Paid promotion-detailed explanation of advertising!

Before writing the whole article, I organized a general structure so that everyone can jump directly to the part they are interested in.

Part 1: Advertising Platform and Billing Model

Part 2: Basic Logic of Information Stream Advertising

Part 3: The steps of advertising, how do I do it?

Part 4: How to acquire customers at low cost

I hope that after reading this article, the operators can truly understand the "essence" of paid delivery.

01 Advertising platform and billing model

What are the categories of our common advertising platforms?

1. DSP: The full name is “Demand-Side Platform”, which provides a comprehensive management platform for advertisers and agencies to manage multiple digital advertising and data exchange accounts through a unified interface.

2. SSP: SSP is the abbreviation of Sell-Side Platform, which is the supply-side platform. Common platforms include Baidu SSP and 360SSP

3. RTB: (full name: RealTime Bidding) Real-time bidding is a bidding technology that uses third-party technology to evaluate and bid for each user's display behavior on millions of websites.

4. DMP (Data-Management Platform) is a data management platform that integrates scattered data from multiple parties into a unified technical platform, and standardizes and segments these data, allowing users to push these segmentation results to the platform in the existing interactive marketing environment.

5. ADX (ad exchange): an Internet advertising trading platform that connects DSP (buyer platform) and SSP (seller platform). By connecting to SSP, it gathers a large amount of media traffic, thereby collecting and processing data belonging to advertising target customers. Ad Exchange is a trading place for achieving precision marketing.

Advertisement priority display:

In fact, there is also a priority for media display. The first level displays contract advertising CPD; the second level displays contract advertising CPM; the third level displays contract advertising PDB; the fourth level displays Preferred Deals; the fifth level displays Ad Network, and the sixth level displays real-time bidding RTB deals.

Advertising billing model:

CPS: The abbreviation of Cost Per Sales, which means sales share.

CPA: Cost Per Action, cost per action.

CPM: Cost Per Mille, or Cost Per Thousand, which means cost per thousand people.

CPC: Cost Per Click, Cost Per Thousand Click-Through, which means cost per click.

CPD: Cost per day, which means charging per day, is a form of advertising cooperation.

CPT: Cost Per Time, cost per time period. Many domestic websites charge according to a fixed fee model such as “how much per week”.

Here we can say that most companies adopt real-time bidding, namely OCPC, OCPM and CPA and billing models.

02 Basic Logic of Information Flow Delivery

We talked about the secrets of the media earlier, so how are advertisements presented to users?

When you open apps like Tik Tok and Toutiao, you often see advertisements. So how are these advertisements displayed to you?

In fact, every time you watch a video or a picture, the refresh process will trigger an advertisement, and the advertising system will push advertisements to users through matching. This is what we often call the algorithm.

Of course, how to match this? First, advertisers need to set the user's basic characteristics in the background: age, region, gender, occupation, interests, etc., because every time a user uses the APP, an algorithm will be used to build a portrait model of the entire person. This is the basic logic for displaying advertisements.

But the question is, will the ads keep appearing?

Tik Tok controls this in this way: if you see advertisements from the same industry more than 3-5 times within half an hour, they will not be pushed and will be blocked directly. Because everyone has various interests, hobbies and tags, they can push advertisements from other industries.

There is another problem. There are so many advertisers. How to sort the contents of advertisers in order?

This involves the ecpm sorting I mentioned in the previous article. The system uses ecpm to score different advertising accounts and displays them in the order of ecpm values. Someone will definitely ask, if my ecpm value is not high, is there any other way to give priority to exposure and display? In fact, there is, that is to increase the bid, which is also the logic of advertising optimization.

03 Steps for advertising, how do I do it?

1. Preliminary research:

At this stage, many novices or operations personnel think that it is dispensable and start to operate, but end up being beaten. The reason for doing preliminary research is to better understand the market and users, sort out the information of competitors and formulate corresponding strategies for users.

It will be easier to handle after clarifying the purpose. The next step is to formulate the content of the research.

The main points include the following:

1. The products currently being promoted and the basic situation of the company

2. Target group

3. Market size and online competition among peers

4. User portrait

5. Promoted marketing products

6. Competitive product information

The focus of the analysis is on competing products, which mainly revolve around the following aspects:

1. Main keywords

2. Current customer acquisition costs of competing products

3. The whole chain path and key processes of traffic diversion

4. Advertising creative types and styles

5. Landing page content design

6. Product selling point refinement

Of course, the basis of all research is centered around user needs:

Target audience analysis (taking the teacher qualification examination as an example)

Main analysis dimensions: user portrait, audience gender, age, geographical distribution, interests, hobbies, occupation, etc.

It can be queried through various data platforms.

Taking Baidu Index as an example, Baidu's portrait shows that the main areas of concern include Guangdong, Shandong, Henan, Jiangsu, Hebei, etc. The main people of concern are between 20 and 29 years old, and girls account for a relatively large proportion. As well as their interests, these can be used to select promotion areas, design advertising creative styles, and formulate corresponding promotion strategies to increase CTR.

Know your main competitors:

Directly search for keywords or refresh the information flow ads. The advertisers mentioned in the frequently appearing ads are the main competitors.

From which dimensions do we need to analyze our opponents?

1. Current approximate customer acquisition costs and delivery strategies

2. Creative Types of Advertising

3. Design style

4. Product Features

5. Conversion method

As an operator and publisher, you must actually experience the relevant processes of competing products, as well as the experience and services of the products, and analyze the advantages and disadvantages of each link.

2. Overall strategy of delivery:

1. The main test materials, copywriting, and landing pages in the early stage

2. During the testing period, select narrow targeting to form a system model, and in the mid-term test, select precise population targeting. In the expansion stage, select broad targeting to balance and expand the volume.

3. Test out better copywriting and materials, and then expand them later

4. Analyze data and optimize each link according to the funnel conversion model

Testing phase (taking children’s programming education as an example):

Traffic monitoring during delivery:

04 How to acquire customers at low cost

The source of low-cost customer acquisition still depends on ECPM.

Nowadays, mainstream information flow platforms already support OCPC or OCPM advertising billing models. Compared with traditional CPC or CPM, the new billing model is more like an exclusive model for performance advertising. Although they still charge according to CPC (click) and CPM (exposure), they allow you to set a bid for a goal, such as 1 activation, 1 registration, 1 copy, 1 phone call, etc. You pay a few dollars and the platform will find a way to promote it for you within that range. Basically, the final cost is about the same. This is of course good, at least the cost can be controlled by oneself, but this method breaks the original ECPM bidding ranking basis

In the previous CPM and CPC, the higher the price, the greater the advantage in the competition. Although the click-through rate is also within the reference range, there is very little room for increasing the click-through rate, which is far less effective than the high bids of rich competitors.

ECPM, is to focus on variables other than bids. The increase in click-through rate and conversion rate will lead to an increase in ranking while the bid remains unchanged. This not only means that you can get more exposure, but more importantly, you can be the first to be exposed among the target population.

The latter is actually more important because for most products on the market, high-quality users are often concentrated in young groups with strong consumption power and desire, and are often the focus of competition. Therefore, the significance of being able to be exposed first is not just as simple as saving money.

In addition to simply paying attention to variables, there are some tips for delivery:

1. Video creativity: If you are lucky enough to write a successful ad, you should use it over and over again until it loses its selling power. Good ads are often left idle before they have fully realized their effectiveness.

2. Title creativity: programmatic advertising creativity & dynamic matching

3. Use programmatic advertising creativity, one plan corresponds to multiple creatives; one creative is given at least three chances

4. In fact, there will be many bottlenecks in the process of business development. For example, if there are too many leads, the conversion team will be too busy to prioritize the conversion of leads with high conversion rates, resulting in lower ROI and higher costs.

Generally speaking, leaders will mainly look at the consumption amount or target revenue, gross profit data, and the target achievement rate of various indicators. However, executives often analyze in three dimensions when reviewing:

1. Which plans consume the most resources? When is it mainly consumed?

2. Which plans have the most conversions?

3. Which plans have the lowest customer acquisition cost?

The above points can greatly reduce the cost of acquiring customers. It is quite effective. If you don’t believe it, why not try it?

Author: jerry

Source: Very trendy operation plan