What is Advertising on Social Networks and how does it work - Aloron Multimedia

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Thursday, 19 November 2020

What is Advertising on Social Networks and how does it work

 


dvertising on Social Networks is something that is the order of the day.


More and more companies, businesses and entrepreneurs decide to invest in this channel.


What's more, nowadays new professionals related to this type of advertising are emerging.


To give you an idea, a few years ago the figure of the Digital Trafficker did not exist .


Nor were the Media Buyer and its importance so well known .


Now it is a reality and it is being one of the most demanded positions by companies and by creators of infoproducts.


Not surprisingly, in the social media plan of a company , more and more budget is allocated to advertising campaigns on social networks .


And this is no accident.


Brands have realized that it is a great way to reach their target audience and in a cheaper way than other payment channels such as Google Ads.


But don't worry if you don't know what this is about, because in this article I'm going to tell you what it is and what types of advertising on social networks exist.


Table of Contents
What is advertising on social networks?
Types of advertising on Social Networks
Advantages of advertising on Social Networks
Disadvantages of advertising on Social Networks
Tips for effective advertising on social networks

Has it become clear to you what advertising on social networks is and what are its advantages and disadvantages?

What is advertising on social networks?

If I had to give a definition of advertising on social networks, I would say that it consists of showing or showing paid ads to people who are using different social networks.


I think the concept is pretty clear, right?


And now you may be wondering, and how advertising works on social networks .


Well, it really is quite simple and practically all of them have a quite similar operation since they usually structure the campaigns in the following way: 

That is, you choose what the objective of the campaign is and then in the set of ads you usually decide what type of people we want to show the ads, the budget and how we want to be billed.


That is, for example, we could be billed for:


CPM: Impressions in which we would be charged X amount for every 1,000 people reached.

CPC: Every time a person clicks on an ad.

And then we would have to define the ads on social networks, that is, if they are going to be images, videos and what type of copy.

Types of advsertising on Social Network

I know that one of the most difficult things is knowing how to advertise effectively on social networks, but to help you in each of the social media I am going to create a series of articles explaining how to do it.


And if you have any questions you can also leave me a comment 🙂


I'm also going to give you a series of social media advertising statistics  (taken from this  Hootsuite post ) so you can see how important it is to invest in this channel.

 


Facebook logoFacebook advertising

I think we will agree that FB is the queen of all social networks.


In fact, Facebook Ads for business is one of the most effective ways to advertise because it is the most developed platform.


Take a look at these data:


Facebook has 2.2 billion active people per month.

Advertisers are increasing their investment in Facebook by 49% in the last year.

Investment in video is increasing. It is the second channel of video marketing.

Video posts get more engagement.

More than 140 million companies use it.

Users are opening the ads that really interest them (advertising works).

It is the social network where more people buy products.

Ad impressions are up 37%.


Articles related to Facebook Ads:


How to advertise on Facebook


How much to invest in Facebook Ads


How much does Facebook advertising cost?


What is the Facebook Pixel and what is it for?


How to remarketing on Facebook step by step


How to create an ad on Facebook

Instagram advertising

Advertising on Instagram is experiencing tremendous growth in the last year.


Part of the blame is that all teenagers and the millenian generation are on this social network.


So if your target audience belongs to one of these generations, you should seriously consider investing here.


Look at these data:


One billion people use Instagram every month.

More than 500 million people use stories on Instagram on a daily basis.

Advertising in Stories is evolving more and more.

Users spend an average of 28 minutes a day on this platform.

200 million visit at least one company profile on a daily basis.

62% are interested in a brand or product after seeing it in stories.

The advertising reach is 849.3 million users.

Marketers typically allocate 31% of their advertising budget to Instagram.

Articles related to Instagram Ads:


How to advertise on Instagram


Examples of effective Instagram and Facebook ads


 


Twitter logoTwitter advertising

Perhaps advertising on Twitter is one of the great forgotten, however you can get better results than you think.


It is true that its advertising platform still lacks more development and is not as advanced as Facebook's, but if your target audience is on Twitter you should give it a try.


Twitter advertising statistics:


Twitter has more than 145 million daily and active users.

Ads on Twitter are up 23%.

Video consumption on Twitter is increasing, being 50% cheaper.

The notoriety and relevance of the videos has increased.

Twitter users spend 24% more time with ads posted by influencers.

67% consider that ads on Twitter are not intrusive and more than 70% that they are informative.

52% of brands intend to increase their investment in Twitter.

 


LinkedIn logoLinkedIn Advertising

The professional social network is also making progress on its advertising platform.


Also, if your business is B2B, it is a social network to take into account when doing advertising campaigns.


Not surprisingly, the great power of LinkedIn is in its ability to segment and reach the professional profile we want to impact.


LinkedIn Advertising Statistics:


It is the largest professional network in the world with more than 675 million active users per month.

It can be segmented based on different types of people.

57% of LinkedIn traffic is mobile.

Participation has been increasing by 50% year after year.

It is the best social network to generate B2B leads.

The cost per lead is 28% lower than Google Ads.

An ad on LinkedIn can reach 12% of the world's population.

30 million companies are on LinkedIn.

InMail ads have an open rate of 52%.

 


YouTube logoYouTube advertising

If you have read the different statistical data that I have been listing, you will have realized the importance of video in your marketing strategy.


And it is that video is becoming more and more important when it comes to advertising on social networks.


And this is where YouTube comes into play.


YouTube advertising statistics:


YouTube has more than 2 billion monthly users.

Half of all hours of video consumed are through mobile devices.

Each person spends an average of 11 minutes a day.

79% of marketers consider YouTube the most effective platform for video.

62% of advertisers intend to increase their investment in YouTube.

95% of ads are viewed with sound.

 Advertising on TikTok

If a few years ago we talked about the potential of Snapchat, right now the Social Network that is on everyone's lips is TikTok.


Not surprisingly, it has been one of the most downloaded mobile Apps in all of 2019 and so far in 2020.


In addition, it is where the youngest public is concentrated by far, although more and more people are joining.


TikTok advertising statistics:


Engagement rates are the highest compared to other social networks. (Oberlo)

800 million active users worldwide (mostly in India and China)

66% of users are under 30 years of age (Influencer Marketing Hub).

1 million video views per day.

Users spend an average of 52 minutes a day.

The CPM is $ 10 (Social Media Examiner)

The types of formats it accepts are: Biddable Ads and formats that require a representative.

 


Snapchat advertising

Snapchat continues to have its market share, as evidenced by the 187 million daily users it has according to Statista .


The main segment of people who use this App are between 13 and 24 years old, so it is also an interesting option to reach teenagers.


Interesting facts about Snapchat advertising


76% of users buy online.

The average that people spend is 30 minutes a day.

61% of users are women and 38% men (Statista)

It has different types of ads: Snap Ads, Sponsored Lenses, Sponsored Geofilters, On-Demand Geofilters, and Snap to Unlock.

Stories Ads revenue has doubled.

 

 


Advantages of advertising on Social Networks

If you are still considering whether to allocate part of your budget to advertising on social networks, I am going to tell you a series of advantages that you can benefit from that will surely convince you.

 


➡ 1. It is cheaper than other payment channels.

Making advertisements on social networks (as a general rule) will be cheaper than other payment channels such as Google Adwords.


Look at the following image:


Social media advertising cost


The cost of advertising in social networks is going to 0.13 and 0.12 for each click on a link.


That is, it is only costing me 0.12 cents to click on the link in my ad that takes them to a subscription landing page.


How much could this cost you in Adwords?

 


➡ 2. You can reach a very wide audience

Who is not on social media?


Whether in one or the other, we are millions of people who are on social platforms.


Take a look at these data collected by We Are Social .


There are more than 2 billion active users on Facebook per month.

On Instagram more than 1 billion.

YouTube has more than 1.5 billion people active per month.

WhatsApp more than 1,300 million.

Twitter has around 320 million active users on a monthly basis.

LinkedIn already has more than 260 million active people.

If your target audience is in them, why aren't you going to allocate part of your budget to making ads on social networks?

 


➡ 3. It allows you to segment your target audience in detail.

One of the great advantages of advertising on social networks is that they allow us to make a very exhaustive market segmentation .


We will not only be able to know demographic and geographic variables.


But we will also be able to segment by interests.


I give you an example.


Imagine that you want to sell a Community Manager Course.


Thanks to the segmentation options, you will be able to show the advertising to people who are interested in:


Digital marketing.

Social networks.

Internet publicity.

Etc.

Do you realize how much you can fine tune?

 


➡ 4. We can do Remarketing campaigns

Imagine that a person has visited our website and has gone to buy a product but has stayed in the last step of check in.


We would be losing a sale, right?


Well, no.


Because we can show ads to those people who have not finished buying the product to encourage them to do so.


This is what is known as remarketing and basically consists of showing our ads to people who have visited specific pages of our website.

Check out this announcement on Facebook:


Facebook remarketing


Here we are re-showing the ad to people who have visited our congress sale page but have not finished making the purchase.


I think that if you are still wondering why use social networks for advertising, this benefit will have convinced you a lot.

 


➡ 5. Your ads and your brand can go viral

Another advantage of advertising on social networks is that sometimes your campaigns can go viral and reach thousands of people in an organic way.


How is this possible?


If we show ads that arouse curiosity, even on controversial occasions or simply by running contests, sweepstakes or free events.


There will be quite a few people who voluntarily share the ads in their personal profiles, so they will also be seeing the contacts of those people.

 


➡ 6. Budget control

Another of the great benefits is that we can have a more exhaustive control of our budget.


We can do campaigns to which we dedicate a very low budget and we can also set the maximum budget that we want to spend.


In this way we can optimize our resources and reach the maximum number of people.

 


➡ 7. Very detailed advertising reports

Finally, if I had to highlight something else, it would be without doubt the reports of advertising campaigns on social networks .


We will have access to very detailed metrics to know how our ads are performing , if they are well segmented, if the images attract attention and if the copy of the text is correct.


Notice.


Social media advertising advantages


Thanks to the metrics that Facebook advertising reports give us , we can know how much each of our ads is costing us.


And with that simple glance, I would already know the average of what I can spend and eliminate all those ads that are above the average.

 

 


Disadvantages of advertising on Social Networks

But like everything in life, nothing is pink and advertising on social networks also has a number of drawbacks.


Although I don't really see them as drawbacks, in the end advertising requires an investment of money in both training and time.


Nothing learns overnight, everything takes its learning process.


That said, let's see what are the downsides of social media advertising.

 


➡ 1) Require training

Learning how to advertise effectively on social media is not something you learn overnight.


It requires a considerable number of training hours and, above all, practice managing campaigns to find out what works and what doesn't.


But this is also an advantage , because not all people really know how to do it, so if you position your brand as a specialist in Social Ads, you will be more likely to stand out.

 


➡ 2) It is very easy to lose money

The fact of having it so handy gives rise to the feeling that advertising on social networks is very "simple".


You might think, "You see, I create a campaign, a couple of ad sets, and test a few ads."


Yes, we all practically know the theory.


But if behind you have not created a strategy oriented to the objectives that you want to achieve, you are going to waste time and money uselessly,

 


➡ 3) Require constant monitoring

Do not think that by putting an ad to work with a start date and an end date you can forget about it and think that the results will come by themselves.


If you think this you are very wrong and what I said before will happen to you. You will lose the money.


Advertising through social networks requires constant monitoring to see which elements work and which do not to change them.


And this, dear reader, requires time that you will have to dedicate daily if you really want to achieve results.

 

 


Tips for effective advertising on social networks

To finish, I'm going to give you a series of tips when it comes to making advertisements on social networks.


They are things that are really taken for granted that later when it comes to reality we do not apply it due to ignorance or simply due to laziness.


So let's go.

 


➡ 1) Know your buyer persona perfectly

The base of your business must be your ideal client.


Your products have to cover their needs and their motivations and therefore all the design and texts of your ads must be focused on them.


If you know what their motivations and pain points are, you will be able to know what kind of words to use in your ads and I am sure they will feel that you show empathy towards them.


And by understanding that your conversions and your sales will increase.


So if you have not yet defined your ideal client, it is already taking time to read this guide to create a buyer persona step by step.

 


➡ 2) Do A / B Test

One of the keys to advertising on social networks is to do A / B tests to test different elements of the campaigns and thus decide where to invest our budget.


For example, we can do A / B Test of:

Types of objectives.

Types of segmentation.

Ad placement.

Bid type.

Creatives (images, videos, etc.)

Copy of the ads.

Look at this example


Effective advertising on social media


Here I am testing different creatives with the same copy for the same campaign type and ad set to determine which one works best.


Well, these tests should be done with all the elements that I have commented to you.

 


➡ 3) Look at the CTR of your campaigns

In case you don't know, CTR is a very important metric that measures the number of clicks an ad receives in relation to the number of times it has been shown.


Why is this metric important?


Because if it is a low CTR it can indicate that our ad is not relevant in relation to:


The segmentation used.

The creatives.


That is, it will allow us to measure if we are showing the ad to the correct people or if it is striking enough to click.

 


➡ 4) Pay attention to the frequency

What frequency will tell us is  how many times we show an ad to the same person .


Why is this information so important?


Because if we show an ad too many times to the same person, it will end up "fed up" and we will be burning our audience.


So it is a metric that you have to pay close attention to because if your campaigns start to get expensive and you have a high frequency, the chances are that you have burned your segmentation.


In this case, you must change and choose other types of people to show your ads on social networks.

 


➡ 5) Install the Pixel

If you really want to advertise on social networks in a professional way, you will have to have the Pixel installed.


The pixel is a code that has to be inserted into our website and is mainly used to measure conversions.


If we do not have it installed we will go blind and we will not really know the performance of our advertising campaigns on social networks.

 

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