TV advertising is the biggest advertising medium in the US. Last year, advertisers spent a whopping $75 billion on TV advertising in the US and $178 billion worldwide. Investment in TV advertising is expected to increase in coming years.
It doesn’t compare to what advertisers spend on social media ads. Last year, social network advertising revenue was just over $41 billion worldwide.
Does this mean TV ads outperform Facebook and Instagram ads?
The simple answer is no.
Generally, advertisers are shifting to digital advertising for all the benefits that they get when they shift their advertising campaign from TV to the internet. This is why the total digital spend has already surpassed total TV ad spend in 2017.
Facebook and Instagram ads are no exception.
So what are these factors that make Facebook and Instagram ads better than TV ads?
Here are a few major reasons that make Facebook and Instagram ads better than TV ads:
- The cost to reach 1000 people – Advertising on TV is expensive, we all know it. You need to have a massive advertising budget to reach a significant number of people through your TV ad campaign.Facebook lets you run an ad campaign for as low as $5 a day. Yes, for $5 you can run your ad for a day on Facebook as well as Instagram.Facebook cost to reach 1000 people is negligible as compared to TV ads.The cost to reach 1000 people on TV is $7 and $0.25 on Facebook.
- Targeting – If you’d want to show your ad to a selected few people, you can do it with Facebook. TV doesn’t let you do it.Facebook lets you target your audience based on several variables including demographics, interests, psychographics, device, recent activities, location, and so on. Should you like to reach people who have interacted with your video ad before, you can reach them easily via Facebook ads. Laser targeting is what makes Facebook and Instagram stand out from any other digital as well as traditional advertising medium.
- Reach & Accessibility – Because of on demand television, consumers are able to fast forward skipping commercials altogether. On Instagram and Facebook, users can’t skip over ads; users must scroll past ads in order to get to the next post. This gives businesses the opportunity to deliver special offers and exclusive promotions directly to the user with a captivating ad. What makes Instagram and Facebook ads even more advantageous is the ability for consumers to access and redeem the offers and promotions instantly.
- Ad optimization – Facebook provides advertisers with in-depth analytics that help you track, optimize, and tweak your ads based on several metrics. Same is true for Instagram.Online casino Leo Vegas decreased its cost per first time depositing players via Instagram video ads by a whopping 44%. This was made possible with the help of analytics that Facebook and Instagram provide you with when you’re running an ad campaign. Once you have the analytics, you can optimize your campaign at any level. Leo Vegas also decreased its cost per registration by 29% and cost per video by 10%.You don’t get anything like this with TV ads, right?
Just because advertisers are spending more money on TV ads doesn’t mean they perform better than Facebook and Instagram ads. You have to figure out how you can reach your target audience effectively at minimal cost.
This is where Facebook and Instagram ads have no match.
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The good news is that creating and managing high performing Facebook and Instagram ads is possible for any small business owner. Just make sure to start off with a great advertisement funnel, design captivating ad content, build relevant and actionable landing pages with the ability to collect user data, implement integrated email campaigns, track offer and promotion performance, and finally, optimize ad campaigns to make sure each dollar spent is performing efficiently.
If any of this sounds at all intimidating, let us help. schedule a free strategy call to find out more information and get your questions answered.