Paid online advertising is a more traditional digital marketing strategy. Instead of earning traffic, leads, and sales over time through organic methods like content marketing and social media marketing, you can simply buy traffic (and ultimately, leads).
Russell Brunson, a brilliant digital marketer, has made the point time and time again that the business that can spend the most to acquire a customer, wins.
He’s built a huge, multi-million-dollar empire in a very short amount of time primarily through paid advertising funnels (with zero venture capital).
I first heard Russell say that, but it turns out it’s a concept taught by another brilliant marketer…
“Ultimately, the business that can spend the most to acquire a customer wins.” —Dan Kennedy
The point here is that it’s a mistake to ask, “what’s the least I can spend on advertising?”
This is a mistake that I made for a very long time, by the way. The right question to ask is, “what’s the most I can spend on advertising?”
The reason this is true is that the marketer with the willingness and ability to invest in acquiring customers, even if you lose money on the first sale (but win out with lifetime value), has an enormous competitive advantage. Being able to profitably buy new customers is huge. Some might say, “it’s everything.”
Here’s the basic 3-step strategy for online advertising:
Identify where your target market hangs out online.
Pay to get in front of them.
Create a relevant offer to generate either sales, leads, or brand awareness.
Keep in mind that building a paid advertising funnel that works is much harder than it sounds. Not only does it take a lot of time and testing, it takes a good bit of money to establish and scale. This is especially true since a lot of the “early money” will vanish into thin air as you figure out what doesn’t work.
If you have the money, though, and the risk tolerance, then it’s certainly a strategy you should pursue. Here are the most effective types of online advertising you should test out…