Online advertising has matured; it’s also become far more complicated. Deciding where to advertise among thousands of choices, and dozens of major ad distributors, can be quite a feat.
Furthermore, ad tracking and analytics can give you a mountain of data, but climbing that mountain is an entirely different challenge.
Types of Online Advertising
There are many types of online ads. Here are a few:
- Search engine advertising – The first three results when you type an inquiry into Google are usually paid advertisements. Very simply, advertisers bid per click, and Google displays the ads most likely to be clicked using a complex algorithm. Highest bidders and most effective ads display more often. Extremely low bidders may get little to no visibility.
- Video advertising – Online video is massive, and the biggest is YouTube. Short commercials play before most videos, and small banners appear at the bottom during some videos. These create two more advertising opportunities.
- Banner advertising – Many distributors sell advertising that is syndicated across multiple websites. Each package has unique demographics, and there are options available at $25 and $25,000,000. No matter how much you’re willing to spend, there are vendors willing to place ads.
- Sponsorships – On a smaller scale, advertisers sponsor specific content. This can include an ad on the local radio station website, product placement in YouTube videos, or paid reviews. These sponsorships often give the best results or the worst results. Choosing them can be tricky.
Types of Online Ad Fees
To keep things simple there are three basic types:
- CPM – Cost per mil (dollars per thousand views). Pay per impression advertising is measured in thousands of views. Your ad can show tens of thousands of times between clicks on the right website. This strategy works best for brand awareness more so than direct sales.
- CPC – Cost per click (a.k.a. pay per click) ads are shown thousands of times for free, but you only pay when someone clicks through to your website. These ads work well for direct sales, particularly when your website has a well-designed landing page.
- Affiliate – The highest cost but least risky ads are affiliate ads where the website earns a commission on a direct conversion. Conversions can be sales, or they can be a specific response such as signing up for your newsletter or filling out a request for a quote form on your website.
Return on investment can vary greatly, and different ads and different products dramatically affect the cost you will incur and the benefits you reap.
Mediastead Advertising Management
Managing your online advertising is time consuming and can have a steep learning curve. Most businesses can’t afford a full-time dedicated employee to implement their advertising and keep up with the rapidly changing trends.
For businesses with online ad budgets less than $250,000 per year, Mediastead can customize a program where your company only has two responsibilities, set your budget and review our monthly report.
Data Driven Results
Mediastead is a big believer in analytics. Your best results are delivered over time with constant attention and improvement. If your budget permits, we will run multiple ads with multiple cost factors, and clearly identify the best return for your investment. Every month the data makes you a smarter advertising investor and you should expect continually improving ROI.
Sampling and testing
For business with online budgets over $250,000, Mediastead will manage a portion of your ad budget or experiment with specific samples and subsets. This permits the business to collect valid data before investing large chunks of money. Sampling and testing can be done on a fee for service basis, maximizing your value as your ad budget increases.
Percentage or Fee for Service?
Our expertise pays for itself. Generally speaking, over the first 90 days of advertising Mediastead can improve your ROI enough to pay for themselves. Talk with an ad manager to learn the specifics, but generally our fee structure is extremely straight forward.
- Small budget: Less than $2,000 monthly – Flat fee, $249
- Medium budget: $2,000 – $25,000 monthly – 15% of ad budget
- Large budget: $25,000 monthly and up – Capped fee per distributor
Mediastead fees may be ZERO. Mediastead is a professional ad management firm, therefore some of the larger ad distributors provide a 15% commission. This means, our fees come out of their pocket. You can receive third-party ad management services at the same cost as buying the ads yourself.
How It Works
Begin with a 90-day budget deposit. Your Mediastead Ad Manager helps choose the best places to start, then constantly monitors the results. Every month you get a record of your ad spending, and a list of recommendations. Every 90-days you can adjust your budget up or down to maximize your ROI.
Your Mediastead Ad Manager is always available for one-on-one consultation.
You can create your own copy or artwork, or our professional copywriters, graphic artists, or video production staff can create the assets for you.
The assets can be rotated or updated monthly, and can be timed for special events such as holiday sales or special offers.
Call Mediastead today to get started.