Display advertising is the oldest form of online advertising, with the first banners having been displayed in 1994.
But their long run on the market and their mass adoption led to their own downfall. Banner blindness is an issue that was first described in 1998 and is still significant today.
People got so used to banners being irrelevant that they just ignore them, sometimes unconsciously.
While people started avoiding banners and turned to ad blockers, publishers had to display even more ads to compensate for their diminishing income. This vicious circle further damaged the effectiveness of display advertising, especially for banner ads.
Today, many people consider display advertising dead. But is that really so? Let’s take a look.
Table of Contents
1. What is display advertising?
Display advertising is a form of online advertising that relies on banner ads displayed in special areas of a website
Since their first appearance, display ads have come a long way. They exist in a variety of shapes and forms but are mainly grouped into 2 categories:
- Static – text, images (png or jpeg)
- Dynamic – HTML5, video, gif, or other rich media elements
When it comes to banner ads, the only limitations are usually those imposed by the advertising network. For example, at Coinzilla we generally work with HTML5 banners, and we support the following display ad sizes:
- Medium Rectangle – 300 x 250
- Wide Skyscraper – 160 x 600
- Leaderboard – 728 x 90
- Large Mobile Banner – 320 x 100
- Half Page – 300 x 600
- Banner – 468 x 60
- Sticky – 100% x 48
- Header – 100% x 90
2. Display advertising banner examples
Let’s take a look at a few examples of display ads, in the 2 formats we previously mentioned: static (JPG) and dynamic (HTML).
3. Types of display advertising
The type of display advertising campaign you wish to run usually depends on the goals you want to achieve. These goals can be:
1. Attract new customers – Acquisition;
2. Reach new users and create awareness – Brand Awareness;
3. Direct previous customers back to your website – Retargeting.
And while acquisition and brand awareness campaigns are available on most ad networks, not all of them provide retargeting services.
4. Display advertising for user acquisition
The acquisition of new customers through display ads is probably the largest issue advertisers face. Especially when they have little to no experience in the field.
Many small businesses invest a lot of time, effort, and money in display advertising, hoping to boost their customer base. Yet too many times their efforts yield no results.
And sometimes the ad isn’t even the problem. An unfinished product or a poorly-designed landing page can sabotage even the best advertising campaigns.
This is why so many people are reluctant to display advertising in the first place. The competitive market and difficult learning curve can quickly discourage new advertisers.
The average CTR in Google Ads across all industries sits at 0.46% for the GDN, with an average CPC of $0.63.
SIDENOTE. GDN = Google Display Network.
So considering these numbers, you might be wondering – are display ads worth it? Most of the times, yes. But there are some questions you need to ask yourself first:
- Is my product competitive? What differentiates it from the competition?
- Does my business afford to invest time and money in a display campaign?
- Is my team experienced in creating and managing display campaigns?
Setting up a campaign
Setting up an acquisition display campaign varies from one platform to another, but there are some elements that are general throughout all ad networks.
Probably the most important detail you have to take into consideration for user acquisition through display advertising is context.
Let’s do another thought experiment. Imagine you’re reading a post about the “Real-World Applications of Cryptocurrency”. Next to the post, you see 2 banners:
1. One about a crypto gambling website.
2. One about an online retail store that accepts payments in cryptocurrency.
Which of the two would you say is more relevant?
By paying attention to the context, your ads will actually enhance a user’s experience instead of just driving users away from the website.
“But there’s no way we can deliver so targeted ads!”
Oh yes, there is. It’s called “Contextual targeting”, and it’s available in Google Ads.
But context is not the only thing that matters when it comes to user acquisition. Your audience targeting and your copy also play a key role in your CTR. Targeting users who aren’t interested in your product, or addressing them in the wrong manner, will also hinder your advertising efforts.
The main question your ad should answer is “Why would I, as a user, want to click on this ad?”.
Measuring the performance of a display acquisition campaign
When it comes to measuring the performance of an acquisition campaign, there’s a simple way of looking at it. How much money did you invest and how much did you get out of it?
And while at a glance you may feel like the costs are way higher than the gains, there’s one more factor left to weigh in – customer lifetime value (CLV).
Let’s say you own a gambling website.
While a new user may spend $50 and then leave your website for good, another one may gamble $20 on a daily basis. Over time, this can amount to thousands of dollars, making them a far more valuable customer.
And this is where the importance of measuring your CPA (Cost Per Acquisition/Action) comes in. By comparing your CPA to your CLV, you can accurately determine if the investment is really worth it.
As long as your CPA<CLV, you’re in the clear.
5. Display advertising for brand awareness
The main purpose of a brand awareness campaign is to create a buzz around your project. So instead of targeting users who will be more likely to become customers, you will address a more general audience.
But reaching the right people is still important.
A poorly targeted brand awareness campaign will not only come with tremendous costs but will also reach people who have a low chance to become future customers.
Unlike acquisition campaigns, brand awareness campaigns usually span over a longer period of time.
The main problem brand awareness campaigns face is the fact that they don’t deliver immediate results. This drives most of the small business away, as they don’t have a budget large enough to afford such a long-term investment.
But these are exactly the types of businesses that need a brand awareness campaign the most.
Just think about it.
How likely are you to make an online purchase from a brand you have never seen or heard of?
For me, that chance is pretty small. We go back to the same brands we purchased from because we trust them. And unless they do something to let us down, it’s very unlikely that we’ll switch to another brand.
When you’re a business that’s just emerging on the market, you need awareness more than anything.
You need people to find out about who you are and what you can do for them. Some of the information you should put out there is:
- What does your business do?
- What can you do for your customers?
- If you provide services, how experienced are you in that market?
- Why should a customer ditch your competition and choose you instead?
Measuring a brand awareness campaign
Since you’re running a brand awareness campaign, engagement metrics such as clicks or CTR (or shares if you’re running it on social media platforms) are not that relevant.
The obvious metric you should track is impressions. But that’s not the only one that’s important.
Remember that you’re trying to create interest for your product. So tracking metrics such as brand mentions, organic searches, and organic traffic are crucial to determine the success of your campaign.
When it comes to tracking organic performance, there are many tools available.
But the really good ones come at a cost. You can easily use Google Search Console and Google Analytics to track your organic performance. But if you’re looking for detailed information, you may want to check out tools such as Ahrefs or Moz.
6. What are retargeting campaigns?
Also known as remarketing, a retargeting campaign helps re-engage users who already interacted with your website. Running a retargeting campaign is usually the perfect way to boost sales or conversions, since few people are likely to convert on their first visit of a website.
Retargeting also solves one of the major problems of online advertising – context.
When a user sees an ad for a business he never interacted it, the chances of him ignoring it are pretty high. But remarketing campaigns rely on custom segmentation and thus deliver ads that are relevant to your audience.
How does remarketing work?
The pixel is installed on your website. When a user lands on one of your pages, the pixel drops a cookie in the user’s browser. While he then browses other websites, the cookie will let the ad provider know which ads to serve, thus helping you reach only previous visitors.
SIDENOTE. The code does not affect in any way the performance of your website, nor is it noticeable by the user. However, if a user clears their cookies, a remarketing campaign will no longer be able to target that user.
How to build a remarketing list with Google Ads
The most straightforward way to build a retargeting list is by using Google Ads. Here are the steps you have to take in order to do it:
1. Sign into your Google Ads account;
2. Open the “Tools” menu, and click on “Audience manager” under the “Shared Library” tab;
3. Click the blue plus sign. The dropdown menu will let you choose what type of audience you want to create:
- Website visitors (users that visited your website or a specific landing page);
- App users (users who downloaded your mobile app);
- YouTube users (users who interacted with your YouTube channel or videos);
- Customer list (based on data you collected on your customers);.
- Custom combination (a combination of multiple retargeting lists).
Based on the type of list you create, you will then have to decide which people you want to include in your list and wait for it to populate.
For Google Display Network, the remarketing lists must have at least 100 active users in the last 30 days. Your ads will be displayed only after your list passes this threshold.
How to create a remarketing list in with Google Analytics
Creating a remarketing list using Google Ads isn’t the only way to do it. Google Analytics is also a great tool that allows you to do that, but it is a bit more advanced. It allows for much deeper personalization of your audience, thus being the preferred version for most advertisers.
While Google Ads allows you to target users based on the landing pages they visited, Google Analytics takes this a few steps further:
- Target users who visited your pricing page but didn’t complete a purchase;
- Target users who created an account but never logged in;
- Target users who purchased items X and Y, but not Z.
The first thing you have to do in order to build a custom audience for retargeting is to link your Analytics account to your Ads account. This can be done in the admin panel, under the “Google Ads Linking” tab.
Once your accounts are linked, here’s what you have to do:
1. Head over to the admin tab and select the “Audiences” option under the “Audience Definitions” section
2. Click on the red button labeled “New Audience”
3. Here, you’ll have two options:
- Create a new audience
- Import an existing segment
4. If you decide to create a new audience, you will be taken to the Audience Builder, where everything is pretty intuitive.
After creating your audience, a new option will appear labeled “Create a Remarketing Campaign in Google Ads”. If you’re ready to start working on your campaign, click on “Create Campaign” and you will be guided throughout the whole process.
5 tips to improve your display ads
So now we know what display advertising is, and how to decide what type of campaign we should run.
But there’s a long way from knowing how to do something and actually doing it.
#1. Set up remarketing campaigns
Retargeting is by far the most effective campaign you can run as an advertiser, regardless if your brand is huge or just getting started.
By delivering your ads to users who already expressed interest in your brand/product, your chances of maximizing conversions are considerably higher.
A study found that users who are remarketed are 70% more likely to convert on your website than users who just found out about your business.
But remarketing in the world of crypto is difficult since Google no longer allows crypto related products to serve ads through their platform. But there is a solution – a restricted financial products certification.
Google lets advertisers apply for a certification that will allow them to promote “complex speculative financial products or cryptocurrency exchanges” with certain limitations. To receive the certification, your business must be licensed by relevant authorities.
Besides the certification, the landing and product pages must be in compliance with Google’s guidelines, and the ads must meet all the local legal requirements of the country they want to get certified for.
All the information is available on this page, including a link to the application form.
#2. Split test your campaign
Creating the perfect campaign from the first try is next to impossible. That’s why testing is such an important process in the world of marketing.
The best way to reach the optimal campaign, banner design, or call to action is by experimenting with multiple variants. And that’s exactly what A/B testing (or split testing) does.
Instead of creating one design for your banners, create 2 or 3 of them. Run them all at the same time, and see which one performs better. Once you have a clear winner, stop the 2 campaigns that are underperforming and put your budget into the winning one.
However, keep in mind that you’re testing the impact of a single element.
That means that only a single element should be different across all your ads, be it the text, the CTA, the banner design, or the banner size.
#3. Use simple visuals
The world of design is constantly changing. But there is one principle that remained constant and influenced several trends throughout the years – simplicity.
The design of your banner must persuade users to engage or to pay attention to it.
Don’t add elements just for the sake of “making it pop”. Stick to your brand identity and make sure that you use white space wisely, to direct the focus of the users towards the CTA and the main message.
Last but not least, use qualitative images that don’t distort when displayed on larger or smaller screens. We live in a mobile-first world, so always consider the responsiveness of your ads.
Don’t have the resources to create your own banners?
Coinzilla’s design team can help create custom banners for your campaign, aligned to your brand identity. Just get in touch with your account member, and he’ll walk you through the whole process.
If you’re not a member of Coinzilla’s network of advertisers, there are still ways for you to design great banners.
Google’s display ad builder is a pretty awesome yet underrated tool which can help you create banners for your campaign in a matter of minutes.
#4. Target your audience properly
Properly targeting your audience is a crucial step in the creation of your campaign. By knowing which audiences convert best on your website you can maximize your ROI with little effort.
And this is where the power of Google Analytics comes in.
All the data about the behavior and demographics of your users can help you create strong customer personas. Crafting messages specifically for those audiences and targeting them in a display campaign will increase your chances of creating a successful campaign.
However, be aware that the audience targeting options can vary depending on the advertising network you are using.
While Google allows advertisers to create detailed custom audiences, we decided to make things a little simpler. That’s why we grouped our audiences into 2 main categories:
- Premium – recommended for projects that are looking for investors, traders, or customers;
- Brand Awareness – recommended for projects that are looking for new users, such as gambling websites or exchanges.
You can then further break down your audience based on location or device. This allows our advertisers to target their audiences with customized messages and designs based on their country or their used device.
SIDENOTE. We covered all about advertising with Coinzilla in a previous article, including tips & tricks to better target your audience utilizing our platform. You can check out the full post here.
#5. Use multiple formats
While it’s true that some formats are statistically better than others, all campaigns are different.
And some websites support only specific ad sizes, which may limit your potential to reach new users or customers.
The usage of multiple formats blends perfectly into a split testing campaign and can help you determine what type of display advertising campaigns work best for your business.
When it comes to display advertising, many people don’t even know where to start.
While having a clear objective in mind is important, you must invest time and money in both your product and your overall strategy. Otherwise, your project might be doomed from the start.
I hope this guide helped clear things out a bit. If there’s anything you want me to cover in an update (or in an upcoming post), let me know.