Research shows that only 66% of businesses use online advertising. This is a very low percentage considering 89% of customers are located online.
Digital ads are considered to be very important for any kind of business when it comes to digital marketing. Despite this, the cost of running good digital ads can often scare people away. However, that’s where the concept of ad spend comes into play where you have the opportunity to determine how much you are willing to spend on your ad campaign.
Many businesses neglect online advertising because they don’t understand how it works and why it is so essential to create a very detailed digital marketing strategy. They may not want to make this initial investment if they don’t believe it will pay off.
Keep reading to find out how much digital ads cost and what the best digital ads are.
How Much Do Digital Ads Cost?
It is impossible to nail down an exact amount you are going to pay for different types of digital ads that can be run. Many different factors affect the price, making it different for everyone.
It is estimated that most businesses will pay as little as $.19 to run an ad online. But this price can rise to an average cpc of up to four dollars per click, depending on the details of your ads.
This is why it is so important to understand why different ads cost different amounts. If you do your research, you will know which ads to run so that you make money in the end.
If this is something that overwhelms you, there are always companies out there to handle this for you. Companies like Cindtoro can create your business ads and manage them.
Type of Digital Ads & Cost to Run Them
There are other forms of digital advertisements that you can use for your business all of which vary in cost and effectiveness. Let’s explore some of the following below:
The most common type of ad that businesses use are Google ads. These are perfectly designed for businesses with a defined target audience and are relatively easy to control. Advertising on google is a great way to begin your company’s advertising journey. You are able to use your quality score to measure how well your ad is performing compared to your competitors which is a major benefit that can help you to capitalize in your business.
Finding the best digital ads for your business should include the type of ad. You have three options, including cost-per-click, cost-per-thousand-impressions, and cost-per-acquisition.
With pay per click (PPC) ads the price you pay is determined by the cost per click (cpc), you only have to pay when someone clicks on your ad. When it comes to impressions, you pay each time your ad is viewed 1000 times by potential customers also known as a (CPM)
With cost-per-acquisition ads (CPA) you only have to pay when your ad leads to a conversion. The best digital ads for your company are going to depend on what industry you are in.
Facebook is a great place to run ads as it has a reach across over 3 billion people from various backgrounds and interests. Facebook Ad campaigns are quite easy and affordable to maintain.
You are allowed the option of setting your ads to a specific geographic location, demographic, age group, gender and so much more. Running ads on facebook you have the ability to promote your entire page, a specific post or your overall website.
After you have created an ad on facebook you set a desired budget and determine the amount you want to bid based on clicks or impressions and the ad runs until that budget has been depleted. You then have the ability to extend your budget to continue running the ad or create a new ad.
Linkedin has a reach of over 600 million users mostly in the business professional arena. Running linkedin ads is the perfect way to get your business in front of an audience of professionals with exponential reach.
Linkedin ads are a great way when trying to reach certain business growth goals with like minded users.
Linkedin ads are great for Business to Business companies that are looking to grow their business, share content and create a certain level of brand awareness in the business arena.
The price model for linkedin ads is much like that of facebook ads where you set a budget and the amount you would prefer to bid per click, impressions or send.
You are able to optimize and determine which areas you prefer more of the budget to be allocated towards based on your goals.
Twitter Ads allows you to get your tweets in front of the right audience. Twitter has a built in feature that allows you to have paid promotions where you can promote a specific tweet. Your promoted tweet will be on the timelines of persons that haven’t even followed your business as yet.
Twitter ad campaigns are slightly different from promoted tweets in that multiple tweets are used to accomplish a specific goal.
You are able to choose your objective and from there you can create your campaign and set your desired budget for that objective and how you would like the budget to be used within the set time frame.
You are able to set whatever budget you see necessary but a more expansive budget will allow you to see much better results.
Snapchat ads are short 10 second videos that appear in between your viewing of snapchat stories. Persons have the ability to swipe up on the ad to view a longer video, visit a website, read a blog or maybe even view a product.
Snapchat ads are a great untapped market that businesses that target younger audiences can truly benefit from. You can create different lenses or filters for your business showcasing a specific promotion going on or perhaps even a new service.
The cost of snapchat ads are fairly affordable and start off with a minimum budget of $5 per day. You can bid on what you would like to spend per click and impression along with a cap so that you do not go over budget.
Length of Time & Cost of Running Ads
The price models of ads based on day and time can vary significantly. When you are setting up ads, you usually have the option of customizing them when they are online, making them something that search engines would want their customers to view.
You can customize this option if you have researched your potential clients. If you own a beauty business, you may find that your potential customers are online in the early morning or evening.
Digital ad pricing can also be impacted by the length of time that they are running. You will have the option of setting a budget for each ad that it will not go over.
If you set a $5 budget, the ad will disappear once it has reached that limit. This is a good way to have better control over your ads and not pay more than you want to.
Placement and Industry
Another important aspect of digital ad pricing is ad placement. When you create an ad, you have the option of choosing where it will go on the screen.
These options usually include the right-hand column, mobile-only, or banner ads. Different placements generate different costs since some are more effective than others. Search ads are a great example for ad placement that is quite effective as they typically appear at the top or the main SERP.
The industry that you are in will also affect this price. For instance, selling insurance or bank services will cost more per click than other industries like fashion or beauty.
Some industries have a higher value per conversion which is referred to as CPC. These types of industries will cost you more since your ads are more likely to generate conversions.
How to Get the Most Out of Your Digital Ads
If you are going to be paying for digital ads, you want to make sure they are going to be beneficial for your company. To achieve this, they need to be highly customized for your needs.
You will need to do extensive research on the potential customers that you are trying to find. Are they male or female? Is your potential customer in their 20s or middle-aged?
These are all small details that can have a huge impact on your ad conversions. They should be catered perfectly to the type of customer you want and where they are online.
You also need to make sure your ads stand out and grab attention, close-up images are a good way to do this. Studies also show that catchy messages often have a higher conversion rate.
Is Running Online Ads Worth It?
If you are on the fence about the cost to advertise good digital ads, this is definitely worth it. Research shows that ads show results much faster than SEO does for your business.
Ads also turn potential customers into actual customers much faster than other marketing tactics. A customer may see your ad and make a purchase of a product or service within minutes.
Small businesses especially can benefit from running ads on both google and social media. Advertising on facebook with facebook ads are a great way to get started with social media ads and it happens to be quite cost efficient.
Your average cost per click is determined by the amount of times your article is clicked on by a user, and it offers the great benefit of the user interacting with your social media account offerings.
At Cindtoro We Create Successful Digital Advertising Campaigns
The length of time affecting ad pricing is something to consider if you want to run ads. Many factors affect this cost that should become a part of your marketing budget. We help our clients consider their best possible outcomes based on budget and length of time to get the most out of their ad campaign. Our aim is to see the most results within a suitable time frame and budget.
Do you want help running ads for your business? At Cindtoro we can help you make the most profitable and successful digital ads for your business.