To optimize budgets and drive ROI, a business must effectively allocate funds when starting an advertisement campaign. To do so, diversifying across campaigns and weighing the financial risks against their returns is critical before launching any campaign. Follow the three tips for allocating funds for a digital advertising campaign.
1) Allocating funds to plan campaign: Firstly, one of the most important aspects of an advertisement is planning the campaign itself. Thus, it might be the case that planning a campaign involves spending a healthy amount of money. Because the foundation of the campaign revolves around the planning and advertisement itself, time and money spent in this early stage is crucial. For example, it might be worth it for your business to contract out to develop the design of the ad campaign. In addition to designing the advertisement itself, you should also take time to figure out how long and when a campaign should run out of three options. The first option is a continuity campaign, which spreads advertisement at a steady level over the entire planning period (month, year, etc.) and is used when demand for a product is relatively even. The second is a flighting advertisement, which is used when there are peaks and valleys in product demand. Flighting continues to advertise over the entire planning period but at different levels. Lastly, there is a massed campaign, which advertises only during specific periods. For example, if your business sells Christmas trees, you would advertise during closer to the Christmas holiday when seasonal demand is greater.
2) Decide what type of media to advertise on: The second tip for allocating funds for a campaign is to choose the type(s) of media channels to display your campaign including but not limited to mobile, social media, display, SEO, online video ads, and print. One idea to keep in mind is who your target audience is and what channels that audience uses in their day-to-day lives. It is not sufficient for your campaign if you’re reaching a large amount of people, but only a small fraction of those people are genuine customers of your product. Thus, in terms of deciding the type of media you should advertise on, you should follow your ideal customer and go to sources that are mostly used by your target market. In terms of allocating funds, you should allocate enough to buy ads in the particular source frequently. By being constantly bombarded with advertisements and images, consumers think of your brand when they need to purchase the product you sell. Consequently, it is then in your best interest to advertise consistently and frequently in order to drive your message home.
3) Evaluate: Just because your campaign is up and running does not mean that your work is done. Use your campaign as a learning experience for you to improve future campaigns. After your campaign has been running, pay close attention to the success of the campaign and what sources did well or didn’t do well. Also, if you’re not reaching your target audience, you can readjust the sources and channels that you’re campaigning on. If you’re using digital advertising, the Choozle audience builder tool is a great way to ensure you reach your target audience and gain high conversion rates.
The bottom line of allocating funds to a campaign is not to be afraid to take risks if there is a significant return. By investing in advertising, you can substantially increase conversions. Therefore, when allocating funds to your advertising campaign, spent time and money in the beginning stages of planning, research your target audience and what channels or sources they use, and evaluate and learn from your campaign. Choozle is a great resource to use in all three of these stages!