If you have a limited marketing budget but want to advertise online, you want to make sure you use that budget as efficiently as possible. You may be tempted to try and split your budget between networks or you may be trying to determine whether you should concentrate on one. But which one?
Different social media networks, such as Facebook, LinkedIn, or Twitter, have different advantages and disadvantages for advertising. Similarly, Google Ads has its pros and cons.
So how do you decide where to put your budget? Well, read on.
Should You Split Your Advertising Budget?
If your advertising budget is relatively low we wouldn’t suggest splitting your budget. What constitutes “low” depends on the network you’re advertising on and what the projected cost per click is for your product, and what sort of goal you have set for your campaign. Because of that, there’s no hard and fast rule about what a “low” budget is.
However, you can do some quick maths based on average conversion rates (for example average Facebook conversion rates) to determine how many clicks you’ll need to make a sale (or other conversion). From there you can determine if you’re putting enough budget in.
That being said, all advertising networks rely on data to determine how to display your ad most efficiently. Campaigns gain momentum over time as the given network learns about who’s clicking and who’s buying. All the more reason to have tracking codes on your site.
If your budget is too low, networks such as Facebook or Google Ads can’t collect the necessary data to make your advertising more efficient. Then you’re just spending money on less than effective ads.
So, all and all, if your budget is limited, don’t split it. Concentrate on one network and leverage the ability to collect data.
Choosing The Right Network To Advertise With
Choosing the right network to advertise with isn’t a trivial decision. Before jumping in, consider the following.
Advertising on social media is often a lot closer to traditional advertising. On social media, you’re putting an ad in front of people who may or may not be looking to buy your product. Sure you can target users so your ad displays to people who are likely interested, but they may not be in buying mode.
Conversely, advertising on Google Ads has your ad pop up when a user is actually searching for your product or service. Here they’re likely in buying mode. However, if you have a unique product or service, people may not be searching for it.
So before you consider whether to pursue social media or Google Ads, consider how you expect people to find your product your product or service. Is this something people are more likely to be searching for or something that needs to be presented to them? Of course it can be both, but if we’re talking limited budget, you need to decide on one.
Let’s take an example of a store in Frankston that sells computers. While you can target people on social media who have shown interest in purchasing a computer, it may be better to put budget towards Google Ads. Computers are a product that people actively search for with high purchase intent, so with a limited budget, Google Ads is probably the way to go.
On the other side is a new boutique distillery by the water in Rosebud. While people may be searching for things like “things to do on the Mornington Peninsula,” there are fewer of them that are searching for distilleries. Because of this, advertising on Facebook and Instagram to people interested in craft spirits encouraging them to come visit could be a good option.
What Social Media Network To Choose
If you have decided that social media is the way to go, then you have to choose the network. No two networks are the same.
Here you need to consider who your audience is and where you’ll find them. Facebook (and Instagram), for instance, is a generally good catch all. LinkedIn can be more expensive but is great for business to business advertising and should probably avoided if you’re advertising a consumer product.
Of course if your audience skews younger you may want to consider a network like TikTok or similar.
It’s just about where your audience is and how the network fits with your brand.
All this comes down to your overall marketing strategy. Of course if budget isn’t a concern you can throw a whole lot of money at different things. However, most don’t have this luxury.
That’s why strategy is important. With a limited budget you need to be careful about where you put your money, and strategy is there to determine that.
So before you get going with your digital marketing, strategise, think, then execute.