1994, when the first online banner appeared on the internet, the world got introduced to a whole new way of advertising. A way of advertising which was relatively easier did not entail hours of customer persuasion, and also made for a cost-effective way of reaching an expansive base of customers in a short span of time. However, exorbitant prices and in-effective ad hosting (broken links, lack of tracking and analytics) made both, consumers and advertisers apprehensive of this new marketing marvel and relied more on traditional forms.
Long gone are the days, when online advertising was plagued by such issues. Two decades later, it is the most effective method of marketing. In fact, businesses these days, whether small or big, have made sure they register their presence online, if not on billboards or newspapers. Online advertising has evolved significantly, and it now accounts for a big chunk of an organization’s marketing ad spend budget.
What Led to this Transformation?
Advertising tools have proliferated over time, with research getting more comprehensive on user’s online, buying, and retention behavior. Not only have the advertisers, even the user online matured over time, responding better to advertisements.
Having said this, it is about time we have a look at why, and how has online marketing become an indispensable pillar for a business’ holistic development.
Eliminates the Geo Gap
This is the biggest benefit that a business can accrue from advertising online. You can tap, and explore a consumer base which you did not even consider pitching your business to. The Internet is a community that has no geographical boundations. By advertising online, for instance on Facebook, you target people based on their interests.
For instance, if you own a gift shop based in London, and a user from Belfast sees your ad, he/she can explore your offerings and order right away! With payments done upfront.
In a nutshell. You make your business visible to thousands of people online, who were looking for services/products that you offer, however, did not even know that you existed!
Better Segmentation of Users
Advertising online entrusts a number of benefits, however clear segmentation of users is one of the most useful one. Online advertisement enables advertisers to determine:
- Age, Gender and Location of users.
- Channel through which they visit.
- Actions they do on your website and
- The time they spend on your website.
With so many insights about your users, you can easily segregate them according to their behavior, buying habits and products/services they usually go for. This way, you can cater to multiple target audiences all at once without having to deploy additional resources.
In addition, you can ask for feedback from your users regarding their experience on your website, and use it to make your website more appealing, and user-centric. All of this to attract more business.
This was just a small attempt to introduce you to the world of online advertising, and we believe we were able to disseminate the basics. Online advertising entails a lot more than this and is much more complex than what met your eye.
