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Using Display Advertising in SEM: A Complete Overview

Written by Anders Lange | Sep 23, 2024 9:00:00 PM

 

Display advertising is an important part of Search Engine Marketing (SEM), allowing businesses to attract potential customers through visually appealing adverts across a variety of websites, apps, and social media platforms. Unlike search advertisements, which show in response to keyword searches, display ads target viewers as they explore the web, providing a more dynamic way to create brand awareness, boost traffic, and increase conversions. In this post, we'll look at how to successfully use display advertising in SEM to get the best results.

What is Display Advertising in Search Engine Marketing?

Display advertising is the use of visually rich advertisements (banners, photos, and videos) that show on third-party websites via the Google Display Network (GDN) or other networks such as Facebook and LinkedIn. Unlike search advertisements, which target people who are actively searching for specific keywords, display ads reach viewers when they are browsing information related to your brand, making it a more passive but highly visible kind of advertising.

According to Google, the Display Network reaches more than 90% of worldwide internet users via millions of websites, making it an effective tool for firms seeking to enhance brand visibility.

Benefits of Display Advertising in SEM:

  • Expanded reach beyond search engines. Ads on the Google Display Network can display across a wide variety of websites, applications, and video platforms, allowing you to reach a far broader, more diverse audience than search alone.
        • Fact: The Google Display Network accesses over 2 million websites, and display advertisements reach 90% of all internet users worldwide, according to Google internal data.
  • Visual Engagement One of the primary benefits of display advertising is its visual presentation. Display ads can feature rich media like as graphics, video, and animation, which are more likely to attract a user's attention than text-only ads. This makes display advertising very successful in increasing brand awareness and recognition.
        • According to studies, people are three times more likely to interact with a display ad that incorporates visual content than with text-only advertising (IAB).
  • Retargeting Opportunities Display advertising provides significant remarketing potential. Retargeting enables you to display advertisements to consumers who have previously visited your website or interacted with your brand but did not convert. This strategy keeps your brand top of mind and motivates customers to return and take the desired action.
        • Fact: According to Criteo, retargeting display advertisements can raise conversion rates by up to 70%.
  • Cost-Effectiveness Display advertising is frequently less expensive than typical search ads due to decreased competition. CPC (Cost Per Click) and CPM (Cost Per Thousand Impressions) pricing schemes allow you to keep costs under control while increasing brand visibility.
        • Tip: Use CPC for traffic-driven campaigns and CPM for brand awareness efforts to ensure that you only pay for impressions or clicks that are most important to your goals.
  • Precision Targeting Display advertising provides a variety of targeting options that enable you to reach the appropriate audience. You can target users based on their demographics, interests, geographic location, and online behavior. Google also provides contextual targeting, which places your adverts on pages that are related to your business or industry.
        • Fact: According to Google, combining interest-based and demographic targeting in display advertisements can boost conversion rates by up to 50%.

Types of Display Ads

In SEM campaigns, you can utilize one of numerous display ad formats:

  • Banner ads are the most prevalent sort of display ad, appearing at the top, side, or bottom of online pages.
  • Responsive Display Ads: These ads adapt their size, appearance, and format to match various places on the Google Display Network.
  • Video ads are short, compelling video segments that can be seen on websites, apps, and video platforms such as YouTube.
  • Interactive Ads: These enable consumers to interact with the advertisement by clicking on various parts or playing games.
  • Lightbox advertising expand as a user clicks or hovers over them, providing a more immersive experience.

Best Practices for Display Advertising in SEM

  • Design for Engagement Display advertisements must be visually appealing in order to capture attention. Use high-quality graphics, bold language, and a direct call to action (CTA). Maintain consistency in your branding and ensure that the message is clear and straightforward.
        • Tip: HubSpot research shows that display advertising with a clear CTA (e.g., "Shop Now" or "Get 20% Off Today") can increase click-through rates (CTR) by up to 40 percent.
  • Utilize Retargeting Retargeting should be a key component of any display advertising strategy. You may increase your conversion rates by targeting users who have previously interacted with your business. Create personalized retargeting audiences based on certain user activities, such as adding things to a basket or spending time on a specific page of your website.
        • Tip: Retarget visitors with specific offers or discounts to entice them to return to your website and complete their transaction.
  • Leverage audience targeting. Google Ads provides a variety of audience targeting options, allowing you to focus on the correct users. Target based on demographics, hobbies, or behaviors, or use custom intent audiences to display advertisements to those who are actively looking for items or services like yours.
        • For example, if you own an online shoe store, you can target customers who have searched for terms such as "running shoes" or "best sneakers for flat feet."
  • Monitor ad frequency. While it is crucial to keep your brand visible, displaying your advertising too frequently might generate ad fatigue, resulting in poor engagement. Use frequency capping to limit the number of times an individual sees your ad, ensuring that users do not become tired of seeing the same ad again and over.
        • Fact: According to WordStream research, setting an appropriate frequency cap of 5 impressions per user can prevent ad fatigue and maintain greater engagement rates.
  • A/B test your ads. A/B testing is vital for optimizing display ads, just as it is for search ads. Test several versions of your advertising, including the title, CTA, colors, and images, to see which one resonates with your target demographic the most.
        • Tip: AdEspresso statistics shows that regular A/B testing of display advertising can increase CTR by up to 30%.
  • Use contextual targeting. Contextual targeting guarantees that your advertisements show on sites and pages that are relevant to your sector or product. For example, if you're selling sports equipment, you'll want your ads to appear on fitness and sports websites. This improves ad relevance and raises the likelihood of engagement.
        • Fact: According to Google, adverts put on contextually relevant sites receive 20% more engagement than ads placed on unrelated sites.

Measuring Success with Display Advertising

To ensure that your display advertising efforts are as effective as possible, you must track and measure results on a regular basis. The key metrics to monitor are:

  • The Click-Through Rate (CTR) is the percentage of individuals who click on your ad after viewing it.
  • Conversion Rate: The percentage of people who click your ad and complete the targeted action (for example, completing a purchase or signing up).
  • Cost per Acquisition (CPA): The cost of acquiring a consumer through your marketing.
  • Impressions: The number of times your advertisement is displayed to users.
  • Engagement refers to interactions with your ad, such as clicks, video views, or form completions.

By monitoring these indicators on a regular basis, you may make data-driven decisions to improve the performance of your display advertisements, reallocate money, and enhance targeting techniques.

Common Display Advertising Mistakes to Avoid

  • Lack of Targeting Display advertising that aren't properly targeted can waste money on users who are unlikely to interact with your company. Always employ audience and contextual targeting to guarantee that your advertising are reaching the intended audience.
  • Ignoring Mobile Optimization. Many display ads are watched on mobile devices, therefore failing to optimize for mobile consumers might result in lost chances. Ensure that your advertising are responsive and load swiftly on mobile platforms.
  • Overlooking Ad Frequency Showing your adverts too frequently might cause ad fatigue, prompting consumers to ignore or feel frustrated with them. Use frequency limitations to prevent overexposure.

Summary

Leveraging display advertising as part of your SEM strategy provides numerous options to increase brand visibility, attract traffic, and improve conversion rates. Businesses may efficiently reach their target audience across a wide range of websites and platforms by implementing visual engagement, precision targeting, and advanced retargeting tactics. With good planning, creative design, and performance tracking, display advertisements may become an important part of your digital marketing strategy, complementing search ads and improving overall campaign performance.