Time to clear up a confusion I have seen lately around the terms Campaign and Ads.
A lot of people do not understand they are two different things. This is a follow-up post to this post:
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SEM (Search Engine Marketing) in more detail
Are you struggling to make your online ads stand out and drive the results you need? If so, then you need to improve your SEM.
Campaign
Definition: A campaign is goal-oriented. It’s your overall plan to achieve a specific marketing objective, like increasing website traffic, generating leads, or boosting sales.
Ad Formats
Definition: Ads are the different types of advertising you use to reach that goal. They can be text ads, image ads, video ads, etc.
Why am I stating this?
Because when engaging in Search Engine Marketing (SEM), you are essentially setting costs for both the campaign and the ads, but in different contexts and I feel this needs to be clarified.
Paying for the Campaign:
- Overall Budget: You set a budget for your entire campaign. This is the total amount you are willing to spend to achieve your marketing goal. This budget is spread across all the ads within that campaign.
- Campaign Management: Some of your investment goes into managing and optimizing the campaign, such as setting up targeting options, choosing the right keywords, and adjusting bids.
Paying for the Ad:
- Cost-Per-Click (CPC): Often, you pay each time someone clicks on your ad. This is common for text ads in search campaigns.
- Cost-Per-Impression (CPM): Sometimes, you pay based on the number of times your ad is shown (impressions). This is more common for display ads.
- Cost-Per-View (CPV): For video ads, you might pay each time someone views your video.
- Cost-Per-Action (CPA): In some cases, you pay only when a specific action is taken, such as making a purchase or filling out a form.
Facebook Example For a Bakery selling Cupcakes
Campaign
- Goal: Increase sales of your new line of cupcakes.
- Campaign: “Cupcake Sales Campaign” on Facebook.
- Budget: $500 for one month.
- Campaign Budget:
- You set a total budget of $500 for the entire “Cupcake Sales Campaign.”
Ads
- Types of Ads: (Here three types were picked)
- Image Ads: Photos of your cupcakes with a “Buy Now” button.
- Video Ads: A short video showing how your cupcakes are made, with a “Learn More” button.
- Carousel Ads: A series of images showcasing different cupcake flavors, allowing users to swipe through.
- Ad Costs (Example Breakdown):
- Image Ads:
- Cost-Per-Click (CPC): $0.50 per click.
- Example: If 200 people click on the “Buy Now” button, you pay 200 x $0.50 = $100.
- Video Ads:
- Cost-Per-View (CPV): $0.10 per view.
- Example: If 1,000 people watch your video, you pay 1,000 x $0.10 = $100.
- Carousel Ads:
- Cost-Per-Click (CPC): $0.40 per click.
- Example: If 500 people swipe through and click on a product, you pay 500 x $0.40 = $200.
- Image Ads:
Total Costs Breakdown
- Image Ads: 200 clicks x $0.50 = $100
- Video Ads: 1,000 views x $0.10 = $100
- Carousel Ads: 500 clicks x $0.40 = $200
Total Spent: $400
- Remaining Budget: $500 – $400 = $100
Summary
- Campaign: Your “Cupcake Sales Campaign” is the goal-oriented plan with a $500 budget.
- Ads: You have different types of ads (image, video, carousel).
- Costs:
- Image Ads: $0.50 per click, total $100 for 200 clicks.
- Video Ads: $0.10 per view, total $100 for 1,000 views.
- Carousel Ads: $0.40 per click, total $200 for 500 clicks.
- Total Spent: $400 out of the $500 budget, leaving $100 remaining.
That is just the Campaign itself with its ads, do not forget when budgeting, to add your Marketer’s cost as well.
Marketer’s Cost
That is just the Campaign itself with its ads, do not forget when budgeting, to add your Marketer’s cost as well.
Cost: The marketer charges a flat fee ranging from $200 limited services – $1000 per High in-depth services for setting up and managing the campaign for one month.
What is usually included in that cost? A digital marketer managing an SEM campaign is responsible for:
- Planning the campaign goals and budget.
- Researching and selecting effective keywords.
- Creating engaging ads.
- Setting up the campaign on various platforms.
- Managing bids and budgets.
- Monitoring and optimizing performance.
- Reporting on results and making strategic recommendations.
By handling these tasks, the marketer ensures that the campaign runs smoothly, reaches the right audience, and achieves its marketing objectives efficiently.
SEM for Freelancers and Very small companies
I talked about Campaign and Ads but I understand very small companies and freelancers are on very tight budgets. So how can they advertise?
In venturing into campaigns and advertising, managing a tight budget and overcoming the fear of wasted spendings is crucial. Start by setting a modest daily budget to keep costs under control and avoid overspending. Leverage automated bidding strategies like target CPA (cost per acquisition or action) to ensure you’re only paying for valuable actions, such as new client inquiries or sign-ups. This approach minimizes risk and maximizes the impact of your limited funds. By carefully planning your budget and using automated tools to optimize your ads, you can confidently invest in SEM without fear of losing money, allowing you to grow your freelance business effectively.
Example: Start small with a limited budget, you can start with a $10 daily budget and run your ad for a month. This means you spend about $300 over 30 days. Use automated bidding strategies, like target CPA, to ensure you only pay when someone contacts you or signs up. For example, set a target CPA of $5, and the platform will aim to get you leads at that cost or lower. This approach allows you to attract new clients efficiently while keeping your spending in check.
This way, you can manage your advertising costs effectively and ensure your ads are performing well to meet your marketing objectives.
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