Why do companies need paid advertising on the Internet? There are many answers to this question: to convince people to buy more, to improve or create a positive image and brand awareness, or to occupy a certain position in the minds of buyers. The world doesn’t stay the same all the time, thus it’s important to be always in sight, otherwise, a more advanced competitor will draw all customers. With this approach, only giant companies survive, which everyone knows, and which practically have no competitors. But, if your company is young or small, then advertising is essential. Sometimes, word of mouth isn’t enough to grow and evolve quickly, so advertising allows companies to accelerate the growth process and maintain their status.
It’s possible to live without advertising, and many entrepreneurs do this but they lose possible income, and in some cases, their business. Even the largest companies use paid advertising. For example, such well-known companies as Apple, Nestle, and Mcdonald’s. People already know about these companies, but to stay in the minds of customers and raise the future generation big companies use advertising. Think about what would have happened if we hadn’t been shown Coca-Cola ads since early childhood? Surely the company’s sales would have been much lower!
The role of the brand and mental accessibility
For the consumer, a brand is an assistant that allows reducing resources to decide on choosing in favor of a particular product. The human brain prefers to save resources, and for it, a good enough, but not ideal solution with a small cost is better than an ideal one, for which a lot of valuable energy might be spent. Moreover, the brain most often prefers something familiar, because it carries fewer risks and threats than the unfamiliar, and the brand makes it easier to remember and recognize the product.
Mental accessibility characterizes the consumer’s tendency to choose a brand in a buying situation, which is determined not only by the consumer’s knowledge of the brand but also by established associations. The more associations are presented, the more space the brand occupies in a person’s memory, and the easier it is for a brand to pop up in a consumer’s mind during the purchasing process. The more diverse associations in the consumer’s head are associated with a particular brand, the higher the mental accessibility, and the more likely the consumer will choose this particular brand. Thus, the probability of buying depends not only on brand awareness but also on mental accessibility – how easily a brand appears in a person’s head as a preferred choice in a situation when it is necessary to make a choice.
Such well-known brands as Coca-Cola need advertising not to increase awareness, but to increase mental accessibility. Big brands continue to be actively advertised, despite the highest and the same levels of recognition among the target audience. There is nowhere to raise brand awareness, and the battle for mental accessibility is essentially endless. More advertising = more associations = more space occupied by the brand in the consumer’s head = higher mental accessibility = more buyers choose the brand.
Paid advertising doesn’t irritate users
Sometimes information about a product or service is shown to people when they don’t need it. This is a huge disadvantage of advertising on TV and radio, thus things are better with pid advertising on the Internet. It doesn’t irritate the user, moreover, he perceives Internet advertising as a hint or an answer to his question. If a desire to buy a new phone wasn’t formed in a person’s mind, then advertising will not be shown to him. Google AdWords, for example, learns about the user’s desires through analysis of search queries and information about website visits. If a person types “buy a new phone” in the search bar, then ads of this type will be shown to him.
With good product quality, a favorable offer and well-tuned contextual advertising, the company’s sales can increase tenfold. Don’t forget that a person adequately perceives advertising only at the moment when he really needs goods or services that are shown to him. Either if your product or service can awaken the desire to buy, for example, advertising drinks during hot days. Advertising is the only media that you can actually control, and if you want the message to reach your client on the right day, then this is the only opportunity that can be 100% controlled.
How paid advertisement can help brands
The main purpose of advertising is to increase profits from sales of products or services. A well-organized advertising campaign can maintain interest in the product for a long time, promoting the brand and attracting new audiences. Paid advertising also allows companies to target ideal customers. If you want to get a large conversion into sales, it’s important to use very individualized messages in a narrowly selected audience.
Paid advertising increases the credibility of the message. There is a large category of people who think, while looking at your advertisement: “If they advertise on the Internet, then there is money for it. And if there is money, then business is doing well.” Such logic ultimately inspires confidence in your business, and advertising enhances everything you do. As soon as you start advertising great content, everything you do will become widely known, as when people consume content, they notice other details. You capture the attention of the audience, although they might not have known about you before.
Advertising can bring even more benefits to companies, for example:
The perfect product is a product that is good for people but it’s also important that they want to buy it. Often, people don’t buy the best product, but the most famous one, to which their trust was formed through advertising. Many people mistakenly believe that advertising is expensive, but by using paid advertising, you aren’t letting money down the drain and you aren’t giving it to the homeless. These are investments that will definitely bring income. The main thing is to understand exactly what you want to get from advertising, and depending on what you need, a strategy is formed and business promotion channels are selected.
As practice shows, advertising works, and it is the source of word of mouth. If you have a high-quality product and an acceptable price, then people who decided to buy your product because of your advertisements will certainly advise your products or service to their friends and relatives. The number of offers is growing every day, and the competition reaches a peak value, thus it makes sense to invest in improving the quality of customer service and marketing.