Promoting your business online: Online Advertisement

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WWW-Promo-IconIn our previous posts we provided some tips about building a website and talked about website structure. Today we want to give you some advise regarding online advertisement which helps to generate more traffic to your website. But before we get started we would like to mention our post about Online Marketing, which will give you some general information.

Having a well designed website is the first step to promote your business, products, services and even events online. The second is to generate traffic to your site and to hopefully get customers. One way to get more visitors to your website is to do online advertisement. Online ads can be in form of a simple text ad or a more engaging and colourful banner ad. Thanks to increasing internet speed and acceptance you also have the option to do online video advertisement.

We hope the following overview helps to demonstrates the differences between text ads, banner ads and video ads. We are sure you are well aware that Google isn’t the only one offering the possibility to advertise online. Beside Google you can also use Bing and several other platforms. To have a fair comparison, which we have included in our post today, we were running several ads via Google AdWords and hope the results will help you decide what is best for your company. Let’s get started:

Text Advertisement
teccrab_text_adThis is a simple ad which you can find when you use the Google search engine. The ad appears either on top or on the right hand site. It is important to mention that Google has many partners across the internet so that your ad might also appear on other websites. You will have a title, description and link. When you are setting up your ad you can select keywords related to what you want to promote as well as a target group.

Banner Advertisement
teccrab_inc-BlogPostA Banner is a fantastic way to give your ad a bit more colour. The Banners sizes vary from a small square size banner to a so called skyscraper or larger vertical banner. Similar to the Text ad you select your target group and pay only if someone clicks on it. If designing a banner is not your thing there are many possibilities to get a banner made. We would be happy to help you out.

Video Advertisement
Thanks to increasing internet speed we are able to watch videos and even entire movies online. This means we also have the opportunity to advertise products and services via online video ads. Producing a video is of course much more expensive compare to a Banner or Text ad, but when you look closely to the numbers in our example below, you will see that a video ad is actually giving you the best return. To demonstrate that even a small budget video can generate more traffic we produced the following video:

After introducing the different online advertisement options let us do a little comparison. The numbers presented in our post are based on campaigns we were running in 2014. In our example we wanted to have a total budget of $3,000 and to get everything done as affordable as possible with the best possible return. To make it easier we are not calculating with any additional monthly costs for an online advertisement agency, just the budget plus a small setup fee. The click rate is based on a calculation for a B2B business and can be different if you have a B2C business. Now lets get started…

Setup Fee / Initial Investment / Budget
Text Advertisement = ~$100.00 setup fee which gives you a Google AdWords budget of ~$2,900.00 for your 3 month campaign
Banner Advertisement = ~$250.00 setup fee which gives you a Google AdWords budget of ~$2,750.00 for your 3 month campaign
Video Advertisement = ~$850.00 setup fee which gives you a Google AdWords budget of ~$2,150.00 for your 3 month campaign

Obviously text advertisements are the cheapest way and producing a video more expensive. Please keep in mind that the video in our example is just a simple one with almost no production costs. We hope it demonstrates how powerful even a simple video ad can be compare to other alternatives. Now let us take a look at the return rate:

Clicks you can expect per month / for the entire campaign
Text Advertisement = ~180 clicks per month and ~540 clicks for the entire campaign
Banner Advertisement = ~300 clicks per month and ~900 clicks for the entire campaign
Video Advertisement = ~800 clicks per month and ~2,400 clicks for the entire campaign

We would like to remind you that the goal was to run each campaign for an overall cost of $3,000 for 3 month. If we compare now those 3 campaigns we can see that even if the initial costs for a video ad was much higher and because of it the budget for the campaign so much lower, we reached in the end more potential new clients compare to a regular text ad.

Of course the best way to advertise is not putting all eggs into one basket. Diversity is a much better approach, but we hope the little comparison did help you decide where your investment will give you the best return.

If you want to learn more about video advertisement solutions please feel free to
check out our website at http://teccrab.com 
or send us your question at info@teccrab.com
or just give us a call at +1 604 685 9439

One thought on “Promoting your business online: Online Advertisement

    […] Last but not least you can use various social media platforms to advertise. Depending on the platform you may be able to place a banner, text or even video ad. We compared text, banner and video ads in our post Promoting your business online: Online Advertisement […]

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