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Digital Advertising

// Digital Advertising

What Is Digital Advertising?

Digital advertising is a strategy for promoting a product online. This promotion takes place on social media platforms, search engines, websites and even in your inbox. Essentially, digital advertising is promoting your product or service to people on the Internet.

In 2018, Facebook’s advertising revenue was $55 billion. This means that marketers cumulatively paid them $55 billion to advertise their products on the Facebook platform.

Like we said, digital advertising is important.

It can also be called “online advertising” or “paid media”. All of these terms simply mean that you are promoting a product online and want to start converting (i.e., users signing up for your email list, people buying your product, etc.)

Search Engine Marketing: These are the most recognized digital ads with a small “ad” icon that pops up in the search results. The two most common payment methods for these ads are pay-per-click or pay-per-mile, which is based on the number of impressions the ad receives.

Display ads: These are text and images designed in the form of banner ads, pop-up ads and video ads. Display ads appear on third-party websites.

Social Media Ads: Ads that pop up when you scroll through social media feeds.

Native ads: Ads that don’t look like ads; it will say recommended for you and will match content you’ve viewed before. After clicking on a natvie ad, you will be redirected to the advertiser’s website.

Remarketing: This form of digital advertising uses cookies to track users on the web and deliver ads tailored to the most recently viewed website, product or service.

How Does Digital Advertising Work?

Digital advertising is marketing to a targeted audience through digital platforms, including social media, email, search engines, mobile apps, affiliate programs and websites. One of the main benefits of digital advertising is that advertisers can track the success of their campaigns in real time. The goal of digital advertising is to advertise inorganically at the consumer’s location and to tailor ads to the preferences of the target audience.

The first digital ads were placed as banner ads in 1994. Since then, the advertising industry has undergone significant changes due to the introduction of GoogleAdWords, GoogleAdSense and Facebook in the early 2000s. The industry will continue to evolve as digital transformation (i.e., the use of technology to create or modify business processes) continues.

Advertisers use specific data to design digital ads that drive traffic to websites, generate leads, build awareness, establish credibility, connect with target audiences, and ultimately generate sales. Some of the things to keep in mind when designing a successful digital advertising campaign are the company’s goals, multi-strategy approach and available resources. There are many different formats of digital advertising, such as

 

Best Digital Advertising Examples

1.

Search Engine Marketing (SEM)

Without a doubt, one of the hallmarks of the digital transformation is the use of Google (and other companies like Bing and Yahoo) as a source of questions on the Internet.
 
In Google alone, there are approximately 75,000 searches per second. Considering that this is the most commonly surveyed page – the preference of 92.07% of users – how can it be ignored?
 
Among the possibilities of search engine advertising, search engine marketing strategies stand out among two different techniques: SEO (search engine optimization) and paid advertising.
 
SEO represents a set of techniques and strategies for generating natural traffic.
 
From the work of link building, keyword definition and quality content relevant to the reader, pages can stand out and rank in the main results of search engines.
 
It is aimed at the long term. However, the costs are low and the rewards can be significant.
 
Paid advertising, on the other hand, includes paid advertising, in which companies pay only for users who click on their ads, thus optimizing the use of their resources. Such content appears on Google with the “ads” icon.
2.

Display Advertising

Closer to the idea of traditional advertising, display means are used to create images and text to capture the user’s attention.
 
The most common way to do this is to use banner displays and ad space in sites specific to your audience.
 
For example, for e-commerce of sports articles, the pages of a sports news portal can be a good place to display ads.
 
In practice, this is the same as advertising on the pages of a newspaper or magazine. It may not be as effective when we are talking about influencing a very segmented audience.
 
However, visual ads are a great way to grab users’ attention and make sure they click on your message.
 
3.

Social Media Ads

Examples of social media advertising
Social media is undoubtedly one of the most effective channels for communicating with your audience.
 
Facebook has 2.5 million active users, while YouTube, WhatsApp and Instagram have added another 4.5 million active users. Studies show that the average user spends almost an hour a day on these channels.
 
For those who want to strengthen their brand awareness and digital presence, it is critical to appear on these platforms and promote their products and services.
 
It is possible to reach many people, better yet, in segments, either organically or on a paid basis. Social media is also an excellent channel for digital advertising due to the relatively low expenditure.
4.

Email Marketing

Email Marketing Example
Although email is an old channel from the Internet era, it is still popular. According to Statista, use of the channel tends to grow at a rate of 2% to 3% per year through 2023.
 
The main reason? Popular preference.
 
An Adestra survey shows that 73% of millennials prefer to communicate with companies through this platform. The good news? A DMA Insight study shows that 99% of consumers check their email daily.
 
With so many people connected in this channel, you’ll be able to get closer to your consumers. On top of that, email marketing has a very high ROI.
 
For every $1 spent, the average return on investment for email advertising is $40.
 
To overcome this return, you need to consider four areas: getting qualified subscribers, engaging your public, keeping your audience on an email base, and finding some automation tools to help with the process.
 
The first point, getting qualified subscribers, is something your business will do organically by providing quality content to your audience. The main rule here is: never buy an email list from someone else.
 
Those people never allow you to talk to them, and beyond that, they may not even be interested in what you are doing. Therefore, you need to build your list from scratch based on the people who are interested in what you have to offer.
 
Once you’ve found those qualified subscribers, you need to nurture them with relevant content. But be careful: don’t send them a lot of emails. Segment your list based on characteristics and personal interests. After that, put together a calendar containing all the messages you will send. Send occasional ads and never spam your list.
 
To make all this easier and more precise, rely on automation tools. This way, you can program nurture processes and newsletters that will be sent automatically on the dates and times you track.
 
You can also segment your list to ensure that your audience moves through the channels, taking content to each stage of the buyer’s journey.

What Is A Global Expansion Strategy?

Developing a well-thought-out business expansion strategy will help you to:

  • Expand to the right markets at the right time
  • Make efficient use of time and money
  • Reduce risk and comply with local regulations
  • Build a competitive and crushing team
  • Expand your business faster
  • Increase profitability

Why You Need A Global Expansion Strategy

A global expansion strategy is a formal business plan that outlines how a company intends to expand its business into foreign countries and markets, while mitigating risk and increasing revenue growth. To be successful, it should include a clear timeline and budget, in-depth research, realistic goals, and dedicated people.

Your international expansion strategy should provide clear structure and guidance to the people responsible for executing it so that it becomes a key part of your global expansion process.

How To Develop A Successful Global Expansion Strategy

Developing a robust global expansion strategy is a daunting task. It requires sufficient time, dedication and resources. But it’s not an impossible feat, and if done well, your global expansion plan will make expanding your business easier and more successful in the long run.

To help you get off to a smooth start, we’ve broken down the global expansion strategy process into six simple steps.

How To Develop A Successful Global Expansion Strategy

Before you can begin your global expansion, you first need to set clear company goals. This will provide you and your team with short-, medium- and long-term direction and goals to drive sustainable business growth.

Setting company-wide goals will help you understand where global expansion fits into your company vision and where it can help you achieve your goals. It can also help you prioritize certain aspects of global expansion, set aside an appropriate budget, and provide a clearer timeline for when you need to achieve each step in the expansion process.

When setting goals, consider what your primary objectives for global expansion should be. For example, your global expansion plans may be influenced by the following factors.

Expanding your talent pool to build a diverse team and acquire niche skills
Expanding your business into lucrative new markets
Demonstrating the economic stability of your business through diversified markets
Save money by moving your business abroad
Build a globally recognized brand or enhance your existing reputation
Each of these potential drivers of global expansion will lead to very different goals that you will need to set and plan for.

To help you set achievable company goals, you can use many frameworks, such as OKR (Objectives and Key Results) or WIG (Widely Important Goals). But no matter which framework you use, your goals should be SMART.

Specific
Measurable
Attainable
Realistic
Time-bound

Conduct thorough market research

Once you have set your company goals and understand where global expansion fits them, you need to conduct thorough research on the markets you wish to enter. This will help you identify opportunities and obstacles before you start spending money on your expansion strategy.

When done well, market research can help you maximize profitability, reduce risk, and reassure stakeholders and investors that your global expansion plans are proven.

Here are some questions you should answer before entering a new market.

  • Is there a demand for your product or service?
  • What is the total target market (TAM)?
  • What is the sociopolitical and cultural landscape like? Is it ready to use a product like yours?
  • Who are your competitors and can your product or service offer something new?
  • How will local laws and regulations affect your expansion plans? Can you overcome these obstacles?
  • Do you need to invest in localization to make your product or service successful in the new market?
  • What types of talent are readily available in the target country? For example, does the country produce highly qualified academics, leaders in specific industries, or a large pool of technology talent?
 

There are many tools you can use to help you research your target market more easily, such as country/region-specific databases like the OECD. Upon completion, you should have a better understanding of which markets to prioritize in your global expansion strategy.

While the ultimate goal may be to expand into dozens of countries on all continents, it is best to start with a few select high-priority, low-risk markets. For example, you might start by expanding into Europe or other strategic regions.

This approach to expansion will allow you to test your international expansion strategy and make any necessary adjustments before committing more capital and resources.

Evaluate the different types of global expansion strategies available and choose wisely

There are many ways to expand your business globally, but what works for one company may not work for yours. Use your market research, company goals and budget to determine the right international expansion strategy for your company. The main types of expansion strategies are

  • Exporting goods or services
  • Licensing and franchising
  • Establishing strategic partnerships
  • Acquiring or merging with a foreign company
  • Establishing wholly owned subsidiaries abroad (also known as Greenfield Venture)
 

Each market expansion strategy has advantages and disadvantages. For example, licensing is fairly inexpensive and can allow your business to expand quickly, but it can lead to loss of control over quality, messaging and reputation.

On the other hand, Greenfield Venture allows your business to maintain full control of your operations, but it is an expensive and complex process from start to finish.

To achieve these goals, we have taken a comprehensive and multifaceted approach to global expansion. The following is a brief summary of the work we have done.

  • Conducted research on local regulations around the world
  • Analysis of customer needs and growth patterns
  • Researching the complexity of setting up and obtaining the appropriate licenses to be fully compliant
  • Assessing internal expertise to determine which markets we should prioritize and how aggressive we should be
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