With technology and consumer behaviour changing daily not to mention the constant evolution in optimising the conversion rate, it’s becoming more about getting as many conversions within as few clicks as possible. With this evolution, many companies have grown to realise the importance of PPC campaigns across the Google and Bing networks and following industry research from Hanapin Marketing and review of PPC from 2015, we’re chatting about predictions for 2016.
I’ll put it out there and say we expect there to be an increase in spend for advertising campaigns via paid search. Back in 2014, only 10% of industry leaders said they would expand spending for PPC in 2015 - in reality this was closer to 70% and that year, 52% of the total online UK ad spend was on paid search. We expect this uptake in PPC to continue in 2016 alongside a growth in mobile ad spending.
From recent research conducted by Hanapin Marketing it was found the most popular ad type was text ads with 90% of advertisers saying these have proven to be the most effective ads for their business. It was also found remarketing ads were mentioned by 80% of the professionals asked (although these aren’t as effective for every business). Programmatic and native ads were selected by less than 50% of the professionals surveyed however these type of ads play an important role in assisting PPC campaigns and creating awareness and we expect these to be more popular in 2016.
- Native ads: a type of online advertising which matches the form and function of the platform. This can be an article or a video produced by the company with the intention to promote a product or specific service.
- Programmatic ads: the use of software to purchase digital advertising.
Digital Marketing in 2015
When it comes to brands and agencies, there will of course be discrepancies over the most important aspects of digital marketing however there are some similarities too. Both brands and agencies agreed and highlighted ‘conversion rate optimisation’ as the most important aspect of PPC - it’s not all about making people click the ad but following through and completing an action whether this is purchasing, downloading a document or making a call.
Throughout 2015, agencies understood the importance of having a presence across social networks and have given more importance to social advertising and social commerce and we expect this to become more popular with brands throughout 2016.
Digital Marketing in 2016
What do we expect to be popular throughout 2016 - video ads, programmatic advertising and smarter ads.
Video ads: video ads aren’t new to 2016, we saw these become really popular towards the end of 2015 however with AdWords integrating TrueView video campaigns into it’s interface we expect these to be used even more this year. It’s been suggested that pairing TrueView with TV is likely to increase ad recall by 23% as well as an 18% increase in brand awareness - so what are you waiting for!?
Programmatic ads: starting life as a solution for marketers to have more effective ad campaigns without spending lots of time managing them, the programmatic strategy has grown to be successful and with decisions made on big data, ads can now be shown to the audience most likely to convert. This is only expected to grow in 2016 and you can find out more about this in our last blog here.
Smarter ads:when it was first introduced it was all about using us the character limits and having a few alternative ads to get your message out there however with more and more extensions out there it’s becoming more about crafting the perfect message using all the features available to you. From structured snippets through to locations, calls, reviews and sitelinks, you can highlight key aspects of your business to differentiate from the competition.
Pssttt - you can read more about enhancing your ad with extensions here.
We’ve all seen it before where prediction are not accurate as there are changes every day but we expect these trends to be popular over the next few months.
Budgets will change
Advertisers expect to see an increase in the spend across multiple platforms and channels. Mobile is the platform which represents the highest increase on the budget just over Google AdWords. But it’s not all about AdWords. Across social networks, advertisers have predicted an ad budget increase as much as 67% on Facebook followed by a 39% increase on Twitter. Although the lowest, there is still expected to be a 32% increase in budget for ads on LinkedIn.
With Google, Bing, Facebook, Twitter and LinkedIn launching new features almost every day, both brands and agencies are aware of these new changes and the importance of placing their message in front of the right audience and achieving their marketing goals.
If you have a website or an ecommerce site and want to chat more about paid search, do not hesitate to drop us an email - 2016 can be a year of change for your company too.