Overview of pricing methods and channels for cross-border e-commerce online advertising
In today’s digital marketing environment, cross-border e-commerce companies need to master effective online advertising pricing methods and channels in order to better promote their brands and increase sales. This article will integrate information from different sources and conduct a detailed analysis of the pricing model and main channels of cross-border e-commerce online advertising.
Pricing methods for online advertising
There are various pricing methods for online advertising, mainly including the following categories:
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Per-impression billing
- CPM (cost per thousand impressions): The cost for 1,000 ad impressions, which is a common online advertising pricing model.
- CPTM (Cost Per Thousand Impressions): A CPM that is targeted only to a specific group of users, usually based on demographic data.
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Performance-based billing
- CPC (cost per click): Charges are based on the number of clicks on the ad, suitable for online advertising in the form of keyword text links.
- PPC (pay per click): Charges based on the number of users who click on the ad, which is usually disadvantageous to advertisers, so it is rarely used.
- CPA (Cost Per Action): Charges based on specific actions taken by the user on the ad, such as a registered user or the acquisition of a valid questionnaire.
- PPL (Cost Per Lead): The fee an advertiser pays when a visitor completes an online form, often used in online affiliate marketing.
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Based on sales
- CPO (Cost Per Order): Charged per order or transaction.
- CPS (cost per sale): Pay for advertising based on sales.
Introduction to Google Ads
Google is the world’s largest search engine, providing a highly attractive advertising and promotion platform for cross-border e-commerce companies. Google Ads has the following advantages:
- The world’s largest search engine with high market share
- Various forms of advertising promotion
- Accurate global market positioning
- Detailed advertising performance tracking
Google advertising types commonly used by cross-border e-commerce companies include:
- Google Search Ads: Pay-per-click (PPC), displayed on the search results page, and sellers need to bid based on keywords.
- Google Shopping Ads: Provide users with product search and comparison services, suitable for directing users to a specific product.
- Google Display Ads: Place ads on partner websites and mobile applications, suitable for secondary marketing of brand awareness.
Social media advertising and email marketing
Social media advertising
Social media advertising is a way to promote products to users through social platforms. This advertising model relies on the platform’s user data to increase conversion rates at low cost. Major social media advertising platforms include:
- Facebook: With a huge number of users around the world, it is a common channel for advertising.
- Instagram: High user engagement rate, suitable for visual marketing.
- Twitter, Pinterest, LinkedIn and TikTok: Each has its own characteristics and is suitable for interaction with different markets and users.
Email Marketing
Although email marketing is considered somewhat outdated, its ROI is still high. Many cross-border e-commerce companies conduct email marketing by setting up pop-up windows and collecting user email addresses. In order to improve marketing efficiency, companies usually use email marketing platforms such as ActiveCampaign, Klaviyo, Mailchimp, etc. to manage email lists and activities.
By analyzing different advertising pricing methods and channels, cross-border e-commerce companies can carry out advertising and brand promotion more effectively, thereby enhancing market competitiveness.