PPC vs Social Media Advertising: Which is Best for Your Business and Why

Pay-per-click (PPC) and social media advertising (SMA) are effective strategies for reaching your target audience and increasing sales. However, deciding which to use depends on many factors, such as business goals, industry, and expectations. In this article, you will learn about the similarities and differences, when to use, and our expert advice from working with clients to achieve digital marketing goals.

PPC vs Social Media Advertising: Similarities

Both PPC and Social Media Advertising have some similarities. They are

1. Both are forms of paid online advertising strategy
2. They allow you to target an audience based on specific parameters
3. You can get measurable results and analytics
4. You can scale PPC & SMA according to budget
5. PPC & SMA provide opportunities for A/B testing and optimization

Paid Search vs Paid Social: Differences

While PPC and Social Media Advertising have similarities, they differ in several key aspects:

Intent vs. Interest

PPC is intent-based. It targets users who are actively searching for products or services. Social media advertising, on the other hand, is interest-based, targeting users based on their demographics, behaviours, and interests.

For example, if you set up an ad on Facebook to target people interested in fashion, your ad is served to everyone in the selected range. Consequently, the ads reach people searching for solutions or who are only interested in the keyword for non-transactional purposes.

In contrast, PPC ads are shown to people when they search for a particular keyword

Platform

PPC ads typically appear on search engine results pages (SERPs) or partner websites. Some PPC platforms include Google and Bing. Social Media ads appear on social platforms like Facebook, Instagram, or LinkedIn.

Ad Format

PPC ads are usually text-based, while Social Media ads can include various content formats, such as images, videos, carousels, and more.

Targeting Options

Facebook has many data points, such as users’ interests, demographics, behaviours, job titles, device types, etc., which allow for precise targeting. While PPC also offers targeting options, it focuses more on search intent keywords.

When to Choose PPC Ads for Your Business

PPC can be an excellent choice for

High Purchase Intent

If your products or services cater to the immediate needs or specific searches of your target audience, PPC can effectively capture these high-intent customers.

Faster Conversation

If your goal is quick conversion and direct response marketing, a PPC ad is an ideal option. Since it targets search intent, your ads reach people actively searching for that solution or service.

Specific Industries

PPC can be particularly effective in certain industries, like finance or professional services, where people actively search for solutions. For example, a banking company providing loans can use paid search ads to reach its audience.

Competitive Markets

In highly competitive markets like Ecommerce, banking, and SAAS, appearing at the top of search results can give you an edge.

When to Choose Paid Social Ads for Your Business

Social Media Advertising is an ideal choice to

• Increase Brand Awareness: Social media platforms offer extensive reach if your goal is to increase visibility and reach a broader audience.
• Sell Visual Products: If you sell visually appealing products like clothing or lifestyle goods, social media ads can be highly effective. They allow you to showcase your products using videos, infographics, carousels, pictures, and other content forms.
• Detailed Targeting: If you have a particular target audience based on demographics, interests, or behaviours, social media platforms offer unparalleled targeting options.
• Content Marketing: Social media is ideal for sharing and promoting content, making it great for businesses with a strong content marketing
• Long-term Growth: For long-term growth and sustained engagement, SMA (Social Media Advertising) is ideal. Unlike PPC, you can get followers from SMA, which helps build your community and customer base.

PPC vs Social Media Advertising Recommendations per Industry

While each business is unique, here are some general recommendations:

• E-commerce: A mix of both, with PPC for high-intent searches and social media for brand awareness and retargeting.
• B2B Services: Focus more on PPC and LinkedIn advertising.
• Healthcare Services: PPC can be particularly effective but should be used strategically while maintaining ad policy rules.
• Local Businesses: Local businesses can use PPC with location targeting for conversion, plus social media ads for awareness.
• Fashion and Lifestyle: Social media advertising is ideal because of the visual nature of product in the industry.
• Technology and SaaS: Use a combination of PPC and social media ads. If you are targeting decision makers, LinkedIn ads is an ideal social media marketing strategy.

PPC vs Social Media Advertising: What’s Our Advice?

The best approach often involves a combination of both strategies. Here’s our advice on choosing the right channel

• Understand Your Audience: Your audience and their behaviours determine where to start. For example, if you have a younger audience, social media works. But if you are targeting B2B customers, PPC ads will be a better starting point.
• Consider your budget: If you have the budget, you should try Google Search Ads and Facebook ads first and stick with the one with best performance
• Consider Your Goals: First identify a business goal. If you are aiming for conversion from website, your goto should be PPC ads. However if you want to boost brand conversations or community building, social media is the best place to start.
• Budget Considerations: If you’re a small business with a limited budget, you should start with social media advertising, which is a more cost-effective option. You can scale and start using PPC ads when you have established a solid brand awareness.
• Test and Optimize: The rules around PPC vs SMA isn’t fixed. Therefore, continuously monitor the performance of your campaigns and adjust your strategy accordingly.

Hire Digitezz to Boost Digital Marketing Results

Remember, digital marketing is not a one-size-fits-all solution. What works best for your business will depend on your specific goals, target audience, and industry. Don’t be afraid to experiment and find the right balance for your unique situation. However, if you want to save money and get strategies that work from an experienced team, Digitezz is your reliable partner. Contact us to discuss your business and the best digital marketing strategies to boost performance.