FAQ – Display Advertising and Small Businesses

Display AdvertisingWhat are Display Ads?
There are different types of display ads. Display ads can be in image format, in text format, in rich media or video ads that are shown on Google’s display network.

When to Use Display Ads?
Brand! Brand! Brand! Display ads are best for branding recognition purposes. They do not convert as well as search ads, but the point is to get visibility for you and your business in front of the right target audience.

Do Display Ads Convert Well?
Generally, the CTR (click thru rate) will be much lower than search ads. For search ads, a CTR above 2% is considered good but for display ads, .001% is considered successful. Most people won’t click on display ads as they see them as pop ads or banner displays. The point is that the visual creates the branding effect. Sometimes display ads assist conversions, as the consumer sees the ad and then later goes to the website.

Should I Use Them for My Small Business?
It depends on who and what you are targeting. Some small businesses find display advertising useful and others find that their advertising dollars could be better spent. Many colleges, hospitals, and organizations etc. with recognizable brands use display ads instead of search ads for branding purposes.

Are Display Ads Expensive?
Display Ads are much cheaper than search ads. But since they don’t convert as well, it’s harder to measure results. They are sold by CPM (cost per thousand impressions), CPC (cost per click), or CPA (cost per action) depending on if you want to pay based on how many times it is viewed, clicked, or converted on.

Should I Use Retargeting Ads?
Retargeting Ads are great for repeat customers or potential customers who have visited your site. Based on their previous search history, you can sometimes convert a “window shopper” into a customer.

Things to Remember:

  • Make sure you have a good ad design that grabs the consumer’s eye.
  • If you feel that you aren’t seeing conversions and results from display advertising, think of it as a billboard.
  • It is a visual reminder to reinforce your brand and is best used as a branding strategy rather than a click or conversion strategy.