SCW Clinic: Tapping Into the Power of Online Ads
Is Your Business Ready?
In a webinar on August 10, 2023 titled “SCW Clinic: Tapping SCW Clinic: Tapping Into the Power of Online Ads - Is Your Business Ready the Power of Online Ads - Is Your Business Ready”, Sheila Ojeda, the founder of Mortlock Marketing Solutions, addressed the audience about the advantages of utilizing advertising platforms like Meta (previously Facebook) and Google Ads. She debunked the confusion around the platforms, explaining that while Facebook has rebranded to Meta, Google Ads was once known as AdWords. Sheila showcased the distinct features of each platform. Meta, previously known as Facebook, excels at "interruption marketing", gathering vast amounts of user data for effective ad targeting based on demographics, interests, and behaviors. On the other hand, Google Ads target users based on their search queries, catering to those with a higher purchase intent. The platform is primarily text-based, prioritizing keywords over visuals.
Shelia detailed the costs of Google Ads and Meta's advertising. Google Ads averages a CPC of $4.22 with a 6% CTR, while Meta prioritizes brand awareness, costing less than a dollar per link click and $12 per 1000 impressions. Using Nike ads as an example, she contrasts Google's text-centric ads with Meta's visual ones.
She further explained the marketing funnel, with Meta ads targeting initial awareness stages and Google Ads focusing on users with purchase intent. On a query about Facebook and Instagram ads, Sheila mentions they might be packaged similarly, but Instagram, being visual, demands a unique approach.
Emphasizing data's role, Sheila urged businesses to understand metrics like conversion rates, CPC, and ROAS before investing in ads, ensuring informed decisions and better ROI.
Snapshot
Shelia discussed the importance and intricacies of advertising, particularly on platforms like Google Ads and Facebook.
Basic Calculators. While there are many complex calculators, Shelia uses a basic one for Google Ads. For Facebook, key metrics include cost per thousand impressions link, click-through rate, average cost per link click, conversion rate, and return on ad spend (ROAS).
Purchasing Data. Running ads means essentially buying data. The amount to spend varies depending on multiple factors such as product type, service, and industry. Machine learning plays a crucial role, and businesses need to allocate budget and time for testing.
Testing Period. Shelia recommends a month or two of testing for Facebook ads and about three months for Google Ads. The purpose is for machine learning algorithms to understand and optimize for your target audience.
Seasonal Prices. Shelia mentioned that the prices of ads can vary depending on the time of year. In August, many businesses begin testing as by October, due to the shopping season, the cost of ads increases.
Purpose of Ads. Shelia emphasized that ads are not a rescue strategy but a traffic driver. They can amplify what's working and expose what's not. Using ads can help boost growing businesses, but businesses should have a solid foundation first.
Website and Landing Pages. Before running ads, it's essential to:
Have a proven offer that converts organically.
Maintain a user-centric website, especially for e-commerce.
Ensure mobile optimization, as a significant portion of users are on mobile devices.
Utilize dedicated landing pages for higher conversion rates, especially for lead generation.
Conversion Rate. a good conversion rate is crucial. For e-commerce, a 2% conversion rate is decent, while 6-9% is great. Ads and landing pages should be consistent in content to provide a positive user experience and achieve better ad performance.
Know, Like, Trust
The importance of the "know, like, and trust" factor in advertising, means that an audience must recognize, relate to, and trust a brand before making a purchase. This factor is crucial before running ads, as some brands have great products but lack brand awareness or trust.
She often refers to Word Stream blog for metrics related to advertising, praising its in-depth and visually clear representation of data across industries. However, while the data from Word Stream is valuable, it's also essential to cross-reference with up-to-date sources. The average conversion rate across industries, as presented, is 9%. Still, it's vital to compare and contrast these averages with specific industries to determine if a client is meeting the benchmark.
In terms of event marketing, test different strategies, like redirecting clicks to a landing page instead of directly to Eventbrite. It's emphasized that advertising is about testing and iteration.
Metta and Google both have ad libraries where businesses can view competitors' ads, helping in research and understanding market strategies. The speaker is excited about Google's recent initiative, the Google Ads Transparency Center, even though it only displays ads for verified companies.
There are alternatives to ads:
SEO: Ensuring your website's search engine optimization is top-notch.
Content Marketing: Providing valuable content like blog posts or videos.
Email Marketing: Building an email list to ensure a consistent audience even if social media accounts face issues.
Social Media Marketing: Leveraging platforms, especially short-form video platforms.
TikTok, in particular, is highlighted as an underrated platform that's not just for dancing teenagers. Instead, it's becoming a valuable tool for professionals across industries to share their expertise and products, acting as a funnel to drive sales. The platform's algorithm makes it a powerful tool for search and targeting specific audiences based on descriptions and locations. YouTube shorts is also mentioned as a competitor to TikTok.
Sheila admits that creating video content can be challenging, but it's worth the effort. The more content is produced, the more the audience grows to know, like, and trust the brand or individual. TikTok, unlike Facebook, operates more like a search engine, making it incredibly powerful for targeting and engagement. The platform's versatility, from missing person cases to nonprofit showcases, demonstrates its broad utility. The speaker is open to discussing TikTok further in future sessions.