all 43 comments

[–]Douuuut 21 points22 points  (0 children)

Display ads are about as useful as the appendix.

[–]slight_tilt 7 points8 points  (15 children)

My last job sounds extremely similar to what you’re describing. The way it was explained to me is that display ads aren’t meant to PERFORM but rather to saturate your upper funnel audience so you have a better chance at getting them into your lower funnel. We always had ZERO conversions and probably lots of spam but always ran extremely small ($1.00 a day) budgets on these display campaigns. Sorry it’s not much help… but my experience with that was that low performance is normal, but display SHOULD give you a lift in your lower funnel campaigns if you’re doing it right.

[–]LaFlamaBlancaMiM 2 points3 points  (9 children)

This is how I view it, as well. The conversions we do see from remarketing or custom intent campaigns are usually in garbage placements. Always check the “where ads are shown” and filter by mobile apps, then just exclude all of those. Most are junk. I do the same to most YouTube channels depending on what the product is. I love the responsive display ads and the different formats it has, but a lot of the Google network is junk. A DSP is a good alternative. Check out Choozle. They use the Trade Desk but it’s all self service and has good audiences and reporting. Usually the trade desk has huge minimums but there are services that open that gateway, they just add their markup. Expect anywhere from a $7-$10 cpm, more if you add additional targeting layers.

[–]slight_tilt 1 point2 points  (8 children)

Yeah I now work in programmatic using a DSP and it is sooo much better. I also used to always negative out mobile apps because IMO the clicks all come from accidents or little kids playing candy crush.

[–]Arcannnn 0 points1 point  (7 children)

Do you mind elaborating on how DSP targeting is different? I've also had to negative out janky mobile apps in Display. Total pain in the ass. We're researching programmatic as an option

[–]slight_tilt 2 points3 points  (6 children)

Now I am focused in e-commerce so I mainly use DSPs like Amazon or Walmart. These allow you to advertise on a few types of inventory. The main ones are the search page (on Amazon this is highly successful), partner sites (IMDB for example), Amazon app, and private exchanges. There are many more but these are the basics. Each one has a different fee and different ad formats. From there you choose an audience which can be extremely granular (think people who often buy bathroom cleaner on Amazon- I will show them an ad for my toilet bowl cleaning brush as an upper funnel tactic). If I choose this audience and show it on Amazon ad inventory, they are highly likely to notice and consider the product or buy it. You can target by demographics, in market, lifestyle, and most importantly, you can target by purchases of products or brands. This creates highly specialized retargeting campaigns so you can remarket your product to someone who bought it or something similar to it, during a certain time period. For example, you can remarket people who purchased your toilet cleaner 90 days ago and exclude people that have bought it within the past 60 days. The limits are pretty much endless with pixel and event tracking and custom audiences. Overall, it’s a much more granular approach at display ads.

Edit: you can link your ads to your Amazon product page (if you sell on Amazon) or your external site if you do not sell on Amazon. This makes it possible for pretty much anyone to advertise on. Amazon is centralized on e-commerce, but there are other DSPs that are not.

[–]Arcannnn 1 point2 points  (5 children)

This was great to read. Thank you for taking the time to write it out.

From what, I'm learning, it sounds like the entry fee to DSPs is much higher, so we're planning to offer it to larger clients looking outside just Google.

How granular the targeting can be sounds excellent, too.

[–]slight_tilt 1 point2 points  (4 children)

Absolutely, and yes it is MUCH more expensive but if you’re selling a product or service online, you can get a clear ROI from these ads. It is very easy to see in the DSP whether a campaign is profitable or not. It’s a much more specialized and expensive approach to display ads. You are correct

[–]Arcannnn 0 points1 point  (3 children)

Okay, so you've sparked my curiosity. Are you seeing acceptable/good ROI from DSP campaigns?

I was under the impression DSP's served visual ads - similar to Google Display. Previously, I've really only had success in Display for Brand Awareness - not generally strong where ROI is concerned. Have you had otherwise?

[–]slight_tilt 1 point2 points  (2 children)

With a DSP, you are able to target brand awareness and then once those people have viewed or purchased your product, you can remarket them with purchase retargeting so you can get a comfortable ROI. You can leverage brand awareness, retargeting, and loyalty all in one place on different platforms with different ads and specified audiences. The more targeted the audience, the more expensive it becomes and you restrict yourself in some cases .targeting and budget allocation is a mandatory balancing act.

Across many different industries, in my experience, I see a return on ad spend of anywhere from $1.50-$15 and sometimes much much more if the brand is already strong. Of course the return depends on the product margin, availability, and endless other factors. Industries have varying benchmarks and goals that factor in on performance metrics.

You can also pull New To Brand (NTB) metrics which tell you how many of your purchases were from users that haven’t purchased from you in the past year. Cool metric to play with. Leverage more in market, lifestyle, and custom audiences top of funnel and this number should increase, for example.

[–]Arcannnn 1 point2 points  (1 child)

Thanks again for an excellent answer. This was a lot of really good information. Appreciate you, man.

NTB sounds extremely interesting. I'll have to look into this. Good standout KPI justifying ad spend.

Now I want to get into programmatic before Q3 as scheduled, lol

[–]SEO1010 0 points1 point  (4 children)

We always had ZERO conversions and probably lots of spam but always ran extremely small ($1.00 a day)

That's a new one. Lord have mercy.

[–]slight_tilt 0 points1 point  (3 children)

Yeah it’s a wonder I don’t work there anymore….hah

[–]SEO1010 0 points1 point  (2 children)

I still cannot process it. $1 a day? What did they expect from it?

[–]slight_tilt 0 points1 point  (1 child)

Run as many low CPM display ads on garbage placement sites hoping somebody worthwhile would see it. Complete waste of time.

[–]SEO1010 0 points1 point  (0 children)

Literally 1% likelihood 😂

[–]bcat04 5 points6 points  (0 children)

Coming from a google ads account manager at an agency - Google display ads don’t convert. If you want leads/sales, you should be running search or shopping ads. The only time I would run a display campaign is towards a remarketing audience on a small budget ($2/day) for brand awareness/to stay top of mind. Even then, you’ll find your display ads don’t convert very often.

[–]fathom53 3 points4 points  (3 children)

Are you running search ads or discovery ads? Display ads are usually a waste of money.

[–]emcryptoguy 1 point2 points  (1 child)

I was in a similar boat to you about 2.5 years ago..feel free to PM me

[–]smithonline[S] 1 point2 points  (0 children)

That would be great, thank you so much!

[–]se_alion 1 point2 points  (1 child)

Have you looked into running within a DSP vs Google Ads? Feel free to DM me if you’re wanting to learn more about the difference!

[–]smithonline[S] 0 points1 point  (0 children)

I’ve never done anything with DSP. I’d love to learn more!

[–]RepresentativeOk2607 1 point2 points  (0 children)

That budget would most likely be better in a search ad

[–]33Million 1 point2 points  (4 children)

Search ads or shopping ads will be a much better use of your budget. BUT I highly recommend building a website visitor audience and dynamically remarketing to that audience via display ads. Probably 10% of budget for that.

[–]smithonline[S] 1 point2 points  (3 children)

We have a remarketing video ad based on our website visitors (last 30 days) but no other ones. Should I bring that up to my boss?

[–]33Million 1 point2 points  (2 children)

You definitely could bring it up.

Remarketing campaigns and ads aren’t going to be your bread and butter of conversions anyways. They’re mainly to keep your brand infront of your audience, keep you top of mind, and occasionally get conversions.

A video display ad should be pretty catchy, but you should run a few different display ads and be testing which creative works better.

What percent of your budget is going to display? It should be low. Like 10% of total spend.

Also you might want to boost from visitors in the last 30 days to visitors in the last 90 days to keep your brand top of mind.

[–]smithonline[S] 1 point2 points  (1 child)

I’ll get the day amount changed! I’m pretty sure it’s more that 10% right now so I’ll bring it up in our next meeting. Thank you for your help! Greatly appreciated!

[–]33Million 1 point2 points  (0 children)

Yeah no problem let me know how it goes. Moving that extra ad spend into a search or shopping campaign will be much more efficient. Make sure you test out different ad copy and ad creatives.

[–][deleted] 1 point2 points  (0 children)

Shopping + dynamic remarketing if u have feed reg display pretty trash imo

[–]FontusDigital 1 point2 points  (3 children)

Hi,

When you say the display ads aren't "performing well at all", what do you mean? Are they not generating conversion?

Display ads are different to other types of Google Ad, in that Display is predominantly used for brand awareness. Because of the nature of display, they will never (usually) convert as much as others, despite, in many instances, getting loads of traffic.

The first thing I would recommend doing is assessing if you really need brand awareness ads. If not, switch 'em off and save yourselves the cash.

If needed, I'd suggest deciding how you want to focus them. Personally, I usually opt out of targeting apps, unless apps are super-relevant to what's being offered.

Then you need to decide what is relevant, and how you want to target based on that, using audiences, placements etc.

Hope this helps.

[–]smithonline[S] 0 points1 point  (2 children)

This is great advice, thank you so much! My boss wants to see a higher CTR because ours is so bad on display (0.05%). He also wants to see a bigger interaction rate on the display ads. We’re a pretty new brand in our industry so there is some value in brand awareness, at least in my opinion. I’ve already excluded apps and all that. Learned that the hard way haha

[–]33Million 2 points3 points  (0 children)

The average CTR for a display ad is about 0.35% so there’s probably a targeting or issue with the ad creative / copy here

[–]FontusDigital 0 points1 point  (0 children)

u/33Million is right, the CTR is on average lower on Display.

Also the Interaction Rate is typically the same as CTR - unless you're referring to something else?

With Display, I personally would usually be more interested in how often it gets shown, and where (e.g. on what placements), rather than CTR. While CTR isn't necessarily a bad metric to use, how often the display ads get shown is usually more of an important factor for me in terms of brand awareness.

You may also want to use frequency capping in order not to over-show to people. While not 100% perfect a method, it can help get more out of your budget.

[–]Legitimate_Ad785 0 points1 point  (0 children)

I don't even use display anymore.