Display advertising vs. affiliate marketing: which one is right for you?
It seems like there is a shiny, new digital advertising strategy each and every day now. There are a plethora of options for advertisers to choose from to promote their business and its products or services. Two of the most popular strategies are display advertising and affiliate marketing.
If you are not familiar with these terms, don’t worry, we are about to dive into display advertising and affiliate marketing, compare and contrast the advantages, and see if we can identify the better strategy depending on your situation.
Also known as banner advertising, display advertising is a form of digital marketing that incorporates visual elements, such as videos and animations, to promote services and products. These ads are highly versatile and can be displayed on various websites, as well as social media platforms, and other digital channels.
The primary goal of display advertising is to increase brand awareness, drive traffic to a particular website, and, ultimately, generate sales. Like most paid ads nowadays, display ads can target specific groups based on their demographics, interests, and behaviors.
Pros of display advertising:
Display ads are visually appealing, and eye-catching, making them more likely to capture a website visitor’s attention.
Display ads are versatile and available on many different digital channels. This allows display ads to reach wider audiences.
Reaching and converting potential customers is easier thanks to the ability to target specific groups with your display ads. Interests, demographics, and behaviors are all groupings with which we can target specific audiences.
Display ads provide advertisers with valuable metrics, such as impressions, clicks, and conversions, which allow businesses to accurately measure the success of their digital campaigns.
Turning our attention to the other form of marketing we are focusing on, affiliate marketing is a performance-based marketing strategy that rewards affiliate individuals or businesses for promoting a business’s services or products. Affiliates can promote services or products on their websites, on their social channels, or through other forms of media.
The affiliate earns a commission of sorts whenever a customer clicks on the affiliate’s link and completes a purchase. Usually, the commission will be an agreed-upon percentage of the sale price.
The primary goal of affiliate marketing is to increase sales and generate revenue via affiliates who promote the designated products or services.
Pros of affiliate marketing:
Affiliate marketing is one of the most low-risk strategies for businesses because they only have to pay the commission when they close a sale.
An affiliate’s specific audience can be targeted specifically, taking advantage of its unique position and increasing the likelihood of reaching potential customers. Advertisers can also look to engage with particular affiliates based on that person or business’s own audience.
Just as it is low risk, affiliate marketing is cost-effective thanks to the fact that commissions are only paid out on completed sales.
Affiliate marketing helps businesses build strong relationships with affiliates. This allows for the development of reliable partnerships with the affiliate becoming a brand ambassador before too long.
Display advertising vs. affiliate marketing
As we’ve seen, display advertising and affiliate marketing each have their strengths. Needless to say, the best strategy for any business depends on that business’s goals, target audience, and budget.
Display advertising is a wide-reaching strategy that is measurable, but is also prone to passivity and subject to ad blindness and competition.
Display advertising is a broad-reaching strategy that can increase brand awareness and reach a wide audience. It is also measurable, allowing businesses to track their success and optimize their campaigns. However, it can be passive and subject to ad blindness and competition.
Affiliate marketing is a cost-effective targeted strategy that reaches specific audiences with ease, but faces issues of its own.
inSegment delivers a well-rounded paid campaign
Both display advertising and affiliate marketing can be lucrative when run correctly, but the best solution is to run these strategies in tandem. This may seem daunting, but with the right help, it can be done repeatedly.
inSegment boasts an experienced team of paid advertising specialists with the skills required to conceive, craft, and execute premier campaigns that include display advertising and affiliate marketing.
Contact inSegment today to find out how to maximize your digital returns.