Social advertising really is a game-changer for SMBs

BANGALORE, INDIA: "Social advertising really is a game-changer, especially for SMBs , because they can capitalize on the reach of these networks and drive a significant number of clicks for the budget," says Tom Edwards, vice president of digital strategy with The Marketing Arm, a promotions agency in Dallas, Texas.

Another significant advantage is the amount of detailed information freely available on prospects. "Facebook knows so much more about us than Google, it's not even funny," says Jay Baer, a social media marketing consultant based in Bloomington, Indiana. "Facebook is the biggest online advertising platform in the world."

If you're already using Twitter and Facebook, why spend money on advertising? "If you have a new page, are launching a new product, or running a special promotion, that's a great time to do an ad as an initial slingshot," Baer suggests. Do a two-week trial, and see what happens.

Which sites are best

The sites with the most eyeballs and strongest ad platforms include Facebook, LinkedIn, YouTube and Twitter.

How does it work?

As with other online ads, social advertising gives buyers a choice in payment: cost per click (CPC) or cost per impression (CPM). The latter means you pay a set amount for your ad to be seen a thousand times, and it's ideal for campaigns focusing on brand awareness, says Edwards.

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For CPC ads, it's easy to set the criteria for targeting, and you can define a narrow audience.

Social ad copy needs to be freshened more often than other online ads, since active users visit the site at least daily. Ads also need compelling images and clear direction, such as "'learn more,' 'click here,' 'like this,'" Edwards says. Finally, it's critical to test concepts to determine what works.

{#PageBreak#}Getting outside help

Testing ads is what almost put Bill D'Alessandro, co-founder and CEO of Denver-based skin care company KP Elements, over the edge.

After venturing into Facebook ads with a goal of targeting a narrow audience, D'Alessandro went back to Trada for help. "You could test 100 different combinations of headlines and body text to figure out which ones make the right people click on your ad," he says. "Facebook is much more complicated, because you're adding an image. Now I have six or seven optimizers working on my campaign." The service doesn't cost KP Elements a dime -- if Trada cuts costs by decreasing the CPA, then it gets a cut of the savings -- making it  a win-win model for both parties.

Social advertising is still largely unproven, and there's more risk in advertising on sites where people just want to network or chat with friends. "I learned that people aren't always in a buying mind-set," D'Alessandro remarks. Yet with Facebook and Twitter now counting 800 million and 200 million users, respectively -- and LinkedIn at 135 million members -- this is an audience you can't easily ignore.

Source: www.entrepreneur.com