Important Paid Advertising Concepts You Should Know

When you’re going into paid advertising, it’s important that you go in with a strategy and a goal in mind. Understanding a few of the key concepts of online advertising is the key to creating a strategy that will suit your business.

  1. Behavioural Targeting

Behavioural targeting is when advertisements are targeted at users based on their past purchase activity. For example, you might target a user with ads about invitations for an event after they purchased some save the dates from you.

  1. CPC/CTR

The cost you pay per click (CPCs) often decreases the higher an ads CTR (click-through rates) is. When it comes to auctioning for keywords or expressions in online auctions, the highest CPC isn’t always the winner.

  1. Day Parting

Day parting is a feature that is sometimes available that allows you to specify what time of the day an ad is to be shown.

  1. Geotargeting

Geotargeting is often used for businesses that are more geographically relevant. Geotargetting allows you to target your advertisements to audiences in a particular country, state, city, or metropolitan area.

Recommended: How To Start A Successful Online Advertising Campaign

  1. Interest-based targeting

This is the ability to advertise to customers with a specific interest or hobby.

  1. Match Types

Keyword match types control which searches or terms will commence your ad. Broad match will show your ad to a wide audience, phrase match will ensure that your ad is part of a searched expression, an exact match will only show your ad to people who search your exact keyword.

  1. Quality Scores

Quality Scores are rating on how well your advertisements align with your marketing message/landing page/offer. Quality scores are particularly important to Google, and they reward higher quality scores with lower CPCs (i.e. cheaper web traffic). This incentivizes advertisers to show high-quality ads.


Online advertising is an essential element of anyone’s marketing mix. It provides you with numerous benefits, including lower costs, robust targeting, and valuable customer insights, that are not available through other advertising mediums. Your customers, competitors, and prospects are online — give them the attention they deserve, while getting more out of your budget.

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