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    Home > News > Digital Marketing - Performance-Based Ads In The Broadcast Space

17^th Jan 2012 | Author: Maria Appleton

Digital Marketing - Performance-Based Ads In The Broadcast Space

One of the main benefits of using performance-based offline ads as part of an integrated digital marketing strategy is that you get a fixed direct return on your investment. This happens because you get to set the payouts. In addition, digital marketing specialists can also gain some of the same cross-channel value, which is conventionally delivered by offline media. For example, if your performance-based television campaign is a success, it will drive direct website traffic, search engine queries and social media activity, as well as responses to newspaper, radio and direct mail ads.

The broadcast arena (television and radio) is the space where digital marketing professionals can make the best use of performance-based advertising deals. According to various digital marketing statistics, companies can expect to see an increase of between 20-30 percent in web traffic, once a performance-based TV commercial campaign starts running at top speed.

Likewise, performance-based radio spots are also known to drive traffic to levels that are much higher than previously specified metrics. In fact, for some radio campaigns, for every lead generated through phone, there are six leads coming from the website. As marketers generally have to negotiate for payouts only on phone activity, the leads coming from web activity are actually ‘free’!

Then again, not all offline performance-based advertising channels have the same impact. In the print media, declining readership rates (especially in newspapers) means that performance-ads need to be placed for 6-12 months, before they can generate a meaningful level of volume. As performance-based ads in the print media also have very limited cross-channel impact, it is important for digital marketing professionals to set payouts at a level from where a positive ROI is expected.

Of course, traditional ad buying allows digital marketing specialists to control frequency and reach, better than performance-based advertising. However, for a large number of digital marketing experts, this is not as valuable as shifting the risk to the media provider. Performance-based ads have limits, and this is especially true about television (short form spots). As many leading brands have been buying ad inventory on TV for the past few quarters, it has become very hard to come by performance-based deals.

On the other hand, radio can be a great channel for performance-based ads. According to a study by Arbitron, the number of radio listeners has risen over the past few years, providing a large number of stations for placing advertisements.

Qudos Digital is a leading digital marketing consultancy, and can be contacted on 0845 388 5583 or info@qudosdigital.co.uk.

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