March 12, 2015

Three Types of Digital Ads

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Michael Jenkins
Michael Jenkins

CEO - Shout Agency
[email protected]

What is the best digital ad for your business?

Maybe a better question is: “Do you understand the difference and importance of different digital ad types?”

The reason for understanding why different types of digital ads are important comes down to one number. According to a recent Econsultancy report, 54% of ads are never seen by their target demographic. This means for every two ads created, one is a complete waste of money.

Considering that digital ad spending increased between 2011 and 2013 from $86.4 to $117.6 Billion dollars this is a monumental problem that we need to address.

The below information discusses three types of ads that maximum digital agency in Australia uses and the best ways to use them in your marketing mix.

Three Type of Digital Ads

Concept Ads

The first type of digital ad promotes finished products. Generally, the efforts of concept ads look to create a memorable impact on the consumer.
This is because concept ads specifically focus on driving brand value over pure lead generation efforts. They do this by helping consumers understand the value of your product.

Concept ads work great for established companies that make their money from brand recognition. A perfect example of this is the Scotch-Brite Glove ad. While most people use gloves for cleaning and other household chores, this ad reminds consumers that they should buy Scotch-Brite gloves the next time they are at the store.

While conversions are the ultimate goal, these ads look to install in the consumer a need for their product whenever they need their services.

It is not surprising therefore that concept ads measure their success in time watched. The more time consumers spend watching and paying attention to the brand, the more they identify with its core message. In an age where 54% of ads are not event seen by prospects, this is the equivalent of a marketing home run.

In a recent study by Chartbeat, they learned that consumers who watched a video for 3 minutes were twice as likely to re-visit the company website in the next 7 days.

For established brands, who want to keep themselves top of mind when their customers need their services, this is ideal.

Content Ads

If concept ads are not possible, because your brand is still growing then you might want to consider content ads.

Content ads provide valuable information about a company’s products, services, and usability. By providing information and being a thought leader in your industry, your ad has a dual purpose:

1. Reinforce that your brand is the leader in the industry.
2. Educate prospects on why your product is valuable for them to use.

One of the most dynamic forms of content ads today is native advertising. Native advertising is when a company places an ad on a site that is so similar to the other articles and pages that consumers think the article or ad is native to this third-party site.

The satirical newspaper, TheOnion, does a great job with native advertising.
Thanks to the Onion Creative Ad Agency, they now offer mock videos that they fit in with the rest of their mock news segments.

Commerce Ads

The final digital ad form is the oldest digital ad type. Commerce ads are different from concept and content ads because they have one goal.

Commerce ads encourage prospects to buy your products. They are the dominant ad form used by companies today because they produce immediate, tangible results.

81% of consumers now research products online first before buying.

Generally, they take an average of 79 days to gather enough information before making a major purchase. Therefore, it is important to give them touch points for your business until they are ready to purchase your products.

To help improve conversion rates, more and more companies are using retargeted ads.

Retargeting tracks users through tracking cookies across visits to any of your digital media properties. It then tracks users across the web to bring them back to your site to check out your products through the commerce ads placed on third-party ads.

Retargeting tracks them while they are going through the research process. A gentle reminder that you offer the products to help them with their needs.

Take Bevilles Jewellery. Our search campaign with them using commerce and retargeted ads had a 72% increase in paid search conversion rates with a decrease of 75% in the average cost per click for their campaign.

By taking the right campaign for the right company, you can use commerce ads that appeal to the target market.

Final Thoughts

Carefully consider what digital type works best for your company and products. Each type has its place in the market today.

It comes down to the most effective method of reaching your target market. Whether that is through a concept, content, or commerce ad is up to you.
Your business probably would benefit from having a mix of all three different ads in your marketing mix. That way, you can test which ads have the greatest impact on your prospects decision-making process.

If you need help making the decision, reach out Shout Digital agency to set up a free consultation.

Book a free 45 minute consultation today.

    Book a free 45 minute consultation today.

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      As Founder and Director of Shout Web Strategy, Michael Jenkins is at the forefront of digital marketing. Since it’s inception in 2009, Shout has built a strong reputation as one of Australia’s leading strategic SEO agencies, assisting online businesses to formulate, implement and track successful marketing strategies. Michael is a respected thought leader and digital strategist, specialising in online strategy, corporate SEO, Google retargeting, email and conversion rate optimisation, and online reputation management. Follow Michael on Google+, connect with him through LinkedIn or visit the Shout Web Strategy website.

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