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Paid social media – why paid social marketing is profitable for businesses

Paid social media – why paid social marketing is profitable for businesses

05 July 2019 | News and Insights

When used correctly, paid social media is an effective, highly-targeted sales tool that can put you head and shoulders above the competition.

On your morning commute. On your lunch break. After work whilst you cook dinner. Before bed just in case. Sound familiar? These are the common patterns of social media use in 2019.

After staying in touch with friends and socialspying’, almost a third (29%) of social media users are actively looking for shopping inspiration or potential products to buy.

Social media matters to your customers, so it should matter to you. If you take full control and harness the benefits of the different platforms, paid social media will go a long way towards increasing your return on investment.

Facebook advertising provides a range of rapid experiences that are cost efficient

Facebook’s Q4 report stated that their average cost per ad had decreased by 2%. On top of this, the average number of ad impressions increased by 34%. With last year’s advertising revenue coming in at a cool $16.6 billion (that’s 30% more than the previous year), this indicates that your competition will more than likely be here.

And why wouldn’t they be? With Facebook carousel ads (a scrollable ad unit that allows you to combine 3-5 ads into a single post) ­offering marketers the opportunity to lower cost-per-conversion by 30-50% and cost-per-click by 20-30% versus single image ads. If you have a very visual, ‘nice-to-look–at’ product, such as clothing, gadgets or even food, trying out a carousel could see your costs reduced thanks to the multiple panels offering multiple chances to convert.

Or take Slideshow ads for example, which are another image-based ad type, that can include up to 10 images, and will allow you to adjust the length of time that each image will display for, as well as ad music, if you wish to. Slideshows play through like a video would, standing out on your audience’s news feed by auto-playing. Great for portfolio or service-based businesses that want to show off multiple aspects of their offering. Here’s the bonus: slideshow ads are great when used as a remarketing tactic, to be shown to users who may have read one of your blog posts. This is a great way to turn a browser into a lead.

Take your advertising campaigns one step further with Facebook Instant Experience ads. Instant Experience ads, which Facebook claims ‘load 15x faster than web pages on mobile’, combine images, videos, product carousels, forms and tagged products to deliver a fast-loading, media-rich experience that is fully optimised for mobile devices.

Tap into the inspiration-seeking market with Pinterest

Fancy redesigning your home interior? Need a starting point on your hunt for the perfect wedding dress? Or maybe you’re just looking for the ultimate drool-worthy food shot? For all of the above, Pinterest is where you can find them.

Pinterest is a highly-effective platform to include in your social media strategy, and this is largely down to the nature of the users. Did you know that almost all searches carried out on Pinterest are non-brand? This is great news for businesses looking to utilise the platform for paid ads, as it indicates that users are open to new ideas and products, they don’t yet know which brand or company they want (or if they even want one). Beyond this, 98% of Pinners (Pinterest users), have said that they have tried new products from their searches on the platform. In this open-minded buying stage, this is your chance to show them what you can offer.

Take promoted carousels, for example. Pinterest’s promoted carousels allow you to use 2-5 images together in one post. As these carousel ads can appear anywhere a regular, non-paid pin can, it means that your ad has the upper hand next to single-image pins that only offer one point of conversion.

For even more social media real estate, take hold of Pinterest’s promoted video option, which allows you to not only promote a video amongst regular static images, but to have the option to expand your video ad to full width, which, as you can imagine, makes any other images next to it look insignificant in comparison. Next stop: conversion!

Make an impact on Instagram with stories ads and more

Paid social media works well because it can be used in conjunction with a longer term organic strategy.

By now you may have the tried-and-tested organic strategy of utilising specialised hashtags and participating in your community to boost reach and engagement. But what about paid social marketing activity?

Take Instagram’s stories ads, for example, which feature call-to-action buttons and appear between user’s stories. It’s worth mentioning that 500 million Instagram users view stories each day. Add to that the capability to target to a custom audience, stories ads are a great way to promote short-term promotions with impact-heavy creative.

For a more long-term strategy, Instagram’s photo ads allow you to target an audience again, but this time to show them ads in their feed, not appearing intrusively. With a broad range of specific calls to action (CTAs), from ‘Shop Now’ and ‘Get Directions’ to ‘Get Showtimes’ and ‘Download’.  You can see why many businesses across all industries find this extremely beneficial.

Instagram video ads are another format, similar to photo ads, that include all of the above features but take advantage of growing video-watching activity on Instagram: up 80% year-on-year.

As part of Facebook inc, Instagram also offers carousel and collection ads that hold the benefits of their Facebook counterparts, with a different look and feel for the Instagram audience.

Take Twitter’s reach into account

326 million people use Twitter each month. 9% of those are using it on a daily basis.

With Twitter’s advertising features, you only pay when you have reached a specific marketing objective. Choosing from either engagement or website conversions, this allows you to only pay for results.

80% of Twitter users access the platform on a mobile device, so think about if your potential customers are going to be browsing on their phones, and more importantly who they are. Are they aged 18-29? Because 40% of Twitter’s users are. Are they aged 30 – 39? Because 27% of its users are.

Twitter allows users to attract potential customers in many different ways. From simple promoted Tweets, which appear in users’ timelines and can be targeted for specific goals as listed above, through to promoted trends and hashtags, which build mass awareness.

Don’t ignore the second biggest search engine in the world

Instantly recognisable. Visually striking. Home to more than 3 billion searches a month. Dwarfed only by Google.  This is YouTube, and you shouldn’t be ignoring such a large market share of potential buyers.

Try skippable, in-stream ads, which can be used for campaigns with brand awareness, leads and website traffic as goals. Why use them? Because if your video gets skipped, you don’t pay. It’s as simple as that.

YouTube also makes sure of cost-per-view (CPV) bidding, which means you’ll only pay for video views (over 30 seconds) or specific interactions, which could be CTA overlay clicks, or clicks on cards and companion banners. The benefit of this is that it boosts your campaign’s affordability, meaning you don’t need to have the world’s largest budget to execute effective campaigns.

Speak to one of our paid social media experts today

At Kagool, we offer a full paid social media service. Working across all major platforms. We’ll integrate this with your wider digital strategy, providing expertise and services from creative concept and design, through to testing, strategy and implementation.

To transform your business today, speak to one of our experts.

To transform your business today, speak to one of our experts.

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Paid social media – why paid social marketing is profitable for businesses