E-commerce sales in Switzerland are growing by about 10 percent every year. The shift towards online commerce creates potential for increasing sales. The most important marketing channels in e-commerce are Google, Amazon, Facebook and Microsoft. Below, we will present the advantages and disadvantages of the most important platforms and show you how best to use their e-commerce channels in your e-commerce marketing strategy.
- What is e-commerce marketing suitable for?
- What is e-commerce marketing?
- How does e-commerce marketing work?
- E-commerce marketing platforms
What is E-Commerce Marketing good for?
Would you like to highlight the products in your online store to potential customers? E-commerce marketing allows you to present these products on the most important online channels. E-commerce marketing should not be missing from any online marketing strategy. Below, we will show you the advantages and disadvantages of each of the individual platforms.
What is E-Commerce Marketing?
E-commerce marketing promotes the sale of products and services via various platforms on the Internet. When a user searches for a specific product or service on a platform, relevant offers of products and services are displayed to them. If the user clicks on a result, he is usually directed to the online store of the respective advertiser. There, the user can purchase the product or service. E-commerce marketing is therefore primarily aimed at making your products visible to the relevant target groups.
How does E-Commerce Marketing work?
For e-commerce marketing, when a potential customer searches for a product online, an appropriate result from your online store is displayed to them. If the user clicks on the shopping ad, the link leads directly to the product in your online store.
With the help of e-commerce marketing, potential buyers are addressed at the right time with the appropriate product. The provisioning of your products is automated with the help of a data feed. This ensures that the products displayed are available and that the latest price is shown in the shopping ad.
E-commerce marketing platforms
Google Shopping campaigns
With Google Shopping, you – as an e-commerce marketer – have the opportunity to present your products at the top of Google Search or under the specific “Google Shopping” section. Google Shopping is a part of Google Ads. However, no fixed text or image ads are placed, rather online store operators provide standardized data from their online store. This data feed forms the basis for the ads.
Advantages:
- Google Shopping is a service of Google and Google is still the most important search engine with a very high reach depending on the target market.
- Most potential buyers start their product search in Google.
- Due to the prominent placement, Shopping ads achieve the highest visibility as well as a higher click-through rate.
- In Google Shopping there is also the possibility to display the products for free. This can be implemented with the help of Google Merchant Center.
Disadvantages:
- In practice, feed creation and optimization are usually technically demanding, time-consuming and cost-intensive.
- There is high competition for shopping ads, as paid advertising in Google is essential for most e-commerce operators.
Dynamic Google search ads
With dynamic search ads, Google decides which ad is displayed for which search query. The difference to classic search ads is that the search engine determines the ad title and target page itself.
Advantages:
- Automatic creation of ads
- Time savings due to automated ads and the elimination of keyword research
- Higher reach and more traffic
- Low optimization effort
- Favorable click prices
Disadvantages:
- High dispersion
- Little control
- Low quality factors
Amazon Advertising
Unlike Google, the placement of ads on Amazon also has an impact on the organic product ranking in Amazon. This happens because the frequency of a product’s sales is one of the most important ranking factors on Amazon. Since Amazon also counts sales that have taken place via Amazon Ads, the ads can increase the sales performance and thus the organic ranking in Amazon.
Amazon offers various ad types, such as Sponsored Product Ads. These can be used to displace competitors or to target new products. One possible targeting strategy is to display product ads when users search for competitors’ keywords. This is particularly useful if your own products are cheaper or better. It is important here that you, as a store owner, use your top products with high ratings.
Product Display Ads can also be booked on Amazon. These are particularly suitable for cross-selling and upselling. For example, if a user wants to buy a pair of pants, he may also need matching socks or a belt.
Advantages:
- 49% of Internet users start their product search directly on Amazon.
- Low CPC costs due to low competition.
- High conversion rate: Compared to Google, 70% higher conversion rates are achieved at 65% lower click prices.
- Users have a concrete intention to buy.
Disadvantages:
- Amazon Advertising needs a high organizational effort at the beginning. For example, one must either own an Amazon store or sell brands registered through Amazon.
Facebook and Instagram Ads
In the field of social media, Facebook and Instagram are one of the most important advertising platforms. Here, too, there are different ad formats. For example, you can advertise current offers or present your top products to potential customers via Product Ads. Another classic area of use for product ads is remarketing.
Advantages:
- You can use the user data voluntarily provided by Facebook users to address your target group.
- You have the option of creating so-called Lookalike Audiences.
- A variety of visual representations of the ads are available to you.
Disadvantages:
- Users don’t open Facebook to buy something but to find out what’s new in their social circle.
Our conclusion
With the help of e-commerce marketing measures, you can present your online store to your target group and develop new target groups. By promoting your online store with the help of Google Shopping ads, Amazon Shopping, Microsoft Shopping and Facebook Shopping, potential buyers are shown the right products at the right time. Remarketing measures can be used to address users again with the offer and thus increase sales.
It is clear that advertising on Facebook and Google is easier to implement than on Amazon and both channels are suitable for your e-commerce marketing strategy. However, Amazon advertising is worthwhile if you run an online store with a large number of low-involvement products. You should see Amazon Advertising as a useful complement to Google Ads and combine the opportunities that both platforms offer. Facebook Ads help customers find your online store, while Google Ads and Amazon help your online store find customers. Use targeted e-commerce marketing for your online store if you want to get the maximum return on investment from your advertising budget.
Do you want to make your online marketing more effective with the help of e-commerce marketing strategies? We are experts in e-commerce marketing measures and would be happy to help you implement them. Contact us now and benefit from our extensive experience in online marketing.
