Online advertising is the most important and highly rewarding marketing tactic in recent times. Almost everyone’s trying to ride the ‘online’ growth wagon these days.
But the rising competition and information overload around the subject can overwhelm anyone. That’s why we created this beginner’s guide about the best online advertising methods to help you pick the best way to advertise online, including small business online advertising strategies.
What is Online Advertising?
In its simplest definition, online advertising (also called internet advertising or digital advertising) refers to ads that appear in emails or websites. It’s a marketing strategy that uses the internet to generate website traffic and deliver specific marketing messages to the right customers.
Digital advertising helps persuade targeted customers to take specific actions like purchasing.
Unlike traditional ad strategies, advertising products online enables you to target a specific demographic, such as gender, generation, or geographic region. Online ads are interactive, meaning users can respond by clicking and visiting your website.
Types of Online Advertising
Integrating different advertising channels into your online marketing strategy is a great practice when aiming for growth. An omnichannel campaign influences customers across different platforms and increases your marketing ROI. Here are the six most popular channels you should add to your strategy:
1. Email Marketing
Email marketing is a popular way to advertise and reach your customers online. An email marketing strategy allows you to offer a personalized experience for your subscribers and inform them about your value proposition.
You can use email marketing to promote your products, send survey emails, start a newsletter, or nurture leads. Automated email campaigns can also be set up using a marketing automation tool to help you put things on autopilot.
Email marketing campaigns yield high conversions and a great ROI between $32 and $45 on average* — thanks to email and SMS automation tools like Sender.
| Pros | Cons |
| Personalized communication sent directly to inboxes | Potential for emails being marked as spam |
| Lower costs compared to traditional methods | Recipients may unsubscribe over time |
| Detailed analytics for tracking campaign effectiveness |
Sender has everything you need for successful email marketing – from responsive email templates and drag-and-drop email builder to audience segmentation and automation workflows.
If you’re still unsure about the tool you should pick, check out these 12 Email Template Builders & HTML Editors (2024 Update).
2. Display Advertising
Display ads are visual advertisements, typically images or videos, placed on relevant third-party websites. These display ad banners appear within website content or as banners.
You can buy ad space directly from publishers or use platforms like Google Adwords to launch advertising campaigns. Pricing for these campaigns is based on clicks (CPC) or views (CPM).
Effective display ad banners can significantly boost conversions, especially for ecommerce products, through conversion rate optimization (CRO). A well-designed banner, strategically placed on relevant websites, can attract viewers and guide them to your site, enhancing your overall conversion rate.
| Pros | Cons |
| Targets a broad audience across various websites and platforms | Some users use ad blockers, reducing ad visibility |
| Uses eye-catching graphics and multimedia for engaging ads | Users may ignore display ads due to their placement on websites |
| Allows precise targeting based on demographics, interests, and behaviors | Users may become immune to ads after repeated exposure |
3. Search Engine Marketing (SEM)
Search Engine Marketing (SEM) or PPC advertising consists of ads placed on top of results on search engines like Google.
SEM ads are displayed when users search for keywords you pre-select in your AdWords or search ads campaign. CPC, site quality, and contextual messaging affect the placement of search ads.
These aim to raise brand awareness, drive clicks, and get conversions without waiting for SEO benefits to kick in. Basically, SEM ads help you get instant results from existing search traffic.
| Pros | Cons |
| Reaches users actively searching for specific keywords, increasing relevance | High competition for popular keywords can lead to high costs per click (CPC) |
| Can drive traffic and conversions quickly, especially with paid search ads | Managing SEM campaigns requires expertise in keyword research, bidding, and optimization |
| Provides detailed analytics for tracking performance and ROI | Users may overlook or ignore ads, especially if they resemble organic search results |
4. Native Advertising
Native ads are different from other forms of ads you see online. They are designed to look like an ‘add-on’ that fits neatly in the user’s journey to discover something new. Though they might look like ads at places, they generally add value to the discussion, so most consumers don’t mind clicking on them to know more.
Native advertising aims to gain visitors’ trust by solving their problems. The simplest way to implement native ads is by creating a blog where you discuss topics related to your niche, include helpful and interesting info for your users, and promote your products natively within the discussion.
| Pros | Cons |
| Blends in with the surrounding content, making it less intrusive to users | Without clear disclosure, native ads may be perceived as deceptive or misleading |
| Often generates higher engagement rates due to its non-disruptive nature | Native ads may have limited reach compared to other forms of advertising |
| Builds trust with audiences by providing valuable content alongside promotions | Creating quality native ads can be more time-consuming and costly |
5. Social Media Advertising
Social media advertising works best for businesses with an active presence on social networks and a large following. Creating ad campaigns on social media platforms helps generate brand awareness, build a community, reach a large audience, and acquire new customers.
Most people spend a better part of their day on social media. Using social media networks like Facebook, Twitter, and LinkedIn for ads allows you to target potential customers who have already visited your website and attract new ones.
| Pros | Cons |
| Allows targeting based on demographics, interests, and behaviors, maximizing relevance | Users may experience ad fatigue due to the high volume of ads on social media platforms |
| Provides interactive ad formats such as likes, comments, and shares that encourage user engagement | Algorithms and policies on social media platforms can change frequently, affecting ad performance |
| Offers detailed analytics for measuring campaign effectiveness and optimizing performance |
Explore the list of the best social media marketing tools in 2024 and find the perfect fit for your business.
6. Content Marketing
Content marketing is a popular way to start online ads, especially for B2B SaaS, ecommerce, and service-oriented business models. It involves creating relevant content for audiences that answers their specific queries.
You can start creating content on your blog that will help you boost your search engine rankings. When users search for a similar query online, your blog pops up in the results.
Users can find their solutions in your content and go on to try out your product or service (which you can plug natively into your content).
| Pros | Cons |
| Provides valuable and informative content that establishes credibility with the audience | Creating high-quality content requires time, effort, and resources |
| Generates long-term organic traffic and brand awareness as content remains accessible over time | It may take time to see significant results from content marketing efforts, requiring patience and persistence |
| Can be repurposed across various channels, such as blogs, social media, and email, maximizing reach and impact | Measuring the ROI of content marketing can be challenging, as it often involves indirect metrics such as brand sentiment and customer loyalty |
7. Video Advertising
82% of consumers have decided to purchase a product or service based on watching a marketing video. No wonder, as videos allow you to tell stories about your product, highlight its benefits, and showcase your brand’s personality.
You can even use video ads to demonstrate your products uniquely and emotionally connect with your audience.
YouTube, TikTok, and other video platforms all offer ways to advertise on their platforms. You can even collaborate with YouTubers to review your products or services on their channels.
Another strategy is producing original video content that helps you reach the right audience, attract views, and improve your organic search rankings.
| Pros | Cons |
| Videos capture attention and convey messages effectively, leading to higher engagement rates | Creating high-quality video content can be expensive and time-consuming |
| Video ads can be used across various platforms, including social media, websites, and streaming services | Users have short attention spans, requiring concise and captivating video content to retain interest |
| Provides advanced targeting options based on demographics, interests, and behaviors, improving relevance | Users with slow internet connections or disabilities may have difficulties accessing video content. |
8. Banner ads
A banner ad is usually an image-based, rectangular advert placed on a website to promote a brand and drive some visitors to a landing page associated with that brand.
The banner ad is a visual representation of your product, service, or offer and can be static, animated, or even interactive rich media, depending on your campaign goals.
The most powerful benefit of banner ads is the ability to use platforms such as Google Display Network to reach out to niche websites and their hard-to-spot audiences in a targeted manner.
| Pros | Cons |
| Banner ads can be placed on numerous websites, allowing for broad exposure to audiences | Users often ignore or overlook banner ads due to their commonplace on websites |
| Compared to some other forms of advertising, banner ads can be relatively affordable to design and place | Banner ads have limited space for conveying messages and may struggle to capture attention effectively |
| Banner ad performance can be tracked using metrics such as click-through rates and impressions, allowing for optimization | Users may utilize ad-blocking software, reducing the visibility and effectiveness of banner ads |
9. Mobile Advertising
Mobile advertising refers to promoting products, services, or content to a target audience through mobile devices. It’s a valuable channel for reaching and engaging with a wide range of audiences, as people spend much time on their mobile devices.
There are numerous strategies and ad formats to create high-converting ad campaigns, including:
- In-app advertising – banner ads, interstitial ads, video ads, or native ads seamlessly integrated into the app’s content;
- Mobile web advertising – banners, pop-ups, or text-based ads displayed on mobile websites when users browse the internet using their mobile browsers;
- SMS advertising – promotional messages sent via text messages to mobile users who have opted in to receive them;
- Push notifications – messages sent directly to a user’s mobile device, often from apps they have installed;
- Location-based advertising – ads targeted to users based on their geographic location, typically using GPS or Wi-Fi data.
- Mobile video advertising – videos specifically designed for mobile devices can be displayed within apps, mobile websites, or social media platforms.
| Pros | Cons |
| Offers interactive ad formats such as video, playable ads, and in-app ads, increasing engagement | Mobile screens have limited space, making creating engaging and informative ads challenging |
| Allows for precise targeting based on users’ location, enhancing relevance and effectiveness | Users may utilize ad-blocking software on mobile devices, reducing visibility and reach |
| Wide reach and high user engagement | Privacy regulations and user concerns about data collection can impact mobile ad targeting and tracking capabilities |
10. Affiliate Marketing
Affiliate marketing is a partnership where businesses collaborate with others (affiliates) to promote their products or services.
Affiliates use their platforms and audiences to drive traffic and sales to the brand’s website through unique referral links. The affiliates are then rewarded with a commission for every successful conversion, creating a win-win situation.
The beauty of affiliate marketing is its versatility. Ecommerce brands can leverage it to reach niche markets and drive traffic from multiple sources, boosting brand awareness and sales. At the same time, B2B companies can benefit by collaborating with industry experts, consultants, or complementary businesses.
| Pros | Cons |
| Performance-based payments | Requires ongoing management |
| Expands brand reach | Quality varies among affiliates |
| Targets niche markets | Can take time to scale |
11. Influencer Marketing
Influencer marketing is a type of online advertising that uses individuals with a strong online presence and a dedicated following, known as influencers, to promote products or services.
Instead of directly marketing to a large audience, brands collaborate with influencers to tap into their niche communities and leverage their credibility and authenticity.
Influencers create and share content featuring the brand or product, often in the form of reviews, tutorials, or endorsements, reaching their followers in a more organic and relatable way.
| Pros | Cons |
| High audience engagement | ROI can be hard to track |
| Builds brand trust | Can be expensive |
| Relatable, organic content | Risk of inauthentic partnerships |
Most Effective Forms of Online Advertising
To maximize the online advertising opportunity, you need to spend the maximum budget on effective channels. In 2023, organic reach will be at an all-time low across platforms. So, using paid channels to promote your products and services online makes sense. Here are the three most effective online advertising channels if you want to get started:
Email Advertising
Distinct from email marketing, email advertising refers to tactics and strategies surrounding the placement of ads within or delivery of ads using emails.
With the number of email users estimated to reach 4.6 billion by 2025, you couldn’t ask for a more direct way to put your product, service, or offer in front of them.
Email advertising can take various forms, including banner ads in newsletters, sponsored content from businesses, footer ads, or even sharing non-competing businesses’ offers. Because these ads reach targeted subscriber segments inside their inboxes with their permission, you can expect higher conversions and better sales.
Search Engine Marketing (SEM)
Search Engine Marketing is an effective online advertising tactic that allows you to bid for top search positions on SERPs. According to TechJury, PPC has an amazing ROI of up to 200% and generates twice the number of visitors compared to SEO.
Paid search is a great option for companies seeking brand awareness and driving qualified website traffic. You can use Google Adwords and other PPC advertising platforms to launch paid search advertising campaigns for your brand.
Paid Social Media Advertising
Social media advertising is the second most effective form of online advertising after search advertising. According to a survey, 33% of all digital advertising spending happens on social media ads.
The phenomenal retargeting power that social platforms offer, plus explosive reach, make it a preferred option for B2B, B2C, and eCommerce brands. You can start advertising on social media platforms like Facebook, Instagram, and TikTok with a small ad spend and scale as per your goals and advertising budget.
Video Advertising
Video advertising is promotional content that plays before, during, or after streaming. Some marketing professionals expand video advertising to include display ads with video content, such as videos that start playing when you put a mouse cursor over them. Examples include in-stream video ads, out-stream video ads, and bumper ads.
The benefits of video advertising include the following:
- You can communicate the necessary information quickly to your target audience.
- You’ll gain more social shares and attain a wider customer reach.
- You can educate customers about your offers interestingly and interactively.
Online Advertising Examples
You know now the types of ad campaigns you can run online. You also know the most effective ones. Now, let’s look at some real-world advertising examples from the digital world. Use these examples to get inspired to launch your own online advertising campaign and attract traffic to your website.
- Targeted Online Advertising
- Paid Online Advertising
- Google Ads Online Advertising
- Social Media Advertising
- Amazon Online Ads
- Ecommerce Online Ads
- Website Banner Ads
Targeted Online Advertising
Targeted advertising is one of the most effective online advertising strategies. It’s a form of digital display advertising where marketers deliver promotional messages to customers based on their specific traits, interests, and preferences. Look at the following example by G’s Beauty Parlor:
Online platforms like Facebook allow you to target customers based on their online behavior, interests, geography, etc. Like in the above example, the brand specifically targets the ladies in San Dimas. Targeted ads have many advantages, including the following:
- It helps you interact with audiences that are most interested in your products;
- It offers advanced personalization that enables you to provide the most suitable products or services to consumers;
- You get improved sales and higher conversion rates since you’ll show relevant offers to your target audience.
Depending on your budget, prices are based on the limit you set on an advertising platform. When you reach the limit, the advertising platform stops showing your ads. That said, here are five ways to up-sell and cross-sell your previous customers using targeted advertising:
- Analyze past buyer metrics to help you understand the true motivation behind their purchases;
- Organize your customers into segmented lists to target them with the right offer;
- Create remarketing campaigns in Google and preferred social networks to target specific buyers with the correct messaging;
- Remind customers why they choose you over your competitors to instill a new sense of brand loyalty in them;
- Incentivize loyal customers with personalized offers such as free gifts or discounts if they purchase an item again.
Paid Online Advertising
You can buy online ad spots on platforms with high traffic volumes to attract potential customers to your website. Paid advertising allows you to put your featured ads appear on specific websites.
The best-paid search advertising strategies are PPC, influencer marketing, social media ads, retargeting, and banner ads. Marketers and businesses compete for PPC ad space and social media ad slots by bidding for their advertisement slots. Take the following ad example from SEMRush:
The banner ad is displayed across eligible sites on the Google Display Network, bringing lots of traffic to the SEO tool’s website. You can work with any budget to launch your paid ads. Paid ads have various benefits, including:
- They’re very affordable and measurable;
- You can test them and gain valuable audience insights;
- You can broadcast your messages across multiple, but selected channels;
- Ad analytics provide you with crucial insights into optimizing your banner ads.
Retargeting Ads
Retargeting ads are a type of online advertising that targets users who have previously visited a website or engaged with a brand online. These ads are designed to re-engage potential customers who may not have converted or made a purchase on their initial visit.
Retargeting ads can be displayed on various platforms, including social media, websites, and search engines, and are typically paid for on a Cost per Acquisition (CPA) basis, where the advertiser only pays when a desired action is taken.
This strategy allows a marketer to maximize their online promotions and improve ad performance metrics, such as click-through rates and conversion rates.
Unlike free online advertising, retargeting ads offer a more targeted approach to reaching potential customers, increasing the chances of conversion. By bidding for ad slots, marketers can optimize their ad impressions and reach their desired audience.
Here’s a retargeting ad example from Olipop. If a person visits the brand’s website, chances are they’ll see the ad in their Facebook feed afterward:
Read more about email retargeting: 5 Steps Strategy to Win Customers.
Google Ads Online Advertising
Google Ads is a paid advertising platform by Google that helps you run PPC ads. You can see Google ads all over the internet — on top of search results, within YouTube videos, and all over the websites on the Google Display Network. Take the following Google Ads example:
The brand has placed a PPC ad on the keywords ‘monitor sales calls,’ and Google has a top placement for the brand. So, whenever a searcher searches for the said keywords, he sees the ad from the brand on top of all organic search results. Google ads help expand reach and drive conversions. More benefits include:
- It enables you to target people with specific interests in your products.
- It helps you control your costs since you only pay when someone clicks your ad.
- You can measure your success since you’ll know when someone clicks your ad.
- It offers you tools to manage and monitor your accounts.
Social Media Advertising
Placing paid ads on social media is profitable for marketers and business owners. With so many users spending time on social media platforms, it makes sense to spend money on advertising your brand or business on social media. Here are your options in case you’re thinking of social media advertising:
Facebook Online Ads
Facebook ads work on a PPC model where you pay the network each time a user clicks an ad. It enables you to build brand awareness, increase ad visibility, and measure clearly defined metrics to create better, more optimized ad campaigns.
The cost of Facebook advertising is determined by a daily or lifetime budget. Daily budget is where your ads run continuously throughout the day, while lifetime budget is where your ads run for a specified period. Here’s an example of a Facebook ad by Mark Morphy:
The ad is displayed natively within a user’s feed and entices them to check out the collection with a CTA button, ‘Shop Now .’Users are known to respond well to direct CTAs on social media ads. Other benefits include:
- Facebook has over two billion users worldwide, so Facebook Ads can help you reach a wider audience;
- Both B2B and B2C companies can use Facebook Ads to reach their target audiences;
- Facebook Ads allow you to drive referral traffic to your business’s website.
Instagram Ads
Like Facebook, Instagram also offers you an option to run ads to target users on the platform. You can place video ads, in-feed ads, or choose from different available formats. The ads appear as a post by a brand within a user’s feed, on the explore page, and more recently between Reels scroll, too. Here’s an example of an online ad by Ajio on Instagram:
Such an ad persuades users to check out the product range by installing the eCommerce platform’s app. Clearly, with social media’s targeting options, such ads perform really well for eCommerce brands and businesses when planned well.
LinkedIn Ads
LinkedIn is a professional social media platform that’s really good for B2B businesses to advertise their products and services. Like other social media ads, LinkedIn ads also offer in-feed placements along with other placements on the website.
LinkedIn ads are known to increase awareness and drive downloads, signups, and inquiries if you’re targeting a professional audience, founders, marketers, or a target audience that spends a lot of time in the office.
Take a look at the following ad by Route Mobile:
The ad shares a case study with the target audience, urging them to download the case study. The successful download can be seen as a qualified lead instance and move a prospect into the sales pipeline.
So, what are the benefits of LinkedIn ads?
- LinkedIn’s detailed targeting options allow you to reach users based on industry, company size, job title, seniority, skills, and more;
- The platform is ideal for B2B marketing, as it connects you directly with professionals who may be looking for industry-specific solutions or networking opportunities;
- LinkedIn offers a variety of ad formats, including sponsored content, message ads, text ads, and dynamic ads, enabling you to tailor your approach to your campaign goals.
X – formerly Twitter Advertisement
Twitter ads are known to be concise and targeted mainly at youngsters, millennials, and Gen-Z. If you are in the tech business, Twitter can be a great advertising platform. However, Twitter’s ad targeting options can be limited, and you might spend a lot of money on a single ad campaign.
Nonetheless, brands use Twitter to reach out to their audience and announce product launches, updates, and more. Take a look at the following ad by One Plus India announcing their new smartphone model:
The benefits of X advertising include the following:
- You can leverage X’s real-time nature to connect with audiences during trending events and conversations;
- X’s targeting capabilities allow you to reach specific audiences based on their interests, behaviors, and demographic data;
- The platform’s hashtag system can amplify your campaign’s visibility, making it easier to track campaign performance and engage with users.
Reddit Advertising
Reddit is another platform where you will see B2B, SaaS, and tech brands trying to grab the attention of a young audience. However, Reddit users are known to hate paid ads; brands have been experimenting with various ad formats on the platform.
The platform allows you to run promoted ads that appear as Reddit posts within the user’s feed. Look at the following promoted post by Grammarly as an example:
Here are the benefits of Reddit advertising:
- You can tap into a highly engaged community that is passionate about niche topics;
- Reddit allows for precise targeting based on interests, subreddits, location, and demographics;
- With Reddit’s upvote and downvote system, your content can gain organic traction if it resonates well with users;
- Reddit offers a variety of ad formats, such as promoted posts and display ads, providing flexibility in how you present your message.
Amazon Online Ads
Amazon advertising works in a similar way to Google’s PPC, but the ads appear on Amazon’s own platform. Amazon sellers pay when buyers click on ads. Amazon sellers have many ad formats and placements to choose such as Amazon-sponsored products, sponsored brands, and product display ads.
Take a look at a sponsored ad appearing on Amazon’s search page for a keyword:
The ad is shown at the top of the search result and is clearly a discovery booster for a seller on the platform. Benefits of Amazon advertising include:
- It has the brand-safe, high-quality environment that advertisers want;
- It shortens the sales cycle;
- It improves product visibility and sales history;
- It boosts brand awareness;
- You can get valuable insights into changing consumer habits and optimize advertising campaigns to reach a more targeted audience.
Ecommerce Online Ads
Ecommerce advertising is any form that raises awareness and drives traffic to an online store.
This includes all kinds of ads shared above. When an ecommerce store uses an online platform to boost sales, it can be deemed an ecommerce ad. Here’s an example of an ecommerce ad placed by Amazon on Facebook:
Such an ad is called a catalog ad that shares an entire product catalog as a carousel for a user to browse without leaving the social media platform. When they click on Shop Now, they are redirected to the product page for checkout.
Website Banner Ads
The biggest benefit of banner ads is that instead of having to create your own traffic source, you can leverage high-quality traffic other websites are already getting.
Your exact campaign goal may vary, from brand awareness to offers and promotions, but what’s a given is that with banner ads, you can reach a vast, global, online audience in a targeted manner at will.
Look at the banner ad example below promoting Amazon Prime on IMDB’s home page.
Amazon uses this mega-sized banner ad to promote its OTT (Over-The-Top) service, Amazon Prime, at the top of IMDB’s homepage to attract traffic.
The high visibility placement ensures that every visitor IMDB gets is also exposed to Amazon’s offer. More importantly, this source of traffic is highly relevant and valuable since most IMDB visitors won’t be averse to checking out online video streaming services apart from the ever-popular Netflix.
Do you love numbers? Because we do. That’s why we’ve curated this advertising statistics article:
45+ Online Advertising Statistics (Facts and Figures for 2024)
Emerging Trends in Online Advertising
Like everything online, internet advertising is constantly evolving. To stay ahead, you need to adapt as well. Here are a few key trends to keep an eye on:
AI-Driven Ad Placements
AI-driven ad placements use sophisticated algorithms to analyze massive amounts of data, identifying the optimal times, channels, and audiences for your ads. So, your campaigns are constantly being fine-tuned to reach the most receptive users, maximizing return on investment.
By automating this complex process, AI frees up your time to focus on strategic planning and creative development. It eliminates the guesswork and relies on data-driven insights to ensure your ads reach the right people at the right moment, leading to a more successful advertising strategy.
Privacy-Focused Advertising
As users become more privacy-conscious, the advertising industry is shifting towards more ethical and transparent practices. Privacy-focused advertising prioritizes user consent and data minimization, ensuring a less invasive and more respectful online experience.
This means shifting away from third-party cookies and using methods like contextual targeting, where ads are shown based on the content a user is currently viewing. It also involves techniques like differential privacy, which adds random data to overall information to keep individual user details private.
By embracing privacy-focused advertising, brands can build trust with their audience and create meaningful connections while delivering relevant and effective campaigns.
Key Takeaways
Congratulations on finishing this long journey learning about online advertising! Before you go, let’s repeat some key points:
- Always plan your online advertising campaigns in advance;
- Research your audience before you pick an online advertising channel;
- Create ads that emphasize the advantages for your prospects rather than coming across as overly promotional;
- Don’t forget to segment and target your audience based on their personalized interests and expectations;
- Use a marketing automation platform to run omnichannel advertising campaigns.
