The role of Digital advertising in modern business and its types in 2024

Digital advertising: Any commercial project requires well-thought-out promotion.

Nowadays, practically no business can do without advertising, and promotion must take place both online and offline. Today we will talk about the most effective types of advertising, as well as its role in running your business overall.

 

 

Offline advertising tools

 

Offline advertising remains in demand and effective. Although, of course, its appropriateness depends on the field of activity and the scale of the business—it is also crucial to manage the content correctly. Here are the main tools used for advertising:

 

– Television advertising. According to available data, about 62% of viewers trust it. Moreover, 68% of people make purchases specifically after watching advertising videos. The main target audience is people who do not have internet access. Overall, television advertising increases consumer loyalty and helps build more trusting relationships with them. Additionally, it allows reaching the widest possible audience.

 

– Radio advertising. The player for Indoor radio plays almost everywhere, so many people are guaranteed to hear it. The level of public trust is high, and people usually do not even lower the volume when they hear another offer. Radio is a good option for presenting a new product or service, and the announcements are not too expensive.

 

– Advertising in print media. With this tool, you can effectively increase sales and attract a new target audience. The level of trust in ads placed in magazines or newspapers is quite high. The cost of placement usually depends on the circulation and popularity of the publication, as well as some other nuances.

 

– Outdoor advertising. It is placed on streets, buildings, and transport. There are now many varieties of outdoor advertising: billboards, lightboxes, signs, pillars, banners, etc. The cost is usually high. The information presented should be formulated briefly and clearly so that it is easier for a person to understand—it usually doesn’t take much time for this.

 



Online advertising tools

 

Of course, nowadays, online promotion tools are more in demand. Let’s examine them in detail for a better understanding.

 

 

Contextual advertising

 

This allows for quickly attracting a new target audience and obtaining leads. With proper analytics, advertising can achieve impressive results. This tool is considered the most effective because it allows for constant optimization and reduces marketing costs. The methods for tracking effectiveness are well-established, making this type of advertising suitable for gaining “warm leads.” The format is ideal for any business.

 

 

Targeted advertising

 

This tool allows for showing ads to a specific target audience that is genuinely interested in the product or service. It works on social networks or large marketplaces, as these platforms make it easier to track user interests and then categorize them, usually by the following criteria:

 

– Demographic — age and gender;

 

– Social — marital status, education level, social connections;

 

– Economic — type of employment, income level, and savings;

 

– Geographic — place of residence and work, favorite locations for recreation;

 

– Psychographic — interests and preferences, browsing history, subscriptions.

 

One downside of this tool is that creatives quickly lose relevance. It is necessary to constantly monitor and test them. Additionally, targeting needs to be adjusted each time for a specific social network or marketplace.

 

 

Email marketing

 

Email marketing is a budget-friendly promotion method suitable for personalizing marketing at any stage of the sales funnel. A special database is collected for sending emails. Effectiveness is evaluated by the ratio of the number of announcements to those delivered, opened, and read. Email campaigns are rarely seen as the primary channel for audience engagement; rather, they complement other methods, especially if an interested base has not yet been gathered. Conducting visitor analytics in this case is quite difficult.

 

 

Teaser advertising

 

Teaser advertising has a poor reputation on the internet, so it is used very rarely. It usually consists of clickbait headlines that entice users to click on them, often redirecting them to a site that is completely unrelated to the ad’s topic.

 

The quality of traffic is, of course, lacking—typically attracting non-target audiences and bots. Moreover, such advertising can negatively affect the brand’s reputation.

 

 

Native Advertising

 

This type of advertising blends organically into the content to appear natural and not provoke a negative reaction. It is well-suited for promoting any products, regardless of the niche.

 

A typical example is storytelling. This is a soft and unobtrusive way to showcase a product, which does not cause rejection. It is launched by agreement with partner platforms and can also be integrated into articles and bloggers’ posts. However, native advertising requires a large scale; a single placement will not yield the desired results.

 

 

Video advertising

 

Promotional videos are positively received by the audience—often even better than text or graphic content. Their click-through rate is higher than many other tools. This type of advertising works well on platforms like YouTube and similar sites. However, the costs for high-quality and appealing creative content are very high, so it is not the best method for small businesses.

 

Selecting methods should depend on the field of activity and the scale of the business. It is not always advisable to choose something large-scale and expensive.

 

 

Digital Signage

 

We would like to specifically consider digital advertising via Digital Signage. This is a hardware and software multimedia solution that allows the remote broadcasting of desired content on one or multiple screens. This occurs either in real time or is pre-scheduled. Typically, entrepreneurs decide to rent a screen for a certain period.

 

It is essentially a fully networked infrastructure, centered around a server with specialized software. There is the capability to change content, set schedules, choose widgets, and more. Integration with external devices helps expand the system’s capabilities. If you use touchscreen technology, you can also receive feedback. This type of advertising allows you to achieve the following objectives:

 

– Informational. Advertising screens help convey necessary information to the audience. For example, revealing production processes to increase consumer interest.

 

– Promotional. Digital Signage allows for the impressive presentation of a new product or service, or to announce a promotion. For instance, you can set up a screen in a shopping mall to promote a sale happening in one of the boutiques.

 

– Image-building. Screens are effective in shaping the desired brand reputation. Often, even the mere use of these screens indicates high status.

 

– Shaping desired buyer behavior. Screens attract attention to certain displays or sections of a store. Customers will spend more time in the establishment and, consequently, may spend more money.

 

– Entertainment. Properly selected content will engage customers in the shopping process or alleviate dissatisfaction from long waits in line.

 

It is worth noting that Digital Signage includes a whole set of interconnected components, such as a Content Management System (CMS) for easy content management and a player for digital screens.

 

 

Advantages of such Digital advertising

 

Digital Signage has many interesting advantages. Let’s look at them in detail:

 

– Quick replacement capability. With just a few clicks, you can change the content across the entire network.

 

– Dynamic content. The material attracts customers more effectively as it appears more interesting to them. People will want to watch and learn what the product or service is about.

 

– Interactivity. Users can interact with the screen — for example, to examine a product from all sides. It is advisable to install a screen in a pharmacy so that the buyer can familiarize themselves with the catalog.

 

– Scalability. You can start with a few screens and then expand to cover a larger target audience.

 

– Centralized system management. Everything is controlled from one computer: from creating playlists to selecting advertisements for a specific screen.

 

– Ease of maintenance. The system can be managed by just two people: an operator and a technician.

 

These screens can be installed almost anywhere: in shopping centers, stores, stations, stadiums, etc. And if you try smart broadcasts, you will get wide conversion, as artificial intelligence adjusts the ads to the interests of a specific person. To do this, you need to use digital signage software, which includes a digital signage player, a player for Digital Signage, a system for digital signage, CMS, and other components for effective Digital Signage management.

 

The importance of advertising for business

 

Advertising is an integral part of any business. It not only informs potential customers about a product or service but also has deep economic and psychological significance. Modern advertising is more targeted, interactive, and personalized. However, it is essential to understand that competition is very high.

 

The psychological impact of advertising cannot be underestimated. It allows you to create necessary images and associations, forms needs and desires, and also influences the emotional state of people. Through it, consumers can learn about the features of the product or service they are interested in.

 

Many entrepreneurs believe that they can do without advertising, but this is not the case. If you are not in the public eye, sooner or later, customers will forget about you. This approach is only optimal for giant companies that have already earned a reputation and have a regular audience. But even they constantly use advertising to talk about new promotions and services.

 

Don’t forget that people often do not react well to advertising. Mostly, this is because the ads are shown to them at the most inconvenient moments when they are engaged in something else. Or they interrupt interesting content: for example, in the case of television or radio. Although, in such cases, the problem is compensated by huge coverage.

 

 

Goals and objectives of advertising

 

The specific goals and objectives of advertising often depend on the business. However, we can highlight some general points:

 

– Increasing sales. Properly selected advertising can significantly boost demand. Some creatives even encourage making a purchase, such as promotions or discounts, promo codes.

 

– Informing customers about a new product or service. For example, if it’s about a smartphone, the ad can tell about its power and technical specifications. Or in a cafe, a screen can be set up to offer trying a new dish.

 

– Enhancing brand recognition. Advertising informs people about the company and increases trust. It is usually set up to be shown to the target audience. The customer develops positive associations and starts to take more interest in the company, its products, and services.

 

– Reminding about the brand. For example, if the company has disappeared from view for a while, it makes sense to announce its return through advertising. By the way, sometimes ads are set up to be shown to users who have added products to their cart but have not bought them. This serves as a reminder to complete the purchase. And it works well, by the way.

 

Sometimes, company or store owners have personal goals that we haven’t mentioned here. It is important to understand that advertising will only work with the right approach.

 

 

Functions of advertising

 

It is also useful to consider the functions of advertising for business promotion:

 

– Economic. Advertising increases demand for products and services, boosts sales volume, and stimulates competition. Successful companies gradually also create jobs, contributing to the economic development of society.

 

– Social. Advertising influences public opinion, so it can address socially significant issues, raise awareness about something important — for example, promoting a healthy lifestyle.

 

– Marketing. Advertising helps to form and maintain the brand image, attract new customers, and increase their loyalty. Installing a screen in a beauty salon, for example, can effectively present a new service.

 

– Communicative. Advertising is a way of communication between the consumer and the producer. It conveys information about the product and helps establish contact with consumers and learn their preferences. Interactive formats perform particularly well in this regard.

 

As you can see, the importance of advertising for business is obvious. Without it, it is simply impossible to promote a brand, especially for beginners.

 

Based on the above, we can conclude that advertising is indeed important for business. It helps increase brand recognition, inform about a new product or service, and facilitate promotion. The most important thing is to choose the right creatives and be able to create compelling offers. With the right approach, you will be able to establish a connection between the brand and the consumer, and accordingly, you will succeed.

 

Advision — Content Management System for remote management and media planning of broadcast video and audio content. We help offline businesses and advertising companies automate workflows and implement a robust Digital Signage infrastructure using our proprietary software and hardware solutions.

 

Contact us, and we will help you implement the most modern technologies to solve your problems!

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