Nicole Perrin, Principal Analyst at research firm eMarketer made an observation, “The pandemic zapped us two years into the future on the e-commerce side.” The pandemic and its disastrous effect on the economy in 2020, forced companies to take a long and hard look at their advertising plans and platforms.
This was proven with the increase in the global digital marketing valuation from USD 290 billion in 2019 to USD 305 billion in 2020. This growth is expected to further expand at a CAGR of 17.6% to reach an estimated valuation of USD 807 billion by 2026.
The reason for the quick rise of the digital marketing industry is the increasing penetration of the internet, smart devices and the increasing prevalence of social media platforms.
By 2020, the three giant tech companies, Amazon, Facebook and Google dominated the digital advertising sectors and the pandemic catapulted them into command positions of the entire advertising economy. According to GroupM’s provisional report, they collected the majority of all ad spending in the US in that year. Ad industry veteran, Tim Armstrong said – “These companies that are data-science-driven get stronger and faster with a tailwind of usage—and Covid was a hurricane.”
Amazon Pay-Per-Click Advertising Tutorial for Beginners
Triopoly Comparison – Amazon, Facebook and Google
The pandemic and the restarting of the economy in the year 2020 actually helped interactive advertising. This was visible in the quarterly financial announcements of the three big tech giants.
Alphabet, Google’s parent company, reported USD 55.3 billion in revenue for the March quarter of 2021, which was a 46% rise from the March quarter of 2020. The revenue of Facebook, almost completely from advertisements, was USD 26.17 billion in 2021, a 48% increase from the same quarter in 2020. Amazon’s much lower profile advertisement business showed maximum and the fastest growth of 77% from the March 2020 quarter. It reported a revenue of USD 6.9 billion in the first quarter of 2021. Amazon’s stunning growth is attributable to its horde of purchasing data, and it is now challenging Facebook’s advertisement revenue.
Amazon’s Share of Digital Advertising Revenue Worldwide (2020-2026)
Amazon began its advertisement business by offering display and search advertisements on its site. With time, the company added more ad products, with the result that its offering now resembles more to that of Facebook.
Brian Olsavsky, Amazon’s CFO, said in an interview that the company’s ad business profited tremendously from an increase in traffic during the pandemic. The company’s technology for delivering relevant ads is attracting attention.
Compared to Facebook, which understands product interest based on what its users socialize about and the sites they visit, Amazon’s real-time data is based on what people actually buy. This, in itself, is the best predictor of future product interest and is very attractive to advertisers. This is also a big reason for Amazon’s digital advertisement growth, which shows every sign of growing steadily in the coming years.
Reasons Why Amazon Ads Are Better Than Facebook Ads
Products Offered by Amazon Ads
By 2019, Facebook had emerged as one of the largest platforms for eCommerce marketing. As time went on, however, and the world of digital advertising advanced further, advertisers realised that Facebook’s audience-targeting metrics lacked focus as many of its users were exposed to advertisements completely irrelevant to their interests. Contrarily, visitors to Amazon had specific needs for which they were shopping.
More than 50% of online shoppers begin their product search on Amazon. The likelihood of that search converting to an actual sale is far more possible than on sites like Facebook or Google. Placing advertisements on Amazon is doing more than building brand awareness. It is the strategic time when users are ready to make a purchase, greatly increasing the chance of a sale.
Improvement in Organic Listings on Amazon
Sales volume on Amazon plays a significant role in the organic listing of products. The better a product sells, the higher are its chances of a priority listing when a search is initiated for a relevant product. For eCommerce brands, this is essential as, over time, it can have a snowball effect on sales. Comparatively, Facebook advertisements do not deliver this kind of direct benefit or boost when the marketing campaign ends.
Amazon Ads Enjoy a Higher Trust Factor
The product reviews that customers leave on Amazon have proven to be extremely influential. Qualtrics data reveals that 93% of customers check for product reviews before making a purchase. Sponsored Product Ads on Amazon are also more popular as they list the product as part of a user’s search result complete with a star rating. Reviews on a Facebook eCommerce advertisement are a part of the ad copy, and consequently, enjoy a lesser trust factor than Amazon’s reviews, which are left by actual customers.
More Advertisement Variety to Experiment
A Sponsored Product Advertisement, while very attractive, is not the only option for an Amazon ad. Sponsored Brand Ads, previously known as Headline Ads, usually appear above or below the search results, which advertise the brand or its latest product offering. Clicking on these advertisements takes the user to a custom landing page, gaining greater exposure to the business and its products.
Another unique option that Amazon Ads offers is Product Display Ads. These ads are usually displayed on the customer review page or as a ‘related product’ suggestion. These ads can generate a high revenue keeping the brand and company one step ahead of the competition. In comparison, Facebook ads are available in fewer formats and do not offer any other value-added services.
Conclusion
Amazon Ads offer various advertisement options that help eCommerce businesses and brands with many combinations for increasing sales. Even more importantly, these ads are dependent on keyword metrics rather than audience metrics. Hence, there is a greater possibility that the advertisement appears before relevant users, increasing the chances of an actual sale.
In a world that is competitive and increasingly digitized, these shifts in the way products are now advertised can have a huge impact on revenues. Amazon seems to have got the combination right. Currently, Amazon Ads are offering a far greater value proposition to advertisers than Facebook.
FAQs
What are Amazon ads?
Amazon ads are based on a pay-per-click model just like ads on Google. The sellers pay when a visitor clicks on the ad, irrespective of whether they make a purchase or not.
How much does it cost to run ads on Amazon?
Most of the sponsored products, sponsored brands, and sponsored display are pay-per-click ads. This gives you the flexibility to set your own budget regarding how much you want to pay for a click.
Why are advertisers shifting focus from Facebook ads to Amazon ads?
The following are some of the reasons why advertisers are shifting their focus from Facebook ads to Amazon ads:
Ready to Buy Audience
Improvement in Organic Listings on Amazon
Amazon Ads Enjoy a Higher Trust Factor
More Advertisement Variety to Experiment
What are the types of Amazon ads?
The following are the most popular types of Amazon ads:
Sponsored Product Advertisement
Sponsored Brand Ads
Product Display Ads
Audio Ads
Video Ads
Custom Advertising
What is the worth of digital advertising spending worldwide?
According to Statista, digital advertising spending worldwide was calculated to be worth USD 521.02 billion in 2021 and the number is expected to grow to USD 876 billion by 2026.
Amazon is the largest online retailer across the world. In 2020, it generated revenue of US$ 120,968 million becoming the leading e-commerce market, globally.
Approximately 197 million people use Amazon worldwide. In the U.S. alone 95 million people have Amazon Prime membership and spend an average of around $ 1400 each year.
Therefore, advertising and listing your products on Amazon gives you an unmatched opportunity to create awareness and visibility of your products and boost sales. Moreover, as Amazon is trusted by millions of users seeing your product or brand advertisement on Amazon makes them appear more authentic and reliable.
Hence, advertising on Amazon becomes a very important part of your marketing strategy. However, a number of people complain that they are unable to derive the desired returns.
They claim to spend a huge amount of money on advertising but cannot get enough customers. If this is happening with you as well then this blog is meant just for you.
Advertising your products on Amazon and increasing your sales through it can be complicated. In this blog, we will share the tips and tricks that will help you throughout this process and help bring more sales.
But, before we tell you about the tips to follow for a successful advertisement strategy, let us first discuss in brief how Amazon ads are created.
Advertising on Amazon is a great way especially for the new sellers to create brand awareness. Let us see how to create and run ad campaigns on Amazon.
Amazon allows you to create two types of advertisement campaigns. They have sponsored brand campaigns and sponsored product campaigns. The first can only be created by the sellers who have registered a brand with Amazon while the latter can be run by any seller.
Amazon Sponsored Product Ads
Both these campaigns are meant to increase product or brand awareness and visibility that in turn increase the sales of the product.
The next thing you need to understand to run an advertisement campaign is bidding. Amazon does not charge you for running ads but as soon as a user clicks on your product to see the details an advertisement expense is deducted irrespective of whether or not the visitor buys the product.
This amount depends on the bid that you place while setting your advertisement campaign. In case two sellers are selling similar products, the product of the seller who has placed a higher bid will be shown on the top.
Now let us see the step-by-step process of how to run advertisements on Amazon.
Creating Campaign
First of all, log in to the Amazon Seller Panel.
On the top of your screen, you will see a number of options such as catalog, inventory, pricing, etc. Click on the Advertising option. A list of options will come down. Click on the Campaign Manager option.
On the next screen, you will find a tab “Create Campaign”, click on this.
The next screen will ask you to choose your campaign type. This includes the two options as stated earlier i.e. sponsored products and sponsored brands.
You can choose the option suitable for you. For reference here, we will go with sponsored product option.
As soon as you click continue the next screen will open that has multiple questions related to running the advertisement campaign.
The first column is the campaign name. You can choose any name that may help you in easy identification later as this will only be visible to you.
The second column asks you about the start and end date of your advertisement campaign, you can choose this as per your convenience.
Setting the Budget
The next option requires setting the daily budget of your advertisement campaign. This is the amount that you are willing to pay every day to run the campaign. Amazon desires this amount to be greater than Rs. 50 per day.
As explained earlier Amazon only charges the advertisement expense when a user clicks on your product to view details. Hence, the daily budget amount also depends on your per-click bid. For example, if you have set the bid at Rs 5 per click and the daily budget at Rs. 100, as soon as 20 users click on your product, your daily budget will exhaust. Therefore, the higher the daily budget the longer your product will be visible to the customers. Mostly, it is suggested to keep the daily budget around Rs. 500 as it runs throughout the day.
Targeting
The next option is targeting. Here, you will find two options i.e. automatic and manual targeting.
In manual targeting, you will have to choose the keywords through which your product will be displayed to the viewers while in automatic targeting Amazon decides the keywords on its own.
If you are a beginner it is better to choose automatic targeting to see the viewer response first.
The next option is a campaign bidding strategy. There are three options to choose from viz. dynamic bid – down only, dynamic bid – up and down, and fixed bids.
The first option lowers your bid when the ads are less likely to convert into sales. The second option raises or lowers the bid in real-time depending on the possibility of conversions. The third option keeps the bid fixed.
Now, you will have to create an ad group. You can add multiple ad groups in a single campaign.
The first column is to select the name of your ad group which will only be visible to you.
The next option is to choose the product for your advertisement. Here, we would suggest choosing the product from a single category while in a particular ad group.
Now, you will have to choose the automatic targeting where you will find two options set default bid and set bid by targeting group.
We recommend choosing the first option if you are just a beginner and also choosing your bid as suggested by Amazon as this increases the chances of sales.
Next column negative keyword targeting is optional. You can leave this option blank if you are just beginning.
After a month or more of running your advertisement campaign, you can add the keywords in this column that do not bring any sales to your product.
The final step is to click the “Launch Campaign” button. Your advertisement campaign will be launched as soon as you click this option.
Now, when we know how to run an advertisement campaign on Amazon we can now move forward to understand how to make our advertisement campaign successful.
What Should You Know Before Running Ads on Amazon?
Even when Amazon offers you a broad platform to create brand awareness and visibility, not all advertisement campaigns running on Amazon can be called successful.
The reason for this is the money spent on these campaigns, which is quite high in comparison to the sales brought through them.
As per a survey, the annual advertisement cost on Amazon increased from 16.9 billion U.S. dollars in 2014 to 10.9 billion U.S. dollars in 2021.
Annual Advertising Costs of Amazon
This indicates that more and more retailers on Amazon are now opting to run advertisement campaigns. This has obviously increased the price of advertising but the sales are also increasing at an equal speed.
However, many vendors still cannot get the conversion rates they desire. They should understand that advertising for different brands and products is different and requires a unique strategy.
Types of Advertising Campaigns on Amazon
Amazon offers six different types of advertising campaigns. They are:
Amazon Sponsored Ads
As explained above these are the pay-per-click and keyword-targeted ads. These are displayed on the top of the page when a viewer searches for a product.
Amazon Headline Search Ads
Also known as the sponsored brand campaign these are the keyword-targeted ads that are displayed alongside the search results.
Amazon Product Display Ads
These are also the pay-per-click ads that appear on customer review pages, product detail pages, below the search results, and on top of the offer listing pages.
Amazon Native Ads
These are of three types viz. recommendation ads, search ads, and custom ads. These ads can be displayed on your brand’s own website.
Amazon Video Ads
These ads can be placed on Amazon-owned sites and devices such as IMDb, Amazon.com, Amazon fire TV, etc.
Amazon Stores
These are the multi-page online stores on Amazon that can be used by the seller to promote their brands.
Each of these campaigns is meant to grab the attention of viewers and increase the conversion rate of the product. You will have to choose the advertising strategy best suited for your product or brand.
Also, your work is not over just by choosing the strategy and launching a campaign. A routine and thorough analysis of your campaign, including the new trending keywords and discarding the old ones, and making other required changes regularly should be an essential part of your advertising campaign.
After all, this, remember that every marketing strategy is different and every product or brand requires unique advertising practices to get noticed there are certain basic rules that make a difference.
Tips to Create and Run a Successful Ad Campaign on Amazon
Below we have mentioned the 6 tips to create and run a successful advertisement campaign and boost your sales on Amazon.
Identify your goals
Are you trying to boost your conversion rates or just increase your brand awareness? Whatever your target be it should be clear to you so you can choose the right marketing strategy and implement it correctly.
This will also help you identify the right metric to measure your success. For example, if you are focusing on increasing your sales Advertising Cost of Sales (ACoS) can be the right metric. Similarly, if you are here to create brand awareness customer impressions can be a perfect fit for you.
The product page of Amazon is divided into objectives to help you easily choose the best-suited advertisement strategy for your brand or product.
Advertise the best of your products
As explained earlier Amazon only charges the advertisement fee when a user clicks on your ad to view the product details. To make every click count you must advertise the best of your products so that maximum numbers of clicks turn into sales.
You must also ensure time and again that the advertised products are available in stock and competitively priced.
It is also advised to choose the products that display the featured offer on Amazon. When several brands are selling the same product, Amazon combines them into one product detail page.
If your product becomes a part of a featured offer, it will definitely increase the visibility and sales of your product.
You can use a number of measures to make your product the featured offer such as pricing your product reasonably, including multiple shipping options or free shipping wherever possible, offering support services to ensure happy and satisfied customers, and reviewing your inventory.
Strong title and compelling details
This is one of the most ignored but impactful steps. The title of your product is the first impression for the potential customers. Therefore, it should be strong and catchy.
You can include details such as brand name, product type, size, color, material, key features, quantity, etc. in the title. The best titles are usually 60 characters long, easy to read, and informative.
It is always a good idea to include multiple bullet points in the description of your product. The shoppers today are smart and capable of making informed decisions. Your responsibility as a seller is to guide them in making the right choice.
The product description must provide the details such as uses, content, dimensions, origin, operational considerations, etc. of the product.
The product description is the small narrative of your product so it must be crisp and clear including all the necessary details. Apply the unique voice of your brand while writing the description. This will help you create a positive user experience.
You must also include high-quality, zoomable images of your product. This will help provide the user with a clear picture of what to expect. If possible also include a short demo video highlighting important features and details of the product.
Select the right channel to advertise:
Amazon offers multiple options for you to display your product advertisement. For example, voice ads can be put on Alexa-enabled devices.
Choose the right channel to advertise your product.
Get creative with your ads and give them a unique positive tone that reaches the customer and rings a bell.
Also, you must choose the right advertising campaign for your product between sponsored brand and sponsored product. While the first type of advertisement is meant to increase brand awareness the latter helps you boost the individual product sales.
Category-specific targeting
While looking for products on Amazon you must have seen the heading “Product you might be interested in”. This is category-specific targeting.
Basically, the advanced targeting functionality feature of Amazon gives you the opportunity to display your products along with the other products belonging to the same category. This helps you enhance the effectiveness of your ads.
Displaying your products alongside the other famous brands and top-rated products makes them look more reliable and allows you to increase brand recognition.
Choose keywords wisely
Keywords are the essence of your advertisement so it is highly crucial to choose them wisely. The right keywords can really make your brand popular.
Choose specific keywords that are likely to be used by high-intent people. Include important details of the product as keywords that may be of interest to the target audience.
Also, it is equally important to get rid of negative keywords that do not serve the purpose of your product. These keywords just increase your ad spend without bringing any traffic.
You must regularly check the viewer response to include the new trending keywords in your advertisement strategy and remove the old redundant ones.
Amazon being the largest online marketplace worldwide provides you with the platform to reach a much wider than possible through any other way. However, without an impactful marketing strategy, it can be difficult to create brand awareness or boost sales through this great platform.
By using the simple tips for running a successful advertising campaign on Amazon mentioned in this blog you can definitely increase the visibility and sales of your product on Amazon. You can thank us later.
FAQs
Can you run ads for Amazon products?
Yes, you can run ads on Amazon for your products. Amazon ads are a great way to increase the visibility of your product and get on the front page of Amazon.
Is it free to advertise on Amazon?
Ads on Amazon work on cost-per-click ads, if a user clicks on the ad Amazon charges you.
World eCommerce business emerged in the year 1982 by a company named Boston Computer Exchange where the primary motive was to sell computers online. These days, the eCommerce business is thriving as people are looking for new ways to become bosses of their businesses. The eCommerce trend is even going higher since the world has hit the pandemic. It has given ample opportunities to various business executives and entrepreneurs for selling their products and setting up their online stores.
However, setting up an online store is not enough. In this time of increasing competition, it is essential for you to indulge in great marketing strategies to attract more customers.
One of the best ways to market your store is to run ads for the store on different platforms. This way, you will be visible to a large audience and thus, more chances of attracting potential customers. So, before starting an eCommerce business, certain things must be taken into consideration to effectively generate revenue from the online purchases made by the customers.
Now that you have prepared your mind to be your boss, you should be thinking about the initial steps towards a successful eCommerce platform. Here are a few important keys that you should consider:
Design a superb website.
Use high definitional quality for your product display.
Make a distinctive selling presentation.
Ensure an outstanding customer network & support.
Create a marketing budget.
Apart from all these, fetching traffic to the online store to reach a more targeted audience is also a prerequisite. Therefore, before you offer customer support to your clients, you have to make sales of your products first, through an exceptional voice.
Thus, you have to keep in mind all of the above-mentioned key points are necessary and should work hand in hand for you to run your eCommerce business successfully.
Many entrepreneurs often open online stores and focus on any one of the key elements and run into a loss. So, to prevent your business from losses, make sure to have a proper plan in hand.
Factors for Selecting Ecommerce Platform
Now that you already have a business plan for launching your eCommerce store, there are a few key points that you should consider before investing in the online store. These are as follows:
Costing
Different eCommerce comes with several packages, you should always go for the one that looks cost-efficient to you. Often it is seen that lump sum payments have resulted in a bad investment. Therefore, prepare a budget in your mind and stick to that. You can select web hosting after comparing the prices with different providers to get the best deal.
Web Designing
The website should look user-friendly for the customers. From the capture page to the sign-out page your customers should get an excellent experience so that they keep coming back to shop from your online store.
Various eCommerce platforms make their websites theme-based. You can get these themes free of cost or even pay prices ranging for the premium themes.
Function & Programming
You can also customize the functionality of our eCommerce business with the help of coding and programming methods in the background. This can benefit you if you are trying to set up your online business effectively and competitively as compared to others.
Security
Customer data protection should be on the top priority list for an eCommerce business owner. There will be a lot of payment transactions happening on your online store page. Therefore, you should select the platform where the data of these customers are secured properly. Hence, your company will not lose any loyal customers.
Maintenance
To run a successful eCommerce online site, you cannot pay the fee once and get done with it. You will have to check if it is working smoothly and effectively to reach your targeted audience or not.
If the eCommerce site has no subscription price then you have to pay for an SSL certificate which is a yearly cost.
Per Month Hosting
You can independently host your eCommerce business which has no subscription cost as a hosting charge. For instance, Woo-commerce is such a platform that will help you to get the hosting management depending on the traffic of the web.
Business Software Integration:
It is indeed frustrating to begin from the scratch and shift to a new platform when your eCommerce has a business software aligned. Therefore, you need a platform that can smoothly combine with the existing system and provide solutions without any extra price.
Advertisement & Sales
A comparison amongst the best eCommerce platform for running ads for enhancing the digital platform is necessary. When you go through the evaluation process, you should keep in mind that every platform has its unique advantages and disadvantages regarding advertisements. On the other hand, you have a specific budget. Therefore, choose a platform that can suit your requirements.
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Top Platforms to Run Ads for Your Ecommerce Store
Cost-per-click of ads on social media platforms worldwide (2021)
The eCommerce market is highly competitive. Hence, every entrepreneur is searching for new ways to promote their goods and services. Often marketing the products becomes a complicated task and sometimes even after putting in the effort, it does even reach the targeted audience.
Again for a single user or entrepreneur, it becomes a tedious job to do all the tasks like handling social media, tracking products, checking emails, testing, analysis, etc at one time.
So, to ease up the things a bit and take the most advantage of your marketing strategies, the following are some of the best platforms where you can run ads for your eCommerce store:
Google Ads
Google Ads – Best Platform to run ads for eCommerce store
No one can beat the efficiency and effectiveness of the strategies led by Google in the digital marketing industry. Google’s marketing platform is running the digital business for a long time. All the analysts and marketers have appreciated the advanced tools present in Google ads.
A user can use the Google Ad services via paid promotion on SERPs. For advertising purposes, the users can use the Google Display Network facility from where the ads will be produced on relevant websites. To get new clients or even boost up your brand, Google ads can be the best platform.
It was previously known as Double click where there was a combination of establishing tool buildings and an interface for huge data. There are few platforms like Shopify or Magento which can smoothly connect to Google ads via API.
There is no doubt in the fact that Google is known to everyone all over the world. Also, a great benefit of using this platform is its excellent display network. So, in case you want your brand name to reach a huge audience of shoppers, then it can be very helpful.
You can manage analytics, surveys, optimizations, tagging, or even display ads, etc from this platform.
Pros
It is ideal for small businesses.
It is an affordable platform to run ads.
Provides a huge networking display giving accessibility to over 2.3-3.0 billion audience searches.
It boosts brands easily.
You can integrate it into any other software for marketing.
Cons
Rates can rise up to $100,000-$150,000 each year for larger business units.
Customer service is limited.
Marketers can often get confused and face difficulty in handling the software.
Microsoft Bing – Best Platform to run ads for eCommerce store
After Google, Bing has also reached popularity over the years in networking and ad promotions. According to Microsoft, around 14.5% of approximately global market share is ruled by Bing.
As an entrepreneur, if your target audience consists of shoppers, then you should go for Bing ad services. Also, a feature in Bing is launched called Bing shopping which is the same as Google Shopping Ads. This makes it a great and efficient platform for running ads for your eCommerce store.
Pros
The competition between Bing and Google is less. It has been observed that the cost per click on the ads here is around 70-72% less in regards to that of Google ads.
If you want a different set of audience bases, then a Bing ad is apt for you. The best part of advertising on Bing is to get the ad promotion on AOL, Yahoo, etc. add campaigns.
Cons
The features of the tool are not as advanced as compared to the other ad platforms.
The target audience reach is less in comparison to Google ads.
Facebook Ads Manager
Facebook ads – Best Platform to run ads for eCommerce store
In 2022, no one can think of advertisements without social media ad campaigns. Here, the first name that comes to mind is Facebook Ad manager. This is a popular choice for all business units to promote their brands across a large audience. Starting from whirly ads to extensive stories, there are numerous features in these social media platforms for promoting any brand.
To fetch relevant customers based on their interest, behavior, demography, etc. these social media ad campaigns are the best idea for your eCommerce store.
According to the studies of 2020 data, it is seen more than 2.7 billion people are on Facebook. Therefore to reach potential clients and users making use of this platform is important. Facebook ads definitely play a vital role in advertising your brand, selling the products, and retaining loyal customers.
Pros
It is easy to reach a large audience.
Different and unique formatting for ads.
Cost-effective & budget-friendly.
Reaching the targeted clients becomes easier according to their age, gender, demographics, and interests with the help of this platform.
Cons
Small brands may face challenges to get specific ads.
The conversion data is not reliable due to the latest Apple IOS 14.5 update.
Instagram Ads
Instagram ads – Best Platform to run ads for eCommerce store
In this context, you should know two vital things about Instagram;
81% of Instagram users utilize the platform for enquiring about the products and brands.
Around 130 million users tap or click on the shopping-related posts per month.
The promoters can either create reel videos or image-based ads for branding the products or services entitled to them. It becomes easy for reaching the targeted audience here. Moreover, you can link the ads directly to your shopping websites or product pages which again results in a significant amount of customer engagement.
Pros
Reaching the target audience in less time.
The effective sale is guaranteed through the unique ad formats for instance stories, IGTV videos, reels, etc.
Any client can purchase the product without even logging out from Instagram as the ads displayed are aligned with the landing page of the products or websites.
Cons
It can be an issue for aged clients to purchase products or services via Instagram as many are not very well-equipped with the platform yet.
The contents posted on the Instagram platform require top-notch visual strength. This will make your brand different from others and people will be bound to choose your service. So, all this can be pretty expensive at times.
YouTube Ads
YouTube ads – Best Platform to run ads for eCommerce store
To enhance brand promotion and awareness, YouTube is doing fantastic business all over the world. The best part about these ads on YouTube is that they are helpful to drive enough traffic to your store. Therefore, if you are planning to set up your online store, YouTube ads can be a considerable option that can successfully give you revenue leads.
Pros
Youtube is a part of Google’s promotion. Hence, there is already a strong data presence and tremendous capability to reach the audience.
It can reach different and diverse clients all over the world in less time.
You can expect inbuilt engagement of customers, viewers, or audience. For instance, if anyone is researching educational videos, the YouTube ads in between can take them to your store landing page through video ads.
Cons
It is a bit expensive as compared to other platforms.
Often users skip the videos because of the format of the ads displayed.
Twitter Ads
Twitter ads – Best Platform to run ads for eCommerce store
Twitter started in 2006 as a popular social media platform. This is probably not the first platform that comes to people’s minds when they think of running ads. It is mainly created for opinions and news from people all over the world. So, this makes it a meaningful platform with a huge user base that should be taken into consideration for running ads.
Pros
The high engagement rate with the Twitter ads is possible as Twitter has a re-tweet option with which it becomes easy to reach more people and get more views.
Cons
Twitter ads are expensive as compared to Facebook ads.
Pinterest Ads
Pinterest ads – Best Platform to run ads for eCommerce store
Pinterest plays a significant role in marketing via visual illustrating ads similar to Instagram. It also helps in boosting the audience’s reach like any other social media platform. In core search results, there is promoted ad facility provided by Pinterest which are shown as pinned posts. This is a great way to get your store the visibility it needs.
As of January 2021, it is seen the number of female audiences is 78% as compared to the male audience on Pinterest. The platform helps over 444 million users every month and 91% of weekly pinners in their shopping decisions.
Pros
The conversion rate is pretty high here.
Pinterest is less annoying or disturbing for the users who are using Pinterest as the ads are less interruptive.
Cons
The platform is not user-friendly in terms of sales in comparison to Google Ads.
Amazon ads – Best Platform to run ads for eCommerce store
Amazon mainly focuses on reaching customers who love shopping. This helps to portray the products in the key results or search results. Therefore, it becomes an easier task for the shoppers to get a view of the wide range of products available on the site which is offered by your eCommerce store.
The easy way to set up the interface and ad portrayal help to make the advertisement process smooth. Moreover, the customers can see them and select their products in a quick time.
Cons
As an entrepreneur, you have to pay an extra referral fee apart from the advertisement rate. The amount may go up to 10-15% approximately depending on the variation of the products.
Amazon has few strict rules for the sellers. For instance, at times, there are shipping rates, order cancellation charges, etc.
Taboola
Taboola – Best Platform to run ads for eCommerce store
Taboola is significantly known for its advertising base, especially for the newbie business owners looking for marketing platforms through advertisements. Exceptionally creative promotional ads have campaigned through this platform. They either use informational content or advertorials which they produce on the sites.
Taboola ads do not resemble anything like regular advertisements hence, it becomes a hassle-free task to engage customers’ interest. Again the presence of domestic tools for advertisements helps in tracking, publishing, and producing the regional promotional campaigns. It serves best for brand promotion, brilliant audience visibility, and other contexts in various marketing channels.
Pros
Awesome customer response.
User friendly.
Smooth campaign report projections.
Uncomplicated calculation of performance metric possible.
Cons
Approval of the contents from Taboola is a very time-consuming process.
Points to Consider
Pay per click policy is more on Google shopping ads.
Bing Ads till now, is not as great as compared to Google Ads as it faces challenges in reaching more audiences.
Fashion, DIY, Beauty, Jewellery, Shopping, and Food – Ads regarding all these fields on Instagram reach targeted clients in an uncomplicated way. The best way to showcase the product or service is to use HD images or Reel videos.
Similar to Instagram, Facebook Ads work hand in hand.
To make successful revenue from clients on Youtube, the creators should focus on explanatory videos or review videos. These videos should be high end and there should be accurate clarity. The exact visual presentation of the products or services and comparison between other services or products can help clients understand it in a better way. It enhances more chances of an effective sale.
Twitter can be a platform for boosting service or job-related brands. The audience present on Twitter is mainly school, college-goers, or even freshers or working employees looking for a job change or part-time jobs. Again, any teaching or education-related brands or websites can also fetch customers from there.
The female audience is mostly found on Pinterest. Thus, this platform has a beautiful opportunity for brands dealing with crafts, DIY, and gardening products.
Brands that have a high-profit outcome and already have a stable customer base should opt for Amazon ads.
Ad Platforms & Conversion Rates
There are several contents available on the internet every day. Now when you are planning to set up your brand you have to understand that the conversion rate should be high to get a successful sale of your products and services.
What is the Conversion Rate?
The digital retail market is growing every day and is becoming highly competitive. Setting up an online store is not an easy task if you are not getting any sales.
Imagine you have already a promising website with an amazing product display. The reach of the product is also high. Hence, there is a decent amount of traffic.
You have to make shoppers buy the products from the website and not only view them. Here comes the concept of conversion in the eCommerce business. In simple terms, conversion rate refers to the number of conversions divided by the total number of visitors to a website.
It can be dependent on a few things like the cost of the product, the niche of our industry, and of course your audience. Therefore, all conversion rates in every eCommerce industry are not the same.
Advertising Channels and Their Conversion Rates
Average conversion rate by advertising channels
According to Heap, Google ads stand number one in turning the high conversion rates of 8.2%. Next up are Bing ads with a conversion rate of 7.6% on an average. Facebook has a conversion rate of around 4.7%, Instagram 3.1%, and Pinterest 2.9%. Other ad platforms which turn to fewer conversion rates but are effective are Twitter (0.9%), Snapchat (0.6%), and YouTube (0.5%) respectively.
Conclusion
The primary aim of social and digital ads is to manage traffic and bring about more revenue. With the evolution of digital media and content marketing, an entrepreneur needs to select a faithful platform to showcase their products and bring more sales. Therefore, before choosing any of the ad platforms, you should check the limitation and advantages of your own business and brand. It should match the appropriateness of the platform to reach more audiences and engage them successfully.
FAQs
Which platforms are the best for online advertising?
The following are the best platforms for online advertising:
Google Ads
Facebook Ads
Instagram Ads
Bing Ads
Twitter Ads
Amazon Ads
Can I advertise online for free?
You can advertise online for free by registering with Google My Business. It is a free tool that enables you to create a listing for your business so that it can be easily located on Google searches.
Which is the number 1 eCommerce site?
Amazon is the number 1 eCommerce site, not only in America but also in most other countries.
Which social media platform is the best for my business?
The following are the best social media platforms for your business:
Sarika Anand
