. This goes to say, the cheaper your viewer scope is, the more ad funding is being wasted. When marketers are fixated on their range or scope, the quality of their ads is greatly reduced. This is why you can see a clean ad among a bunch of questionable content which is not a good look for any brand. Marketers who would prefer to use a low-priced inventory to push a brand’s online presence have ended up soiling the reputation of many good brands and companies online.
Another way marketers waste ad funding is by experimenting with non-trusted ad engagements. Also, some marketers get roped into advertising contracts that might not be as effective as they promised to be.
Why the Bulk of Ad Funding Is Flushed Down the Drain
Let’s face it, e-commerce companies make big advertising mistakes that deter them from giving the process another shot because of the low yield. This is because they are doing it wrong. There are tons of tricks that can increase the business’s Return on Investment and still prevent mistakes.
Let’s look at some reasons why you’re spending so much money on ad funding yet you’re yielding so little:
1. Bulky Keywords
Ever heard of the Pareto Principle? It says that your input of 20% will define your 80% output. It is a great life principle and it sure does apply to online marketing too. In other words, less is more. Lesser keywords mean more clicks, and more clicks mean more sales. Genius, right?
Bulky keywords eat at your ad funding budget and what good is all that money if it does not generate revenue? Apart from eating up your budget, large keywords lower your quality cut drastically.
You don’t want that. Keep it simple. Most brands get desirous and chip in more keywords than necessary in their ad budget. It’s all good, you will get more clicks and all that. What you will also have to deal with is the unqualified clicks and inapt keywords that ruin your quality score and waste your funding.
Want to be safe and maximize your budget? Use a few keywords, you may not be confident that your website would rank. However, you can guarantee that using a few keywords in your web content won’t put your website at the risks we mentioned such as a huge amount of unqualified leads and poor quality score.
2. No Specific Audience
Imagine a business that sells women’s underwear running an ad to reach an audience that includes men, women, and children. Will they get more clicks? Sure! The question is: how many of those clicks will turn into potential customers? You have your answer.
Paying for ads to target a far-reaching audience will get you all the clicks you want but only a trifling percentage of those clicks can be turned to actual sales. Don’t waste your ad funding. Narrowing your target market to specific demography will yield more than targeting a broad audience who may not exactly be interested in your products or services.
Other important factors are location and timing. You cannot be a car wash company in Czech and run ads to be displayed in France. Who is your target audience? Set your ads to run in regions you can provide your services to if your customers’ location is essential.
If your ads have a call-to-action, you might consider running ads when your business is open. You don’t want a potential customer calling you in the middle of the night to get an instant service as described on your ad unless your company runs round the clock. Be deliberate about timing when running ads. This way, you save some money.
3. Optimization & Investment
If you think running ads is one-click away then you probably have to hire a helping hand. Inexperienced business owners like to think they can rest after running an ad, and just wait for the customers to start trooping in. We hate to break it to you but that’s a poor decision.
Online advertisement takes a minimum of twenty minutes weekly to augment. An inactive ad will have a drop in engagements and impressions. This can also lower your quality mark. Optimization of your ads will keep you way above your competitors. Always remember that an inactive ad is a waste of funding.
4. One Product Per Landing Page
So, you’ve gotten your keywords right. You have even optimized your ad twice this week. You also targeted your niche audience. Great.
Where does your ad lead your potential customers after they click?
If your brand is running email ads, then having one product per landing page is your best option to convert clicks to customers. Research has proven that clicks from social media ad campaigns are three times more likely to do this with single-product landing pages. However, if you are running ads on search engines you better have multiple products on your landing page.
When a potential customer uses a search engine to look for a product, they are more ready to buy than when they are randomly scrolling social media and they stumble on your ad. This is why you must provide them with options. For search engine ads, they are already willing to invest their time into getting what they want and it is up to you to show it to them.
Gain More, Spend Less
Having read this article, you will agree that it is time to make some changes to your ad account. In no time, you will see the difference and save some money in the process.