Precisely configured target customer groups.
Customers are attracted from targeted advertising through relevant and personalized ads tailored to a specific target audience. To do this, advertisers need to:
- Select a target audience based on interests, age, and other criteria.
- Create an appealing ad that will interest this audience.
- Set up the ad display only for the selected audience on social networks or other sites.
- Monitor results and improve the advertising campaign to attract more customers.
In this way, targeted advertising makes ads more relevant to users, increasing the chances of attracting them as customers.
You pay the social network for each display or click on your ad, but only 2 out of 100 may become customers.
The percentage of clicks from targeted advertising that become customers can vary greatly depending on the industry, quality of the advertising campaign, target audience, and sales funnel. On average, the conversion rate from clicks in targeted advertising to purchases or applications is from 2% to 10%. However, successful campaigns with optimized ads and a sales funnel can achieve significantly higher conversion rates. It's important to remember that results can vary for different businesses, and each one requires a unique approach and optimization.
If someone promises you a much higher conversion rate, they are likely fraudsters. Be cautious.
The cost of acquiring a customer depends on the level of competition and the quality of your website.
The cost of acquiring a customer from targeted advertising, also known as CPA (cost per acquisition), can vary greatly depending on a number of factors such as industry, geography, target audience, quality of ads, and effectiveness of the sales funnel.
In some cases, acquiring a customer might cost only a few dollars, especially when dealing with low-cost, high-conversion products or services. In other cases, particularly in industries with high competition and large deals, CPA can reach tens or hundreds of dollars.
Optimizing advertising campaigns, improving the quality of ads, targeting a more suitable audience, and optimizing the sales funnel can help lower the cost of acquiring a customer and increase advertising effectiveness. However, the cost of customer acquisition will be unique for each business and may change over time.