Paid Advertising Beginner 5 min read

What is display ads?

Display ads are visual advertisements like banners or images that appear on websites, apps, and social media. They help businesses reach potential customers with engaging visuals.

Key points

  • Visual ads that appear on many websites, apps, and social media platforms.
  • They use images, text, and sometimes video to capture attention.
  • Excellent for building brand awareness and reaching new audiences.
  • Can be highly targeted to specific groups of people based on interests or behaviors.

Imagine you're browsing your favorite news website, reading an article, or scrolling through a blog. Suddenly, you see a colorful box on the side or top of the page showing an advertisement for shoes, a new app, or a vacation spot. These visual advertisements are what we call display ads.

Display ads are essentially online billboards. They use images, text, and sometimes even short videos to grab people's attention as they navigate different websites, apps, or social media platforms. Unlike search ads, which pop up when someone is actively looking for something, display ads try to catch people's eye while they are doing something else online, like reading an article or checking their social feed.

These ads are a powerful way for businesses to introduce themselves to new customers or remind existing ones about their products or services. They help businesses stay visible and build a connection with their audience through appealing visuals.

Why display ads matter for your business

Display ads are a crucial part of a complete online marketing plan. They help your business in several ways, especially when it comes to getting noticed and building your brand's reputation.

Building brand awareness

One of the biggest benefits of display ads is their ability to make more people aware of your brand. By showing your ads across many different websites, you can introduce your company to a large audience who might not have heard of you otherwise. It's like having your logo and message seen by thousands of people every day, helping them remember who you are when they need what you offer.

Reaching a broad audience

The internet is vast, and display ad networks (like Google Display Network) reach a huge number of websites and apps. This means you have the potential to show your ads to almost anyone online. You can choose to show your ads based on what websites people visit, what they are interested in, or even where they live, making sure your message gets to the right people.

Retargeting potential customers

Have you ever visited an online store, looked at a product, and then seen an ad for that exact product pop up on another website later? That's retargeting, and it's a very effective use of display ads. It helps remind people who have already shown interest in your business to come back and complete a purchase or take another action. This can significantly improve your chances of making a sale.

Best practices for effective display campaigns

To get the most out of your display ads, it's important to follow some key strategies. It's not just about putting an ad out there, but about putting the right ad in front of the right people at the right time.

Know your audience

Before you even design an ad, think about who you want to reach. What are their interests? What websites do they visit? Knowing your audience helps you create ads that speak directly to them and choose the best places for your ads to appear. Tailoring your message makes it much more likely to be noticed and acted upon.

Design engaging visuals

Since display ads are visual, the design is super important. Use high-quality images or graphics that are eye-catching and clearly represent your brand. Your ad should be easy to understand at a glance, with a clear message and a strong call to action, like "Shop Now" or "Learn More." Make sure your logo is visible and that the ad looks good on different screen sizes, from large computer monitors to small phone screens.

Test and optimize your ads

Don't just set up your ads and forget about them. Continuously test different versions of your ads to see what works best. Try different images, headlines, colors, and calls to action. Pay attention to which ads get more clicks or lead to more sales. Then, use what you learn to improve your ads over time. This process is called optimization, and it's key to long-term success.

Key metrics to track

When running display ad campaigns, it is important to measure their performance to understand what is working and what needs improvement. Here are some key metrics you should keep an eye on.

Impressions

Impressions tell you how many times your ad was shown to someone. It’s a measure of visibility. A high number of impressions means your ad is reaching a lot of people, which is good for brand awareness.

Click-through rate (CTR)

CTR measures how many people clicked on your ad compared to how many times it was shown. For example, if your ad was shown 100 times and 1 person clicked it, your CTR is 1%. A higher CTR usually means your ad is engaging and relevant to the audience seeing it.

Conversions

A conversion is a desired action someone takes after seeing or clicking your ad, such as making a purchase, filling out a form, or signing up for a newsletter. Tracking conversions helps you understand if your ads are actually leading to business results.

Cost per click (CPC)

CPC is the average amount you pay each time someone clicks on your ad. Keeping an eye on your CPC helps you manage your budget and ensure you are getting a good return on your investment.

In summary, display ads are a flexible and powerful way to reach a wide audience, build brand recognition, and bring interested customers back to your website. By focusing on your audience, creating compelling visuals, and continually testing your campaigns, you can make display ads a valuable asset for your marketing efforts.

Real-world examples

Online clothing store promotion

A fashion brand shows banner ads of its new summer collection on popular lifestyle blogs and news websites. The ads feature models wearing the clothes and link directly to the product pages.

Local restaurant announcement

A new restaurant uses display ads to announce its grand opening. The ads appear on local news sites and food review blogs, showing appealing photos of their dishes and a map to their location.

Common mistakes to avoid

  • Ignoring mobile users: Not optimizing display ads for smaller screens can lead to poor performance and a bad user experience.
  • Using generic ad copy and visuals: Ads that don't stand out or speak directly to the target audience are often ignored and fail to engage.
  • Not setting clear goals: Running display campaigns without knowing what you want to achieve (e.g., clicks, sales, awareness) makes it hard to measure success and optimize future efforts.

Frequently asked questions

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