When starting a new business raising awareness of your brand can be a slow and expensive process. Doing this right can be the difference between a successful business or one of the thousands that fail within the first three years. According to a report in 2023 by Experian regarding UK startups, 50% of new businesses were found to fail within 3 years of start up. There are multiple reasons for failure but lack of cash flow and market demand are two of the most common reasons.
If you’ve done your market research well the next step is to get your product or service in front of your target market in the most efficient and cost effective way.
So what are the advertising options in 2024 to keep your new business afloat.
Traditional vs. digital advertising
Traditional Advertising
When we refer to traditional advertising it generally means methods that have been used for decades to reach a broad audience. Examples include:
- Print ads (newspapers, magazines)
- Radio commercials
- Television ads
Pros:
- Wide reach, especially through TV and radio
- Tangible and sometimes more memorable formats
- Targeting specific demographics based on publication or channel
Cons:
- Often expensive with high production and placement costs. You should only consider this option if the balance of benefits outweighs the costs. In other words, your market research indicates a likely good return on investment (ROI).
- Viewer behaviour, including recording options, may mean adverts between shows are missed through inattention, fast forwarding, etc.
- Limited targeting options compared to digital
- Measuring ROI can be challenging
Digital Advertising
Digital advertising leverages the internet to reach potential customers. Examples include social media ads, (Facebook, Instagram), Google Ads and Email marketing
Pros:
- Highly targeted based on demographics, interests, and behaviors
- Flexible budgeting options
- Measurable results and real-time analytics
Cons:
- Can be complex and require a learning curve
- Ad fatigue among users
- Potential for ad blockers to limit visibility
- Top Digital Advertising Platforms
Google Ads
Google Ads is a robust platform that allows businesses to display ads on Google search results and across the Google Display Network.
Pros
- High reach due to Google’s vast popularity
- Targeting options based on keywords, location, demographics, and more
- Pay-per-click (PPC) model ensures you only pay when a user clicks on your ad
- Detailed analytics and reporting tools
Cons
- The cost of some keywords can be expensive so keyword research is important to avoid blowing the budget.
- There is a potential for click fraud, which will result in wasting your budget with no reward.
Facebook & Instagram Ads
Facebook and Instagram, both owned by Meta, offer a combined advertising platform that allows businesses to run campaigns across both social media networks.
Pros
- Highly detailed targeting options based on age, interests, behavior, and more
- Engaging ad formats including images, videos, carousels, and stories
- Cost-effective with a range of budgeting options
- Access to a massive global user base
Cons
- Ad Fatigue. On Facebook and Instagram, due to their algorithm driven nature, ads can appear frequently to the same audience.
- Algorithm changes. Meta frequently updates its algorithms, which can significantly impact ad performance.
LinkedIn Ads
LinkedIn Ads are particularly effective for B2B advertising, allowing businesses to target professionals in various industries.
Pros
- Professional audience targeting based on job title, company size, industry, and more
- Effective for industries like recruitment, finance, education, and more
- Various ad formats including sponsored content, InMail, and display ads
Cons
- LinkedIn Ads are known for their high cost per lead (CPL).
- Managing LinkedIn campaigns can be complex, particularly for B2B marketers who need to tailor their strategies to different professional segments.
Bing Ads
Often overlooked, Bing Ads can be a valuable platform with less competition and a different audience segment compared to Google.
Pros
- Lower cost-per-click (CPC) compared to Google Ads
- Access to a different segment of internet users
- Integration with Microsoft products and services
- Similar targeting options to Google Ads
Cons
- Bing has a significantly lower search volume compared to Google. This lower traffic volume can impact the reach and visibility of ads.
- Bing ads have less sophistocated advertising campaign management tools compared to Google Ads.
Yelp Ads
Yelp Ads are ideal for local businesses aiming to attract nearby customers who are actively searching for specific services or products.
Pros
- High intent users looking for specific services or products locally
- Enhanced business profiles with photos, reviews, and contact information
- Options to advertise in search results and on competitors’ pages
Cons
- The cost of running ads on Yelp can add up quickly, making it a less viable option for those who need to manage their advertising spend carefully.
- Businesses have fewer opportunities to tailor their ads to specific audiences or experiment with different formats and designs.
Are business directories worth it?
Importance of business directories
Business directories are online platforms that list businesses by category, location, and other criteria. They increase online visibility and credibility, making it easier for potential customers to find your business.
Top business directories for SEO
Google My Business
Google My Business is essential for local SEO, helping businesses appear in local search results and on Google Maps. It allows you to manage your online presence across Google, including Search and Maps.
Yelp
Yelp is popular among consumers who seek reviews before making purchase decisions. A strong Yelp presence can significantly enhance your business’s reputation and attract more local customers.
Bing Places for Business
Similar to Google My Business, Bing Places for Business allows you to manage your business listing on Bing. It is beneficial for targeting Bing’s audience and enhancing local SEO.
Yellow Pages Online
Yellow Pages, a traditional name in business listings, has an updated digital presence. It is still useful for certain demographics who prefer established directories.
Local Chamber of Commerce Listings
Listing your business with your local Chamber of Commerce adds legitimacy and can contribute positively to your local SEO efforts.
And finally…
How you spend your marketing and advertising budget as a brand new small business start up is a crucial factor in your success. Before you start make sure there is a real demand for your business. Don’t rely on generic data. Effective market research for a small start up needs to be built on data obtained by the business, specific to its geography, and market. Once you are sure of your market you should assess your specific and detailed goals before deciding where to invest your budget. Once invested rigorously monitor performance and cut the budget if the advertising is not bringing the results you need.