Online ads can enhance one’s sales both on the Internet and in the brick and mortar storefront, as one recent study noted.
We have discussed the impact of closing the ad loop with regards to one of the biggest brands in the world, Coca-Cola, and how they ensure interest in an ad campaign that generates a search ties online ads with the offline campaign.
In other words, people receive reinforcement of the campaign message at all points on this “closed loop” of advertising. Think about Coke ads and tie-ins seen with hit show American Idol as an example. If someone sees this offline, an online search for Coke and the show should reflect what drove the person to the search.
Fred Wilson cited an additional argument in favor of closing the loop effectively. ComScore president and CEO Magid Abraham has an article at the Harvard Business Review about a study his firm did for one client to see how the client’s online ads impacted its mostly-offline, real world sales.
“Over a three-month period, U.S. sales increased by 40% online and by 50% off-line among people exposed to an online search- and display-ad holiday campaign promoting the entire company,” said Abraham of the unnamed client.
“Because its baseline sales volumes are greater in physical stores than on the internet, this retailer derived a great deal more revenue benefit off-line than the percentages suggest.”
Not everyone has the marketing reach of Coke, nor the unnamed $15 billion in revenue retailer, either. But with contextual advertising available to anyone who wants to bid for keywords, it makes sense to tie some keywords together when they represent what someone will see in a sign or hear on a radio ad.
The ROI could be impressive.
