Introduction to Advertising
1.Last-click attribution
A last-click attribution model is when the last or final touchpoint in the consumer’s journey is attributed as being the ultimate factor influencing the conversion of a lead to an actual buyer. The final touchpoint before a customer makes a purchase may be anything like a blog, web page, display banner, etc.
2. Multi-touch attribution
Also known as multi-channel attribution, this model seeks to analyze the contribution of the multiple touchpoints which the customer interacts with before making their purchase. The aim is to decipher which channels or campaigns contributed to the conversion process
3. Return on Investment (ROI)
It is a financial metric to understand the ratio between the net income (over some time) and investment. It evaluates the performance and profitability of the investment.
4. Market penetration
It measures the total volume of a product or service successfully sold compared to the estimated total value of the existing market of said product or service.
5. Maturity stage
The maturity stage in a product’s life cycle follows the growth stage. At this stage of maturity, the sales of the product or service level off, and companies may begin to reduce prices to stay competitive. Companies focus on differentiating their product from their competitors rather than creating awareness. This stage represents the height of the product’s adoption.
6. Market Saturation
It is a situation in which the sales volume of a product or service stagnates due to achieving maximum sales volume in a given market condition. No new customers can be added to the customer base as all potential customers have already undergone conversion to actual buyers
7. Customer value proposition (CVP)
A customer value proposition is a marketing statement that outlines why a customer should buy a company’s product or services instead of their competitor’s. It is a statement of the value a company will provide its customer in return for their payment for a product or service.
8. Click-through rate (CTR)
CTR is the ratio of clicks to impressions in advertising. It measures the number of users who click on an ad to the total number of people who view the page, advertisement, or email.
9. Call to action (CTA)
CTA is a marketing term that refers to a marketing tactic that encourages the audience to take immediate action that aligns with the advertiser’s campaign.
I bet you can not elude this!
1. Advertising is the best way to communicate with customers.
For any business, keeping an open channel for communication with their customers is vital to building and maintaining a relationship. Advertising bridges this gap between the business and its consumers. Companies can share and communicate any message with a large audience through multiple mediums and forms of advertising. Advertisers control the ad’s content and even target specific audiences through it. Ads serve the functions of educating, informing, and generating awareness regarding products, services, and brands. They are the best way to communicate with customers.
2. Advertising helps inform the customers about the brands available in the market and the variety of valuable products.
Advertisements contain informative content regarding the brands and their products and services available in the market. Advertising is the best way to inform and educate customers regarding the values and beliefs of brands, the products available in the market, and information about their features and uses. In a competitive market, sharing valuable content that the customers find relevant can establish the brand and its products in the market. It can help differentiate them from their competitors and increase their market share.
3. Advertising is for everybody, including kids, young and old.
Age is no bar to an audience in advertising. Ads can be for the general audience or tailored to a specific age group. The messaging of the advertising reflects the audience it wants to address. The objective of the brand and the subject determine who the ad is addressing. Today, everyone is a prospective customer, and the advertising industry recognizes this truth. Consequently, ads cater to members of all age groups.
4. Nowadays, the advent of modern technologies like mobile, marketing, etc., has made advertising much easier.
Advertising has adapted and adopted modern technologies to remain relevant. Technological innovations have always been advantageous to the growth of the advertising industry. Today, the Internet and new digital technologies contribute to making advertising easier. The reach and ubiquity of modern technologies like smartphones, laptops, etc., have given advertisers access to prospective customers at all times. The mediums and forms of advertising have exploded, providing advertisers with new formats and avenues to explore to communicate with the audience.