Are paid ads still effective for start-ups?

4 Minutes Read

Picture this: a brand new start-up is eager to enter the market when they realize they have no idea what marketing strategies they should implement. Their brains are swarming with questions such as whether to use social media to promote their brand, if their website is SEO-friendly or not, and whether paid ads are still effective for start-ups. While we might not be able to solve all of the world's problems in one blog (though we wish we could), we're here to answer questions regarding digital advertising.

This blog will act as a guide to know what paid ads are, if they're effective for start-ups, and how start-ups can create the perfect small business paid ads strategy. Let's dive in!

What are paid ads?

When implementing a small business paid ads strategy as part of digital marketing efforts, it's important to know what paid ads are in the first place. In short, companies will start a bidding auction to determine which ads appear on the first page of search engines. The top links that show up during a google search are the ads that outbid the others for the prime spots.

Online advertising can take a variety of forms on digital platforms from ads on social media sites to Google Ads and even display ads. No matter what type of paid search ads are created, they all have the same purpose: gaining exposure for brands and attracting new customers. Here's a closer look at the different types of paid advertisements:

Social media ads - Social media advertising is HUGE nowadays. Social media platforms such as Instagram, Facebook, Twitter, and LinkedIn offer paid advertising options to utilize in order to boost exposure and followers alike.

Search ads - These ads are very popular within the Google Ads platform, where businesses can build their own ads to show up on search engines. Search ads are a popular form of search engine marketing and they traditionally show up when a user searches certain keywords. For example, when searching "puppies near me", it's likely that search ads for local animal shelters and puppy breeders will show up.

Display ads - Display ads typically take the form of banner ads on website pages. They are similar to search ads, but they'll usually appear on websites themselves rather than just the search engine. Display ads offer a more visual way to appeal to certain target users.

Pay-Per-Click Ads (PPC Ads) - With a PPC campaign, the advertisers will pay a fee each time their ad is clicked. Typically, these ads will offer "more for your dollar" because there's often a larger ROI based on how much money is brought in per click. They are also very focused which is perfect to increase brand awareness within a target audience.

To add to the list, there's also TV ads and radio ads, both of which could be considered when choosing what type of paid advertising to pursue. No matter what form of ads are incorporated into a content marketing strategy, it's important to do some research first to determine which is best for specific businesses. After all, not every type of ad is beneficial for all businesses. 

Are paid ads effective for start-ups?

Developing a small business paid ads strategy is definitely a good idea for new business. In the early stages of a start-up, once the target audience is established, creating paid ads has the potential to increase the visibility potential customers have on the brand. Plus, doing research will save a lot of time so that things are done right the first time around.

Here are some reasons why paid ads are effective for small businesses and startups:

Increased brand awareness - In the early days of a start-up, any opportunity to build brand awareness is great. Creating ads for a business can lead to increased reach, thereby boosting brand awareness. Any opportunity to build brand awareness in a positive way is worth it and ads certainly make this possible.

More quality leads - Utilizing paid ads can increase the number of leads a company receives. Focused ads allow businesses to place their brand in front of the target audience and potential customers to increase the chances that they become leads. More leads can also lead to more sales as well.

Boosted sales & ROI - When more people in a target audience find out about the brand, the more likely they are to purchase from it. Utilizing paid ads can get start-up brands out there so that the target audience is able to identify them and start purchasing. If done right, utilizing ads can be an effective strategy to boost sales and ROI.

How to start paid ads for a start-up 

When looking into how to start paid ads for a business, there are some best practices to keep in mind:

Do some research - Let's face it, who an ad shows up in front of matters. If time and effort are spent crafting a paid ad, people that make up the target audience should be the ones to see it. Doing research is a good way to find out what competitors are doing and might provide some insight into which types of ads provide the highest conversion rate as well as what keywords should be used.

Have a catchy call to action (CTA) - The best way to ensure people will click on an ad is by creating a call to action. A CTA leads an audience to behave a certain way. In this case, the desired behavior is making a purchase. Some popular call to actions include guiding people to a website link or a landing page form as steps to get them to make the purchase.

Connect to a landing page - One of the best things that paid ads are good for is generating leads. In order to get leads, it's necessary to have a landing page that potential customers can be directed towards so that their contact information can be collected. The goal is to attract people and get them to purchase from the business.

Look at analytics - Once ads are running, it's important to monitor their performance. No matter what platform is being used, an analytical report of all ad insights and detailed data is available. Google Analytics is a popular platform to look into for these analytical reports.

Remember, it's all up to the advertiser of the start-up to determine what platforms are most effective when building a small business paid ads strategy.


To get started with paid ads, set up a discovery call with us today.

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Stephanie Milne

Stephanie is a digital marketer passionate about storytelling and content creation.