Shop closed. Staff furloughed. Festival canceled. The coronavirus pandemic has disrupted many industries, including the advertising industry. It’s no surprise total advertising spend is down as businesses and community organizations cut budgets due to the effects of the pandemic.
An eMarketer report predicts overall media spending will plummet 6.8% this year, with traditional advertising spend down a whopping 17%. Yet, digital ad spend is showing growth at 1.7% as more people shift to doing business online.
More Businesses and Shoppers Shift to Online Spending
It can be tempting to pull back on advertising to cut costs during an economic downtown. However, this may be the exact wrong time to reduce advertising spend, especially digital advertising.
More people are staying at home and shopping online. More businesses are conducting business online due to travel restrictions. The world is shifting to a virtual environment that likely won’t change anytime soon. Now is the time to dive into your digital advertising campaigns to make them work harder and generate more business!
1) Do Audit Your Ad Spend for Opportunity
The No. 1 action you should do right now is audit what’s working and what’s not working with your current advertising campaigns. Objectively look at where you are spending money and the return you are getting. Find those leaky faucets and cut wasted spend. Invest only in what is working.
- Are you spending money on locations that are not in your market?
- Are specific devices costing you money without generating any conversions?
- Are your ads showing up for user queries that have nothing to do with your business? It’s imperative to maintain a list of negative keywords to ensure you are not wasting funds on ads showing up for the wrong audience.
2) Do Not Completely Turn Ads Off
If you must cut a campaign budget, don’t completely turn the ad off. Stopping the ad will lose valuable demographic and buyer data. It’s better to leave the ad running at a bare minimum budget (this could be as little as $1 a day) to continue to collect buyer data. When you ramp the budget back up, the ad will use that data to begin targeting the right audience immediately.
3) Do Research What Your Competitors Are Doing
Many companies tend to panic when times are tough, which opens a door of opportunity for you! It’s your chance to get a better market share and a better price on your digital ad spend.
With fewer competitors bidding on popular keywords, you can get keywords at great prices.
4) Do Adjust Ad Campaigns Around New Buyer Behaviors
As circumstances change, buying habits change. Now is the time to conduct keyword research to ensure you target the right keywords to reach your target audience
5) Do Hire an Ad Agency
While digital advertising is highly effective, managing it is complex. Your ads and campaigns should be monitored and optimized weekly to ensure maximum ROI and no wasted funds. In fact, most companies spend less when they hire a digital ad management agency vs. attempting to do it themselves because an agency can get them greater bang for their buck.
At Marketing Essentials, we conduct PPC audits and manage B2B and B2C ad campaigns for companies of all sizes. You get a dedicated account manager and a detailed monthly ROI report, providing full transparency of your accounts, pricing and ROI. Learn more about our digital advertising services here.