Digital Marketing
It’s time to re-evaluate your marketing plan?

What do I do?

If you are like most retail furniture and mattress stores, the new digital resources available to advertise as well as the changing effectiveness of many of the traditional media outlets has you in a perpetual search for the best places to invest your advertising dollars. What has worked in the past no longer seems to be as effective as it used to be. You look at your advertising budget and your total sales and find it is costing you more money than ever to make the same sale you made 10 years ago. To make your decision even more difficult, no market is the same. What works for other similar businesses does not guarantee it will work for you. And now, everyone is trying to sell me “digital marketing!”

Wow, how did they know I needed a new sofa!

You are running a sofa sale. A newspaper representative visits your store and offers you a deal. If you run an ad in her paper, she guarantees that the ad would only be seen by people in your trading area, by people that meet your customer profile, and only by those looking to buy a sofa. As a bonus, you will only be charged for the ads that are seen! WOW! Sign me up!

This would be an impossible scenario for a newspaper or radio station but is exactly how digital advertising can work. You determine who you want to see your ad and we analyze your criteria and recommend the best way reach your target customer.

How does a digital ad work?

A digital ad can be a single image, a video, a slide show, or simple text. The ad links to a web page located on your website containing additional details or a special offer. Your digital ads are only shown to the specific customer you want to target and are delivered through an auction process.  An auction takes place whenever someone meets the criteria you set to see an ad. The auction includes all competitors with a similar ad targeted to a similar audience. The ad that wins an auction and gets shown is the one with the highest total value. The total value isn't how much you are willing to pay but is a combination of 3 major factors: Advertiser bid, Estimated action rates, and Ad quality and relevance.

Advertiser bid

Your ad value is based on how many competitors are in the market place for a similar customer. In most cases your bid amount will be automatically set to keep it competitive keeping in mind that in most cases, your ad will cost less than the automatic bid amount.

Estimated action rates

Each ad you place is optimized for an action (website traffic, engagement, video views, lead generation, or store visits). Estimated action rates represent how likely a given person is to take the action goal of the ad. This helps differentiate between an ad being generally relevant to someone's interests and it being likely to cause them to take the action you're optimizing for.

Ad quality and relevance

Your ad will be measured based on its overall quality and specific relevance. For example, if your ad has received a lot of negative feedback, this can decrease its total value. If the ad has a history of being interesting to people reading it and taking the action, this can increase its total value. Each of your ads will be given a “relevance” score which can be found in the analytics report provide with each of the ads you run.

Cost?

Unfortunately, like the traditional media outlets, the cost of digital advertising is also based on your advertising market place. Areas with a lot of competition such as a large metropolitan area will be more expensive than a rural area.

The cost of your digital ad is determined by the competition in your market place, the number of potential customers you would like to reach, and the number of days your ad will run. Knowing this information, we can provide you with a total campaign investment. Typically, the cost to run an ad for 30 days can be less than running two half page color newspaper ads.

Is it worth the investment?

Yes. Digital advertising can be very effective however, it takes a commitment by you to make it a part of your overall marketing plan. As with any advertising, the key is to be consistent with your advertising message. Running a digital ad only once or twice a year will probably create disappointing or unrecognizable results.

Once you make the decision to commit to digital marketing, the hard decision will be “where do I get the advertising dollars?” The most obvious and probably best answer (unless you have additional dollars to spend) is to move advertising dollars from an underperforming media outlet into digital advertising. In some cases, you might find digital advertising to cost less with better results than what you were currently spending on a traditional form of advertising.

How do I get started?

The easiest way to get started is to give us a call or send an email. We will explain the process, review your goals, suggest advertising options, and develop a digital marketing plan that meets your expectations and budget.

JGi Internet Marketing
Jack Gilberg
phone: 800-827-9242
email: [email protected]

by Jack Gilberg
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