Given the internet’s ubiquitous presence in our lives, it seems almost silly that the term digital advertising still exists. Some would argue that everything online is advertising, in some form. And they have a point. But the term does exist, and still carries meaning. Imagine that you’ve launched a new product, an organic fertiliser that weighs no more than feathers. Outside of selling it at your local farmers’ markets, there’s little chance folks beyond your county line will catch word of it.
Enter digital advertising. In a world where every thought, move, and decision is filtered online, it makes sense to advertise in this space. If you’re considering enrolling in an MBA in marketing, you’ll quickly discover that digital advertising is a vital cog in your marketing machine. To help give you a better sense of how that cog works and where it fits, let’s break down digital advertising together.
Digital advertising: a definition
It’s all in the name; nothing complex here. Digital advertising is online advertising. Think paid promotional content made available through online channels, Google, Instagram, Amazon, and TikTok. It’s flexible and measurable, two vital aspects to its efficacy.
It’s also targeted. Compared with traditional advertising (again, a somewhat archaic term), digital advertising can pinpoint whoever you command it to. Want to reach a busy parent in Vermont Googling organic snacks on their way to the supermarket? Or a 25-year-old economics grad watching YouTube on the New York subway? No matter the demographic, interest, or behavior, digital advertising can help.
5 Main types of digital advertising
Before you sign off on an advertising budget and start launching yourself toward campaigns and strategies, it pays to understand (even on a basic level) what the main types of digital advertising are. That way, you’ll be better placed to invest your time and money wisely. Let’s look at the types you’ll engage with (at least, initially):
Search engine advertising
We’ve used the word ubiquitous once; we’ll use it again. Search engine advertising (Pay-Per-Click, or PPC) is everywhere. Every Google query you make (and let’s be honest, we all make a lot) comes with this advertising. It’s the sponsored ads that sit above the number one Google ranking for your query.
PPC advertising works by targeting keywords. You pay to have your ad appear at the top of the page when someone uses your keywords. It’s intent-driven. What does this mean? If someone Googles organic fertiliser, your ad is going to appear directly beneath their query. While it’s not an organic SEO result, it does put your business on the radar. Sometimes, that’s all you need to be.
Social Media Advertising
Unless you’re one of the genuinely few who don’t engage with social media, you’ve engaged plenty with social media advertising. Like PPC, it’s become a part of the furniture on every social media platform. Think Instagram stories, think LinkedIn sponsored posts. Think TikTok collaborations.
Each platform does its own thing best, so make sure you utilize the right platform. LinkedIn focuses more on the corporate life, while Instagram leans into the visual. TikTok is trend-driven, so be prepared to move fast, unless you want to be lost in the noise.
Display advertising
These are the billboards of the internet. Again, they’re everywhere, splashed across the tops of webpages and down either side of your favourite online chef’s recipe posts. Great for brand awareness, these display ads act to remind customers of their recent queries. If you’ve been simultaneously looking for a new wok while researching the best chicken and cashew stir fry recipe, chances are you will see ads for woks while you read the recipe instructions.
Video Advertising
Enjoy falling down a YouTube rabbit hole once in a while? Even if that’s not your thing, if you spend time on this platform, you’ve had to watch a few ads. They appear with the regularity of TV ads in between the Monday night game.
Done well, they’re highly engaging, mobile-friendly, and perfect for storytelling. And they can be just as targeted as every other type of advertising in this list.
Influencer and native advertising
While these are two different types, we’re putting them together because they function through a similar approach. You know what an influencer is, and no doubt you have an opinion on their existence. No matter which side of the influencer fence you stand on, there’s little to deny that using a trusted voice to promote your product can prove a powerful tactic.
Native advertising is similar in that it tries to blend into whatever online activity you’re currently engaged in. Say you’re reading an article from the New Yorker. A native ad might aim to match the magazine’s editorial style to fit in. While most native ads don’t pull off a complete camouflage act, they often work because they’re less jarring to users than ads that blare messages.
The how: Implementing digital advertising into your business
Now you know the types. Hold the reins a moment, please. Aimless trial and error will only cost you money, and likely miss the mark with your target audience. Consider these steps first, and you’ll find the right path forward.
- What’s your objective? Who’s your audience?
Simple questions, but ones that will define your success. What’s your goal here? Awareness? Leads? Sales? It might be all three, but it needs to be specific. Next, define your audience: interests, demographics, online behavior, everything. What does economics like to do when it’s not forecasting recessions? These are the questions you need to ask, so start digging.
- The right channels, the right budget
These go hand in hand. As we mentioned earlier, every platform has its own superpower. Work out which power you need to harness. Then shape your budget to enable this to happen.
Embrace tools like Google Ads and Meta Ads Manager, as these give you audience insights and cost estimates.
- Launch. Measure. Optimize
Our biggest tip? Digital advertising isn’t a set-and-forget activity. When you launch your campaign, you have to monitor it. Use analytics tools to measure performance. Conversion rate, click-through rate (CTR), impressions, anything you think might help you better understand what’s going on. A/B test what you’re offering the public, from visuals to messaging, as this will give you an honest (often blunt) appraisal.
And repeat. The sooner you see digital advertising as a circular and not a linear process, the better.
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In the internet’s early days, it often went by the endearing moniker information superhighway. Though it’s rare to see the term used for anything other than nostalgic reflection, its allusion still applies, only with added scope. The internet is now the highway through which all life filters; whether you knew life before or know nothing else, its ubiquitous presence can’t be denied. This makes digital advertising more than a marketing function—it’s a vital business function.
