Where are your marketing dollars going this year? If you are anything like the other thousands of businesses in America, you’ll probably shift away from the more traditional forms of advertising in 2014 and pool your money into digital.
According to the Wall Street Journal, companies across the United States are expected to spend $50.1 billion on digital ads in 2014. While that figure still comes second to television spending at $68.5 billion, it’s growing at a much faster rate than any other form of advertising.
Let’s say your company is used to traditional ad spending: mail flyers, billboards, newspaper ads, radio blurbs, etc. For years, all your marketing department has done is focus on these methods without furthering the company’s presence in the digital realm. While traditional ways of advertising are still effective, not investing in digital advertising could actually be having an adverse affect on your company’s bottom line.
Here’s our reasons why you should focus on digital advertising (with particular emphasis in social media advertising) in 2014:
Digital advertising reaches the same amount of people, if not more than traditional advertising
Welcome to the Internet, where the world truly is your audience. Your goal in marketing is to make sure people see your advertisements. Every time someone sees your ad, it’s counted as an impression. Traditional forms of marketing have limited impressions, depending on their target audience. For instance, hosting a billboard in a medium-sized metropolitan area (like Sioux Falls, SD) reaches weekly impressions of around 55,000. If you take out a 1 column x 4 inches ad in the Los Angeles Times, you can expect a fraction of the 1.7 million readership will run across your message while flipping through the paper.
While this sounds like you’re getting a good deal, consider how many impressions you can get with online media. On Facebook, depending on the specifications you set for your ad, you can reach way more people, up to 180 million, to be exact. Remember that print ad for the Los Angeles Times? If you target a Facebook sponsored post and sidebar advertisement to appear to only those living in LA , you have a potential reach of 6.2 million people over the span of your ad campaign. That’s 4.5 million more than the LA times.
Digital ads ultimately save you money
Who doesn’t like saving money? Every company keeps a hawk’s eye and a tight fist on their budget, so isn’t it time to update your marketing plan in order to help the folks out in accounting? Think about it this way: would you throw down almost $25,000 for a billboard that’s only displayed for four weeks in a mid-sized market? Or take out a $13,000 4-day national ad in the Wall Street Journal or $6,275 for an advertisement in the Chicago Tribune? Or what about $1,500 for a 30-second television spot during local segments? Is it worth it? Maybe, but not necessarily.
Here’s a tCloud Solutions example: Just recently, we took out a Facebook ad to boost clicks to our website for 30 days. In that month, our ad received over 200,000 impressions and only spent $125. Remember how many people saw your ad via billboard per week in a medium-sized market? 55,000, on average, meaning 220,000 per month. That puts our digital ad right up there with that billboard ad, which is pretty incredible considering we spent $24,875 less than those billboard customers.
Your audience is online
If you’re still not convinced that digital is the way to go in 2014, think of your target audience. Who are the recipients of your marketing messages? Chances are, your audience is on social media. Even if they’re not, they’re still using email and seeing your digital ads in Google search results. And, once you connect with your customers online, your reach expands to their inner circles, causing a pleasant chain reaction of new customers and a boost in profits.
The bottom line: While having a strong digital presence is absolutely necessary for your marketing strategy, we’re not saying to completely forgo traditional methods. Just use them sparingly while making up for the rest online. Understand that traditional methods do have value, but digital advertising can match that.
If you’re not sure how to get started with digital marketing, let us know. We can help come up with a social media strategy that works for your company.