This statement, when it was first made back in the late 1800s, resonated with the sentiments of merchants and advertisers all around. Subsequently, advertising was less sophisticated – television advertising, hoardings and methods we consider “traditional” today. It is impossible to measure the effectiveness of these methods.
So many years have passed, and a lot of development has been done in the marketing world.
Nevertheless, in the world of digital marketing, where we have the ability to deeply analyze audiences and advertising performance metrics, it has been said that 60% of digital marketing spend is being wasted.
More than half of the vanmakers had trouble with this!
To add insult to injury, more than 56% of advertisements are never seen by consumers and the popularity of ad-blocking software is increasing every year. And for those who actually see the ads, only 0.17% click.
It is enough for advertisers to cumming in their digital boots.
So how do you fix it?
How do you ensure that your budget is actually giving you results and you are being overcome without realizing? You start by taking advantage of the available analytical tools to fix what is broken in your existing system, then consider the options that can lead to better results from your advertising, whether it is Google AdWords, Facebook, Instagram Be it advertising, or within any other digital platform.
But if you are sluggish in this department, be careful. Here are seven ways to completely blow your advertising budget, let alone half of it:
1. Not knowing your ROI
When there is a return on investment (ROI) in advertising, there are five numbers that are important:
How much money are you putting
How many leads do you get
How many of those leads convert to customers
Lifetime value of each customer
How much does it cost to serve those customers
These may seem simple enough to achieve, but with large businesses with large budgets, multiple advertising channels and sales and marketing teams working separately, it can be harder to track than you think.
Knowing these figures is the only way that you will know whether you are getting the results you are paying for or you are wasting money. It may also state that the reason you are not stating it is due to advertising returns, or something else. If you are getting a lot of leads, but they are not converting customers, it may be a sign that you are not doing the wrong type of customer or your sales team simply a great job.
If the amount you are spending to acquire customers through a certain channel is not much higher than your company (customer lifetime value – value to serve them), then advertising through it That channel may not be worth it.
To make sure if it’s worth it, you’ll have to do some more digging and testing to see if a different approach can help.
2. Ignorance about bot
Bots accounted for 52.8% of web traffic in 2016, according to a bot traffic report released by network optimization firm Incapsula. So if you want to know how many real humans have come to your site, then you might want to reduce your traffic figure by half.
When it comes to AdWords or any other PPC (pay per click) platform, the bottom line and effectiveness of your budget can be greatly affected by bots and fraudulent activity. It can be non-human traffic hackers, spammers or scrapers trying to reach your site in some form or the other. But it is also possible that your competitors click on the farm to eliminate their budget and remove their ads from the search engine. Whatever it is, one thing is for sure – whether it is malicious or not, you are definitely paying for it.
You will not be able to completely remove your ads or bots from accessing your site. It is one of the great counterparts in the digital world – they can be a nuisance but everyone has them.
However, you can use fraud detection services like ClickCease to help reduce their impact on your advertising budget.
ClickCease clicks on each and every ad and uses their algorithm to determine which bots can be from. This may be due to a combination of factors such as, among other things, blacklisted IPs, poor hosts, and proxy servers. Once they detect it, they stop that traffic so that they are not able to see or click on your ads. Additionally, they file a withdrawal claim report with Google AdWords every two months and provide you with a comprehensive report so that you can see what is happening with your site.
3. Fall for the keyword bloat trap
If you have been using online advertising for some time, chances are that you have a long list of keywords that you are targeting.