New data reveals that targeted advertising strategies can help small businesses break into new markets and build brand awareness, despite that people may consider targeted ads annoying, creepy, and invasive.
Strikingly personalized targeted ad campaigns have triggered privacy concerns among many, but more than half of consumers (52%) can still name at least one benefit of targeted advertising, according to a new report from Visual Objects, a directory of creative agencies.
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Consumers cite the following benefits of targeted advertising:
- Finding promotional sales and incentives (15%)
- Finding new brands (14%)
- Getting personalized product or service recommendations (13%)
- Finding local businesses (12%)
- Offering a more efficient online shopping experience (11%).
Targeted advertising adds a layer of personalization to the online shopping experience.
“It only sucks if you want it to, said Thomas Flutz, owner of home-brewing company Coffeeble. “At least I am seeing the stuff I want to see rather than something that doesn’t appeal to me at all.”
Small businesses should consider using targeted advertising strategies like search retargeting to reach online shoppers that have already demonstrated interest in their products or services.
Targeted Advertising Helps Businesses Build Brand Awareness
About 6 in 10 consumers (59%) frequently notice digital ads for brands, products, or services they have previously searched for.
According to the rule of seven, prospective buyers should hear or see a brand’s message at least seven times before purchasing a product.
Targeted display ads are a quick way for small businesses to build name recognition.
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Jacob Fiitzpatrick, owner of creative agency Fitz Designz, believes brand awareness is crucial for online success.
“Digital ads can serve as a visual nudge to increase top-of-mind awareness and recognition for potential customers,” Fitzpatrick said.
Targeted advertising strategies like search retargeting can help small businesses establish themselves in their target market.
Using data on consumer search behavior, small businesses can serve targeted ads to online shoppers who have already demonstrated interest in their offerings.
Search Retargeting Drives Tangible Results for Small Businesses
It’s true that targeted advertising carries a negative connotation — in fact, only 12% of consumers admit to having a positive outlook on targeted advertising.
The real value, however, is for online businesses. Targeted advertising strategies like search retargeting work, even if consumers consider themselves immune.
Small businesses have used search retargeting strategies to:
- Boost conversion rates
- Engage new customers
- Reach new audience groups
Datis Mohsenipour, director or marketing at post scheduling software company HeyOrca is a strong advocate of search retargeting.
“There is data that shows targeted advertising is an effective and often low-cost method of generating conversions,” Mohsenipour said.
Small businesses can use search retargeting strategies to get their name in front of new and existing customers without having to invest the level of time and money required for traditional PPC and SEO strategies.
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