Large retailers have begun transitioning advertising dollars from traditional media, such as newspapers and television, to new media—namely, the Internet. Many of these large retailers and big brands are pouring money into Internet advertising, both search and display, and as a result advertising prices are going up.
E-retailers can combat rising advertising costs and best compete for space and placement by looking to the best practices of traditional media advertising, said Mondy Beller, senior vice president of marketing at Shop.com. Beller spoke during the session "Making Sense of the Shifting Marketing Landscape" June 11 at the Internet Retailer Conference & Exhibition.
One strategy pioneered by advertisers in radio and television is day-parting, which can benefit e-retailers seeking to promote time-sensitive products and reach select customers with particular online behaviors, Beller said.
Beller used the example of a florist offering same-day delivery. If the florist is promoting this feature and its cut-off time for same-day delivery is 2 p.m., it should not run search engine advertising between 2 p.m. and 6 a.m.; not only is it a waste of money but it can create dissatisfied shoppers, Beller explained.
Online behavior is another factor to take into account with a day-parting strategy. Shop.com has a great many female customers. Beller combines these demographic findings with web analytics results, which show significant spikes in buying in the noon hour and between 6 p.m. and 9 p.m., after work and after children are put to bed, she said.
"We increase bids for keywords during these times of day," Beller said, "and we've realized increased traffic and improved return on investment."
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