Brand Building Through Online Banner Ads
Display banners are one of the best ways of communicating and catching consumers' attention, especially on ecommerce platforms like Amazon, Big Basket, and Flipkart. A banner ad is an image accompanied by text and could either be animated or static.
Customers who find the banner ad's content and display interesting often click it to visit the landing page, i.e., usually a product or company page on an eCom website. It reduces search efforts and helps the consumer to reach the desired product directly while communicating the best offers for the product.
Brands have realized that banner ads remain memorable for a long time and have a higher recall value. According to Statista, the overall digital display ad spending in 2021 reached $1,633 billion, and ecommerce accounted for 14% of the ad budget. Moreover, as per another report, the share of display banners was 10% of the ecommerce digital ad expenditure in 2020.
Banner ads help in creating brand visibility which eventually lifts the business performance. According to a source, customers retargeted through banner ads often convert 70% of the time, and they are 33% more effective than billboards.
Banner ads also help a new brand to build its identity. Besides, customers build trust in a brand and learn about innovations through banner ads. However, the advantages of banner ads extend beyond these reasons for marketers and advertisers.
3 Main Reasons Brands Use Banner Ads on eCom Platforms
● Large Visibility of the Brand
Advertisers can use 728x90 pixels for desktop & tablet users and 414 x 125 pixels for mobile users on Amazon. Given the maximum size of the image, it is inevitable that the brand's visibility will also match the dimensions to meet the consumer's eye. As a result, ecommerce spaces offer an opportunity to display large brand logos and increase the brand's visibility.
Moreover, consumers are often targeted through such banner ads on eCommerce marketplaces, which increases the retention of the brand in the minds of the consumers, association of a brand with a product/feature, and directly impacts the conversion rate. Great banner ads can uplift conversions by 2%, according to a source. Given that the quarterly conversion rate in 2020 was 2.17%, such a boost would undoubtedly make a difference in revenue/sales.
According to a source, the minimum average cost per click on Amazon is $0.03 but can vary based upon the industry, competition, and your brand's ad budget. Similarly, another source reveals that the minimum cost per 1000 impressions (CPM) can be 50 cents.
Therefore, a display ad on an ecommerce website can be visible to the targeted audience for thousand times for as low as 50 cents. Moreover, the CPC and CPM for banner ads on ecommerce are relatively lower than TV ads, billboards, press releases, and physical newspaper ads. So, it doesn't put a hole in the brands advertising pocket.
● Improved Market Response Rates
According to a source, targeted displays enhance conversion rate by 30%. Moreover, display ads increase brand recommendation by 10%. eCommerce websites often have product launches, including registrations, early-bird offers, one-day early access, etc., as events.
A source states that display ads like banners can enhance event registration by 25%, which could essentially include such events on ecommerce websites. However, banner analysis requires a solution that helps create & evaluate different banner strategies, and learn about the competitor practices, wherein eCom Competitive Analytics comes into play.
How mScanIt Banner Analysis Helps Brands?
eCommerce Competitive Analytics, a.k.a., mScanIt, encompasses banner analysis, enabling brands to evaluate the best positioning for the ads to boost reach to the target audience. Doing so helps brands to decide on their advertising budget.
Moreover, mScanIt, powered by mFilterIt, can categorize the communication mentioned on the banners into different themes like discount, sale, festive offer, and cashback, which can trigger the brands to use the best keywords in their campaigns.
Developing an effective banner ad is crucial for ecommerce brands; however, so is measuring the results of the display ads. Simultaneously, eCom brands must know the practices of their competitors to acquire an edge, build new strategies, optimize budget, etc.
eCom Competitive Analytics helps brands across continents to achieve complete banner analysis on prominent online marketplaces like Amazon, Big Basket, Flipkart, etc. By doing so, brands achieve a full-scale measure of the effectiveness of their banner ads.
The insights triggered through the solution also display measures/actions that can enhance the performance of the banner ads on ecommerce stores.