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Choose the Right Marketing Channels for Your Budget

Paid Advertising · Module 11

Fundamentals of Digital Marketing - Google


Index

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1. Paid Ads and Your Brand

Defining Goals

GoalExample
AwarenessGet brand name out (e.g. social ads, video ads)
InterestTell people about new products or sales
RetargetingBring visitors back who didn’t convert

Multiple goals need multiple campaigns. Use 02 - Build Your Digital Marketing Strategy and 03 - Know Your Digital Customers to align.

Sales Funnel Stages

StageFocus
AwarenessStrong first impression; what makes you stand out; broad audience
InterestShape opinions; highlight advantages; narrow to site visitors, followers
ConsiderationTarget considerers; testimonials; site visitors, followers
ConversionOffers, discounts, free trials; target interested but not yet converted

2. Search Engine Marketing (SEM)

Organic vs Paid

TypeDescription
OrganicAlgorithm-chosen; no payment. See 07 - Help Customers Find You Through Search.
Paid”Sponsored” at top; you bid on keywords

Why SEM Works

FactorBenefit
Pay per click (PPC)Pay only when someone clicks
TargetedSearchers are actively looking; keywords match intent
MeasurableTrack every click, conversion, and cost

The SEM Auction

Limited ad slots per page. Advertisers bid. Highest ad rank wins better placement. Ad rank = Max CPC × Quality Score (+ extensions, UX factors).

Quality Score (1–10)

ComponentFocus
Expected CTRLikelihood of click when shown
Ad relevanceMatch to search intent
Landing page UXUsable, useful, fast, clear CTA

Higher score → better placement, lower cost.

Keyword Match Types (Google Ads)

TypeSyntaxReach
BroadkeywordRelated searches; widest reach; AI-optimised matching
Phrase”quotes”Searches including the phrase meaning
Exact[brackets]Same meaning/intent; most control
Negative-keywordExclude unwanted searches

Making Ads Stand Out

Compelling headlines, engaging copy, clear CTAs. Responsive Search Ads (RSAs): Provide multiple headlines and descriptions; Google’s AI tests combinations and optimises for performance.

Conversions

What counts: Order, enquiry form, PDF download, rate request. Tracking: Set up conversion actions in Google Ads; use Google Tag Manager for implementation.

Value of click = Conversion rate × Value per conversion. E.g. 15% rate × £40 sale = £6 per click.


3. Display Advertising

SEM vs Display

AspectSEMDisplay
TargetingActive searchersBrowsing behaviour, interests, demographics
PlacementSearch results onlyMillions of websites across ad networks
FormatText-based RSAsBanners, video, animations, native

How Display Works

MethodDescription
Ad networksReach many sites at once (Google Display Network covers 90%+ of internet users)
ProgrammaticAutomated, AI-driven buying across multiple networks in real-time

Targeting

OptionExample
ContextualFitness ads on workout sites
AudienceInterests (health, wellness) across sites
First-party dataYour own customer data for targeting (essential post-cookie deprecation)
Similar / lookalike audiencesAI finds users similar to your best customers

Ad Formats

FormatUse
Responsive display adsGoogle’s AI adjusts size, format, and appearance to fit any ad space
VideoMotion and sound; high engagement
NativeBlends with site content; less intrusive
InteractiveQuiz, poll, expandable

4. Retargeting

This is the consolidated reference for retargeting across all channels. Module 09 (E-commerce) links here.

How It Works

Track behaviour on your site; show targeted ads after visitors leave. Define audience (e.g. added to cart but didn’t purchase; viewed pricing page but didn’t sign up). Create focused ads with relevant offers.

StepDescription
Define audience segmentsCart abandoners, product page viewers, pricing page visitors, past customers
Set up trackingGoogle Ads remarketing tag, Meta Pixel, or platform-specific tracking
Create targeted adsPersonalised messaging based on what they viewed or did
Set frequency capsLimit how often ads appear to avoid fatigue (3–5 impressions per week typical)
Test incentivesDiscounts, free shipping, urgency—but don’t always discount; test what works

Privacy and First-Party Data

ChangeResponse
Third-party cookie deprecationSafari and Firefox already block; Chrome phasing out. Shift strategy accordingly.
Privacy Sandbox (Google)Topics API groups users by interest without individual tracking.
Consent requirementsGDPR, CCPA require explicit consent. Use consent management platforms (CMPs).
First-party data strategyBuild direct relationships: email, purchases, on-site behaviour. Most durable targeting method.
Server-side trackingReduces reliance on browser cookies; more accurate data collection. GA4, Google Tag Manager Server-Side.

Retargeting Channels

ChannelHow
Google AdsDisplay remarketing, search remarketing (RLSA), YouTube remarketing
Meta AdsCustom audiences from website visitors, app users, customer lists
EmailCart abandonment sequences, browse abandonment (see 13 - Craft Effective Email Campaigns)
Social platformsPlatform-specific retargeting pixels on TikTok, LinkedIn, Pinterest

5. Advertising on Social Media

This is the consolidated reference for paid social. Module 06 covers organic social strategy.

Benefits

BenefitDescription
Targeted reachAge, interests, location, behaviours, lookalike audiences
Quick visibilityFaster than organic alone
Cost controlDaily/campaign limits; start with any budget
Instant engagementVisits, downloads, purchases
AI optimisationPlatforms automatically optimise delivery to people most likely to take your desired action

Targeting Options

Demographics, interests, behaviours, location, custom audiences (from your data), lookalike/similar audiences, AI-powered broad targeting (Meta Advantage+). Respect privacy controls and consent requirements.

Ad Types

TypeUse
Promoted/boosted postsBoost high-performing organic content
Image/video adsPhotos, video, Stories placement
CarouselMultiple images/videos; product range
CollectionCurated products; shop from ad (Instagram, Facebook)
Lead adsForms for contact capture without leaving platform
Shopping adsProduct catalogue ads with price and image (Instagram, TikTok, Pinterest)
Spark Ads (TikTok)Boost creator content as paid ad while keeping organic engagement

Platform Ad Managers

PlatformTool
Meta (Facebook/Instagram)Meta Ads Manager; Advantage+ for AI-optimised campaigns
TikTokTikTok Ads Manager; Smart Performance Campaigns
LinkedInLinkedIn Campaign Manager; ideal for B2B
PinterestPinterest Ads; strong for discovery and shopping intent
YouTubeGoogle Ads (video campaigns)

6. Advertising on Video Platforms

Video Ad Formats

FormatNotes
Skippable in-streamBefore/during/after; skip after 5 seconds
Non-skippable in-streamUp to 15s; bumper = 6s; guaranteed views
YouTube Shorts adsVertical, full-screen, mobile-first
In-feed (discovery)Looks like organic content; thumbnail draws click
MastheadTop of homepage; high visibility; premium cost

Approach

StepAction
1. Know audienceWhat they watch; which creators; what topics
2. Create adMatch platform style. YouTube = polished or educational; TikTok = raw, trend-driven.
3. Choose formatMatch goal: awareness = bumper/non-skip; engagement = skippable; conversion = in-feed
4. TargetKeywords, topics, placements, audiences, demographics
5. Monitor and optimiseTrack view rate, CTR, conversions. Test variations.

7. AI-Powered Advertising

How AI Changes Paid Advertising

CapabilityExample
Performance Max (Google)One campaign across Search, Display, YouTube, Gmail, Maps. AI optimises budget allocation, targeting, and creative in real-time.
Meta Advantage+AI-optimised targeting, creative, and placement across Facebook and Instagram. Reduces manual setup.
Smart BiddingGoogle Ads AI adjusts bids per auction based on likelihood of conversion (Target CPA, Target ROAS, Maximise Conversions).
Dynamic CreativeAI assembles ad variations from your assets and tests what performs best.
AI copywritingGoogle Ads and Meta now generate ad copy suggestions. Review for accuracy and brand voice.

Best Practices for AI-Assisted Campaigns

PracticeNotes
Feed quality dataAI optimisation is only as good as your conversion data. Ensure tracking is accurate.
Give it timeAI campaigns need a learning period (typically 2–4 weeks). Don’t make major changes during this phase.
Provide diverse creativeMore asset variations = more for AI to test and optimise.
Monitor, don’t autopilotAI handles execution, but humans set strategy, review creative, and ensure brand safety.

8. Checklists

Goals and Funnel

  • Match one goal to a funnel stage
  • Craft message for that stage
  • Choose ad format
  • Plan targeting (visitors, followers, lookalikes)

SEM Research

  • Search keywords relevant to your business
  • Note who advertises and their ad quality
  • Compare ad positions and relevance

SEM Ad Creation

  • Use keyword tools; find relevant keywords by intent
  • Select by relevance, traffic, competition
  • Write multiple headlines and descriptions for RSA testing

Conversions

  • List 2–3 actions to track
  • Set up conversion actions in Google Ads
  • Implement tracking via Google Tag Manager

Retargeting

  • Define audience segments (cart abandoners, page viewers, etc.)
  • Set up tracking pixels/tags on your site
  • Create targeted messaging per segment
  • Set frequency caps
  • Review privacy compliance (consent, GDPR, CCPA)

Social Ads

  • Identify 1–2 platforms for your audience
  • Set up business ad accounts and tracking pixels
  • Define audience targeting (custom, lookalike, interest-based)
  • Create ad variations for A/B testing

Video Ads

  • Choose format based on goal (awareness, engagement, conversion)
  • Create content tailored to platform style
  • Set targeting and budget
  • Monitor and optimise after learning period

10 - Reach International Customers | Fundamentals of Digital Marketing - Google | 12 - Reach Local Customers