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How Much Should You Initially Invest In Each Advertising Platform?

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How Much Should You Initially Invest In Each Advertising Platform?

Be it Google, Facebook, Instagram or offline media such as television, radio or the written press, we will tell you what the variables are to start investing in advertising When a prospect comes up to an agency one of his first questions from him is: how much should he spend on advertising? And the answer is not always that simple. In fact, we will say that it depends on multiple factors. Objectives. The more ambitious your goals are, the higher the recommended ad spend to achieve them. Becareful, an objective should not be “sell more”, but something more specific such as “position myself as the number 1 restaurant in a certain area” or “an increase in sales of 34% throughout the quarter.”

Time of achievement of the objectives. The above brings us to this point. When an advertiser aims to achieve its short-term objectives, the investment in advertising will have to be higher. Competence. There are Estonia Phone Number List  quite seasoned sectors. For example, Software as a Service (SAAS) often requires hefty budgets to achieve conversions, compared to a local restaurant.type of business, product or service. Do you have a physical or merely online store? Is it a B2B or B2C business? Is it a seasonal product? Is it a necessity or a luxury item?

All are variables that modify the answer to the question of how much you should initially invest in each advertising platform.
Buyer person. We do not forget your target audience, that representation of the person who is going to buy your products or services with certainty. This has its own weight in the advertising budget. Do you know how your audience searches for information? How do they solve their problems? What media do they read? Who do they relate to? There are many variables, but today we intend to answer more or less how much you should invest in each advertising platform, on average, to achieve good results, assuming that you are just starting on this path.

How much to invest in each advertising platform Photo by Stephen Dawson on Splash How much to invest in Google Ads? When we talk about Google Ads, we are referring primarily to the search engine. However, within its ecosystem there is also the display network, which includes pages such as YouTube or Gmail. The first thing: there is no official minimum in advertising in Google Ads, but it does not mean that you should put 0.10 cents in a campaign. That “I’m going to try with a small budget and, if it works, I’ll increase it,” doesn’t work very well in practice, because it is usually not very successful. As you spend more on advertising within Google Ads, you will receive more clicks, which will be converted into data to find your niche.

You need to first research what the costs are within your industry in some dimensions. How much do the most lucrative keywords cost for your business? How much does the click cost on average for your sector (CPC)? Both questions must be answered within the geographic area in which you want to focus your advertising campaigns, as it varies a lot. So how do you know the cost of your keywords? There are services that allow you to know the average cost of your keywords within the chosen region, but they are not exact as a clock. For example, Google’s keyword planner is a place to start. It tells us what is the minimum cost to appear in searches and the maximum cost, as well as the volume of searches. For free, we can also find Google Trends or Ubserguggest, a tool that belongs to SEO specialist Neil Patel.

And the cost per click? These tools also usually give an approximate cost per click, based on what people who bid on the same keywords pay. When we talk about Facebook Ads we are also referring to Instagram, because its Ads Manager allows us to control advertising on both platforms. Unlike Google, Facebook Ads does have a minimum of one dollar a day per ad campaign. Another difference is that Facebook is a social network, where you must search for your prospects. On Google, people search for you. That means that, unless you know your niche perfectly and know how to target it precisely by segmenting your campaigns, you will probably want to give the search engine more budget.

Let’s imagine you distribute a course, the price of which is to maintain profitability, you cannot spend more than $ 50 for each person enrolled and you want to sell a total of 30, so you must invest $ 1,500, with an expected profit of double . However, it is not guaranteed that you will get those results by the imposed CPA, as it will depend as always on the competition and your segmentation. tow much to invest in traditional media? When we speak of the traditional media we refer to the mass media, such as television, radio or the written press. You may wonder why invest in these media, that is, it is very clear that the behavior of our consumers evolved and being part of an online community is the same as existing today. However, formulating an

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