What is display advertising?

Display advertising is a type of online advertising where visual ads appear on websites, apps, and social media platforms. Think of it like billboards or magazine ads, but for the internet. These ads often include images, videos, and sometimes just text, designed to catch your eye as you browse. Their main goal is to build brand awareness and drive traffic to a specific website or landing page.When you visit your favorite news site or a blog, you will likely see banners or boxes on the side, top, or bottom of the page that are not part of the main content. These are display ads. Advertisers can choose to show their ads to specific groups of people based on their interests, demographics, or even what websites they have visited before. This makes display advertising a powerful tool for reaching potential customers.Unlike search ads, which show up when someone is actively looking for something, display ads try to capture attention while people are doing other things online. They are more about creating demand and reminding people about a brand or product, rather than directly fulfilling an immediate need.

Why it matters

Display advertising is important for several reasons. First, it helps businesses get their brand in front of a large audience. Many websites and apps offer ad space, allowing advertisers to reach millions of potential customers. This wide reach is great for building brand recognition, so more people become familiar with your company and what you offer.Second, it allows for very precise targeting. You can show your ads to people who are most likely to be interested in your products or services. For example, a pet supply store could show ads to people who frequently visit pet blogs or have searched for pet food in the past. This means your advertising budget is spent more efficiently, reaching relevant audiences instead of just anyone.Third, display ads are highly visual. Humans are naturally drawn to images and videos. This makes display ads very effective at conveying a message quickly and emotionally, which can lead to higher engagement and a better chance of someone clicking on your ad to learn more.

Best practices

To make your display advertising campaigns successful, here are some best practices to follow:

• Know your audience: Before creating any ad, understand who you are trying to reach. What are their interests, age, and online behaviors? This information helps you design ads that resonate with them and choose the right places to show those ads.
• Create compelling visuals: Your ads need to stand out. Use high-quality images or videos that are clear, relevant, and visually appealing. The ad should immediately communicate your message or brand.
• Write clear calls to action (CTAs): Tell people exactly what you want them to do. Use phrases like "Shop Now," "Learn More," "Sign Up," or "Get a Quote." Make the CTA button prominent and easy to find.
• Test and optimize: Do not just set up your ads and forget them. Continuously test different ad designs, headlines, and calls to action. See which versions perform best and then use those insights to improve your campaigns over time. This process is called A/B testing.
• Use remarketing wisely: Remarketing (or retargeting) means showing ads to people who have already visited your website. This is highly effective because these individuals have already shown some interest in your brand. Remind them about what they viewed or offer them a special deal to encourage them to return and complete a purchase.

Key metrics to track

To understand how well your display campaigns are performing, you need to track specific metrics. These numbers help you see what is working and what needs improvement.

• Impressions: This is the total number of times your ad was shown. It tells you how widely your ad is being seen.
• Clicks: This is the number of times people clicked on your ad. It shows how engaging your ad is and how many people were interested enough to learn more.
• Click-through rate (CTR): Calculated as (Clicks / Impressions) x 100. A higher CTR means your ad is relevant and appealing to the audience it is shown to.
• Conversions: This measures how many people completed a desired action after clicking your ad, such as making a purchase, filling out a form, or signing up for a newsletter. This is often the most important metric for business goals.
• Cost per click (CPC): This is the average cost you pay for each click on your ad. It helps you understand the efficiency of your ad spend.
• Return on ad spend (ROAS): This metric shows how much revenue you get back for every dollar you spend on advertising. It is crucial for understanding the profitability of your campaigns.

Display advertising is a powerful way to build brand awareness, drive website traffic, and reach targeted audiences through visual ads. By focusing on strong visuals, clear messaging, and continuous testing, you can create effective campaigns. Regularly tracking key metrics like impressions, CTR, and conversions will help you optimize your efforts and achieve your marketing goals. Start by defining your audience, crafting eye-catching ads, and setting up tracking to measure your success.