The 2020 Christmas sales season is very different here and brands need to adjust their standard advertising. It's no longer about the lowest rate on impressions (i.e., guaranteed CPMs or GRPs through preferred advertising contracts). Platforms continue to evolve to focus on ROAS and conversion-based buying models. This is why brands are looking to pay-for-performance models to limit risk by only paying for the actions a consumer takes.
In the past nine months, of course, consumers have taken a dramatic step towards online shopping as many of their favorite brick and mortar stores have closed or cut opening times due to COVID-19. Here are some tips to help you increase your advertising efforts and meet performance goals.
Trend: Consumers overwhelmingly support small and medium-sized businesses and show their support in unparalleled ways.
Third party providers– almost all of them are small and medium-sized companies – achieved sales of more than 3.5 billion US dollars on Amazon's Prime Days (in 19 countries) Increase of 60% compared to the previous yearand growing even faster than Amazon's retail business.
Remember: Support local businesses with your marketing message.
Look for ways to add value to entrepreneurs who may be struggling with COVID-related challenges. We have seen many advertisers who have done this successfully, especially when Ocean Spray saw a viral video with their product on TikTok and took advantage of it by giving the developer a shiny new truck full of branded products.
Opportunities like this are few and far between, but savvy advertisers can still benefit from trends that are relevant to brands and audiences. The latter is the most important component for advertising in today's market – regardless of whether the holiday season is around the corner or not. Brands need to send the right message to the right people at the right time.
Trend: Consumers start shopping earlier, resulting in a less focused period of online shopping.
54 percent of consumers said they would start holiday shopping earlier this year. Consumers are also likely to improve their online shopping habits from year to year, especially during Cyber 5 weekend. In fact, the majority of online shopping is weighted heavily sooner than you might think: 24% in October versus 28% in November.
Because of this increased demand, brands are facing a number of issues with retailers, including meeting deadlines. Smart brands are spreading their offers and promotions to address the problem. Walmart is introducing Black Friday Deals for Days in three phases beginning November 4th.
Remember: Evaluate your marketing dollars carefully to limit waste and maximize opportunities.
Bidable media during the holiday season comes with higher costs and a longer shopping season, which has forced retailers to be smart this year. With an earlier start, ad dollars must be targeted and limit waste by quickly eliminating poor performers.
While we can't dictate the pricing model on biddable media platforms like Facebook, we can evaluate opportunities by keeping an eye on our addressable audience. Brands must always be up to date with their target group without paying excessive costs because the competition is too high. Fourth quarter CPMs are rising historically, but ROAS can be very rewarding. If you find your CPMs are going up, check how your message is being received by the audience. Use A / B testing to make sure your message is relevant to your audience.
Trend: Consumers are spending more time online – streaming, shopping, gaming and advertisers are flooding the market with messaging, making it increasingly difficult to break through the clutter.
Gen Z demands more from advertisers in return for their loyalty. Snapchat recently released data in partnership with Kantar highlighting the importance of brands in building a relationship with them. The annual purchasing power of Gen Z in the United States is estimated at up to $ 323 billion. Researchers estimate that this spending power can increase more than fourfold when the impact of Gen Z on others in their household is taken into account. Gen Z views brands more as a form of expression and looks to their friends and family to tell them about new brands. Gen Z is also a demographic that demands more from their brands in order to gain their loyalty. As an advertiser, it's easy to see how complex your media habits are. Connecting with Gen Z is imperative for ecommerce brands.
Remember: Break the clutter of the final weeks of vacation shopping by focusing on the long tail with hyper-personalized ads.
AdParlor has invested in content automation and personalization to understand the pressures on advertisers and the best practices the algorithm uses to make your message more receptive to audiences.
Hill’s Pet Foods wanted to break the clutter during their largest one-day pet adoption event across the country. To do this, they used Creative Blueprints with AdParlor to create bespoke carousel ad units that are unique for each of the 45 participating animal shelters. Using Creative Blueprints on the AdParlor Media Strategic Purchase, Hill & # 39; s Pet Nutrition was able to help over 90,000 of our furry friends find a home!
Trend: consumers still love a good sale!
It is important to provide value to consumers. Whether it's dollar amounts or entertainment values, consumers are inundated with so much content throughout the day that an advertiser has to break through the noise.
Prime members around the world saved over $ 1.4 billion, secured deep discounts, and got their Christmas shopping kick started during Amazon's epic sales event. In fact, most of the shoppers focused on Prime Day deals as opposed to vacation deals that other major retailers took out during Prime week. 44% of shoppers said they were spending more this year than on Prime Day last July.
Remember: Extend the end of December holiday shopping by keeping the product offerings within the platform current and relevant.
Pay close attention to your brand's search trends and tailor your offers to your customers, focusing entirely on creativity. When promoting on TikTok, you need a more organic, user-generated feel for your ad motif. By leveraging dynamic themes, you can extend the usage of your ads and fix the latest update from Facebook. This will limit the ad volume across accounts.
If you are interested in taking your performance to the next level, let's chat. We are here to help!