Post by sumiseo558899 on Nov 3, 2024 16:32:34 GMT -12
Earlier this year, digital agency E-promo released an analytical report for 2019 and the first half of 2020 on trends in paid search advertising. The study was conducted across several industries: FMCG, finance, e-commerce, real estate, auto and pharma. The main trends include the growing influence of brand awareness, the complexity of attribution models and the use of first party data. To find out how these trends are changing in the context of the coronavirus pandemic, we spoke with Anton Chernotalov, CEO of E-Promo.
According to Chernotalov, the
content writing service industries studied are at different levels of digitalization. This concerns the calculation of the economic efficiency of investments in marketing, conversion attribution, process automation, and much more. In this regard, e-commerce and finance can be called advanced, while FMCG and pharma are lagging behind. The auto industry and real estate are in the middle.
The influence of the brandformance approach
Despite the differences in digital development, the study has common trends for all industries, such as increasing the effectiveness of the brandformance approach. The influence of brand awareness on ROAS (return on ad spend) has grown significantly. In the financial industry, the difference in ROAS for similar bank offers with different levels of awareness exceeded 2.4 times. The same trend is in real estate, especially in the premium segment.
Digitalization of contact with customers
During the coronavirus pandemic, consumers began to shop more online, and this has accelerated the trend towards digitalization of customer communications.
To increase sales, you need to pay attention to the quality of online services and digital materials .
According to Google , 85% of new car buyers in 2019 visited the manufacturer's website. 46% bought a car that they assembled in a configurator - for the premium segment, the figure was 62%.
Increasing number of marketplaces
Marketplaces are gaining more and more weight in the market. Their influence is growing not only in e-commerce, where large online platforms are pulling traffic from search engines, but also in other areas: real estate, finance and auto. According to Accenture, 88% of banks are thinking about creating partner ecosystems or marketplaces for non-financial services (auto, real estate or insurance). Marketplaces and listings are also playing an increasingly important role in choosing and comparing real estate.
The Importance of a Mobile First Approach
To stand out from the competition, it is also important for advertisers to optimize their sites for mobile search results, especially in industries where the share of search queries from smartphones is higher than from PCs. According to Mediascope , 35% of the Internet audience in Russia accesses the network only from smartphones. More than 50% use the Internet from both desktop and mobile.
68% of search queries in the financial sector come from mobile devices. According to Google , this type of traffic is becoming the main driver of growth in queries and applications in the industry. In e-commerce, the number of orders from mobile devices has increased — in 2019, there were 53% compared to 39% in 2018 ( Yandex GFK ).
The growth of online commerce
In 2019, online sales in e-commerce amounted to 4% of total retail sales. According to PWC forecasts , this figure will grow to 6% by 2023. The pharmaceutical industry is also changing : thanks to the adoption of the bill, over-the-counter drugs can now be purchased online. Most likely, the number of online pharmacies and specialized marketplaces will increase on the market.
Online trading in FMCG has become the main driver of the market: from 2018 to 2019, it showed growth of 43% .
The grocery delivery sector has doubled its revenue year-over-year and continues to grow.
Sales of expensive objects — cars and real estate — are also moving online. In January, PIK and Sberbank launched an online apartment payment service. According to E -Promo research, this will help make the real estate market more digital and reduce the importance of intermediaries.
Implementation of end-to-end analytics and process automation
End-to-end analytics helps to evaluate the impact of marketing on business indicators. It collects information from advertising and analytical systems, CRM, call tracking and other databases to visualize them. With the help of reports, you can optimize campaigns to achieve business goals. In e-commerce, the implementation of end-to-end analytics allows you to increase ROAS by an average of 23%.
To maintain marketing effectiveness while reducing advertising budgets, it is worth automating processes.
With a data-driven approach and bid management systems, you can free up time for strategic tasks, such as differentiating your USP from your competitors.
Changing USP in real time
Advertisers with high digital maturity monitor competitors’ advertising messages more closely and adapt their own in real time. When looking at less mature industries, the difference in USPs of different brands is not so noticeable. According to the results of the E-Promo study, adjusting advertising tactics, rates and quickly reacting to competitors’ actions help increase ROAS by 60%.
Personalization and use of first party data
Information about the habits and preferences of customers helps to better meet their expectations and optimize processes. It is especially important to use first-party data — through this data, deep segmentation of CRM data, audience portraits, and user behavior patterns are available. According to a study by Salesforce & Publicis Sapient , personalization affects 68% of e-commerce revenue.
No matter how each industry changes, it is important to understand that change is inevitable and that strategy must be changed quickly.
Use end-to-end analytics, automate routine operations in advertising accounts, apply the data obtained, optimize your site for mobile devices. If possible, think about creating your own marketplace or ecosystem. The greater the digital maturity of your company, the higher its competitiveness in the market.
According to Chernotalov, the
content writing service industries studied are at different levels of digitalization. This concerns the calculation of the economic efficiency of investments in marketing, conversion attribution, process automation, and much more. In this regard, e-commerce and finance can be called advanced, while FMCG and pharma are lagging behind. The auto industry and real estate are in the middle.
The influence of the brandformance approach
Despite the differences in digital development, the study has common trends for all industries, such as increasing the effectiveness of the brandformance approach. The influence of brand awareness on ROAS (return on ad spend) has grown significantly. In the financial industry, the difference in ROAS for similar bank offers with different levels of awareness exceeded 2.4 times. The same trend is in real estate, especially in the premium segment.
Digitalization of contact with customers
During the coronavirus pandemic, consumers began to shop more online, and this has accelerated the trend towards digitalization of customer communications.
To increase sales, you need to pay attention to the quality of online services and digital materials .
According to Google , 85% of new car buyers in 2019 visited the manufacturer's website. 46% bought a car that they assembled in a configurator - for the premium segment, the figure was 62%.
Increasing number of marketplaces
Marketplaces are gaining more and more weight in the market. Their influence is growing not only in e-commerce, where large online platforms are pulling traffic from search engines, but also in other areas: real estate, finance and auto. According to Accenture, 88% of banks are thinking about creating partner ecosystems or marketplaces for non-financial services (auto, real estate or insurance). Marketplaces and listings are also playing an increasingly important role in choosing and comparing real estate.
The Importance of a Mobile First Approach
To stand out from the competition, it is also important for advertisers to optimize their sites for mobile search results, especially in industries where the share of search queries from smartphones is higher than from PCs. According to Mediascope , 35% of the Internet audience in Russia accesses the network only from smartphones. More than 50% use the Internet from both desktop and mobile.
68% of search queries in the financial sector come from mobile devices. According to Google , this type of traffic is becoming the main driver of growth in queries and applications in the industry. In e-commerce, the number of orders from mobile devices has increased — in 2019, there were 53% compared to 39% in 2018 ( Yandex GFK ).
The growth of online commerce
In 2019, online sales in e-commerce amounted to 4% of total retail sales. According to PWC forecasts , this figure will grow to 6% by 2023. The pharmaceutical industry is also changing : thanks to the adoption of the bill, over-the-counter drugs can now be purchased online. Most likely, the number of online pharmacies and specialized marketplaces will increase on the market.
Online trading in FMCG has become the main driver of the market: from 2018 to 2019, it showed growth of 43% .
The grocery delivery sector has doubled its revenue year-over-year and continues to grow.
Sales of expensive objects — cars and real estate — are also moving online. In January, PIK and Sberbank launched an online apartment payment service. According to E -Promo research, this will help make the real estate market more digital and reduce the importance of intermediaries.
Implementation of end-to-end analytics and process automation
End-to-end analytics helps to evaluate the impact of marketing on business indicators. It collects information from advertising and analytical systems, CRM, call tracking and other databases to visualize them. With the help of reports, you can optimize campaigns to achieve business goals. In e-commerce, the implementation of end-to-end analytics allows you to increase ROAS by an average of 23%.
To maintain marketing effectiveness while reducing advertising budgets, it is worth automating processes.
With a data-driven approach and bid management systems, you can free up time for strategic tasks, such as differentiating your USP from your competitors.
Changing USP in real time
Advertisers with high digital maturity monitor competitors’ advertising messages more closely and adapt their own in real time. When looking at less mature industries, the difference in USPs of different brands is not so noticeable. According to the results of the E-Promo study, adjusting advertising tactics, rates and quickly reacting to competitors’ actions help increase ROAS by 60%.
Personalization and use of first party data
Information about the habits and preferences of customers helps to better meet their expectations and optimize processes. It is especially important to use first-party data — through this data, deep segmentation of CRM data, audience portraits, and user behavior patterns are available. According to a study by Salesforce & Publicis Sapient , personalization affects 68% of e-commerce revenue.
No matter how each industry changes, it is important to understand that change is inevitable and that strategy must be changed quickly.
Use end-to-end analytics, automate routine operations in advertising accounts, apply the data obtained, optimize your site for mobile devices. If possible, think about creating your own marketplace or ecosystem. The greater the digital maturity of your company, the higher its competitiveness in the market.