Updated: Sep 21, 2021
Over the past month we have been fortunate enough to get to talk to numerous small businesses about their experiences running digital ads. Through these conversations we have heard some awesome stories and learned a ton about how small businesses use paid ads. We have also heard many questions about the intricacies of the ad process.
In this post, Ripl’s own Theo Walker, Program Manager and head of customer research, and Joe Zimmer, Director of Customer Acquisition & Growth, will outline some of the concerns small businesses have with ads and share some answers to our most frequently asked questions.
First up, let's get some insights from Theo.
What are some of the biggest concerns small businesses have with spending money on paid digital advertising?
Small business owners and operators have a lot on their plate when it comes to running a strong, profitable business. It can be difficult placing hard-earned money in the hands of Facebook (or other channels) with a chance that you may never see little to no return on investment.
What are some of the biggest challenges small businesses have in running paid digital advertising?
Small business owners/operators are typically not marketing experts and may not have the experience of a trained marketing professional. This can lead to general insecurity about how strong their advertisements might be.
Here are some of the more common concerns.
Will my advertisement get rejected?
Getting rejected on a channel like Facebook can be frustrating, but with a little bit of reading and help from products like Ripl, you can start creating ads with confidence
Am I advertising to the right audience?
Choosing your audience is all about understanding your customer. Keep an eye out for the types of people buying your products or services and go after those potential customers. Furthermore, begin to identify who you think would be interested but has not had the exposure to your business yet. Sometimes it’s better to not capture everyone at once!
Am I spending enough money? Am I spending too much money?
Budget is incredibly situational and it is difficult for anyone to tell you how much you should be spending. Any time you can increase reach in a calculated way, the more likely you are to grow your business.
Is it worth it?
Digital advertising is a great way to grow your business and can be valuable to all types of businesses. The best way to identify if your advertising spend is worth it is to choose 1 or 2 metrics that you want to measure and watch how they do. It is important to choose metrics that are directly correlated to the ads you are spending money on.
For example: If you are trying to sell more products online, track the number of page visitors are generated from your ad
If you are trying to increase brand awareness, track the number of impressions, views, or comments your ad gets.
How many small businesses are currently spending money on paid digital advertising?
According to Ripl’s digital advertising study that included 500+ small businesses, about 50% of small businesses are spending money on paid digital advertising. Of those, a strong majority of them intend to keep spending the same amount on digital advertising or more.
What are some trends we are seeing in small business paid advertising behavior?
Small businesses are increasingly acknowledging the value of paid advertising on social media channels. A majority of them intend to continue spending their current spend amounts if not increase it over the next 12 months. Furthermore, small businesses are valuing quality and effective content more than ever, creating a high expectation for advertising quality