The majority of businesses (66%) use online advertising channels, such as social media, display, and paid search, but more than half are hesitant to invest in retargeting advertising.
The new survey from The Manifest, a business news and how-to website found that among businesses that use online advertising, fewer than half (43%) invest in retargeting advertising, or advertisements aimed at consumers who have previously visited a business’s website or purchased a business’s products.
Businesses hesitate to invest in retargeting advertising because they believe consumers see these advertisements as intrusive.
“Maybe businesses don’t want to appear too aggressive online to their consumers,” said Jeremy Greenberg, founder of web design and digital marketing agency 97 Switch. “Businesses may worry that retargeting advertisements could bother customers.”
Retargeting, however, can help businesses target customers who are already familiar with and interested in their brand and are therefore more likely to convert.
Two-Thirds of Businesses Use Online Advertising
Sixty-six percent (66%) of businesses invest in online advertising, the survey found.
With more consumers using the internet to help with their purchasing decisions, online advertising is an essential tool for businesses to reach customers.
“Online advertising is important because it’s where people spend their time,” Greenberg said. “If you want to have mindshare over people, you need to be where they are.”
Businesses need to be where consumers are – and that’s online.
Businesses Invest in a Variety of Online Advertising Channels
Although most businesses avoid retargeting advertising, they typically use a combination of other channels.
Businesses invest in social media (86%), display (80%), and paid search advertising (66%).
Using all three channels enables businesses to reach the widest consumer base possible.
“Social media and paid search allow you to reach users on the main platforms they use: Facebook, Instagram, Google, Bing, and Yahoo,” said Flynn Zaiger, CEO of Online Optimism, a digital marketing agency in New Orleans. “Display advertising lets you extend that reach and awareness across most other major web platforms. With all three, you can reach nearly all your likely customer population.”
Online Advertising Helps Businesses Increase Sales and Revenue
Businesses use online advertising to boost sales; nearly a quarter of businesses (24%) say increasing sales and revenue is their top goal for online advertising.
Any goal a business sets is with the intention that it will eventually lead to a sale.
“Sales and revenue are at the heart of the business,” said Aylin Cook, head of content marketing at digital marketing agency Single Grain. “Without it, the lights wouldn’t remain on, and no one would get paid. Revenue is key to keeping a business alive.”
Overall, the survey indicates that most businesses view online advertising as an important part of in their overall digital marketing strategy.
The manifest’s 2018 Online Advertising Survey included 501 digital marketers from U.S. companies with more than 100 employees.
Read the full report here: https://themanifest.com/digital-marketing/how-businesses-use-online-advertising.