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January 31, 2024
5 min read

Dynamic Banner Ads: What Are They And How They Help SMB Advertisers?

In the dynamic world of advertising, local businesses should be always on the lookout for new marketing tools, strategies and channels to reach their target audience. Pay-per-click, search engine optimization, content marketing and email marketing are well known terms for local advertisers, since they have first-hand experience with them. Today we are going to talk about a fairly new category in the field of display advertising – dynamic banner ads. We will define what they are, how they compare to static ads and where they fit in the mix of all the marketing tools available.

Christian Scherbel
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What are Static Ads?

As the name suggests – static ads do not change. For example, a person located in Florida will see exactly the same ad from a company as someone in California. This works great if the goal is to target a global or a large national audience, especially when it comes to brand awareness campaigns. Such ads may include words, images, videos and some call-to-action (CTA), such as “learn more”, “buy now” or “give us a call”. Static ads can be relatively east to set up, without a person having deep technical expertise. Their downside is that the user typically cannot interact with them and hence the ads don’t change based on user input.

What are Dynamic Banner Ads?

Reaching the right person at the right time with the most relevant message is probably the hardest part of digital marketing. Dynamic banner ads help adjust content and design in real-time to serve the most appropriate message to a specific target audience persona. They take into account the past user behavior, location, demographics and interests in order to fine tune the ad. This deep level of personalization makes them incredibly effective for local advertisers who are looking for ways to foster a long-term relationship with their customers.

Benefits for Local Businesses

For small and medium-sized businesses, dynamic ads offer the following advantages:

  • Targeted Local Advertising: The ads can be customized based on purchase behavior, trends or local events. This is specifically useful for e-commerce businesses selling a wide array of products since they can retarget users based on what they browsed on the site or what they bought in the past.
  •  Increased Engagement: Users will interact more with ads that they perceive as relevant, leading to higher engagement rates, such as dwell time or improved CTR. This leads to a shortened sales funnel and more repeat purchases.
  •  Improved Conversion Rates: By receiving more personalized ads, users are much more likely to take actions, valuable for advertisers. For instance, signing up for a newsletter, making a phone call or buying a product.
  • Detailed Analytics: Small business owners can make well informed business decisions by analyzing performance metrics like impressions, cost per click, cost per impression, bounce rate and return on ad spend. In this way they can make adjustments to their display banner ads to better resonate with their target audience. 

Make the purchasing experience mobile-friendly and keep your offers as straightforward as possible.

How to Design Effective Display Banner Ads?

As a rule of thumb, successful ads always involve some sort of a combination between a visual appeal, clear messaging and strategic placement. Here are some key tips to make banner ads successful.

Audience Analysis

Start by identifying your client demographics – age, gender, income level, education, family status, occupation, etc. Your content and tone of voice are both dependent on who you are speaking to. For example, ads targeting millennials have a more casual and friendly style compared to those addressing baby boomers.

Explore in-depth their interests, hobbies, values and lifestyles. You can do that by checking the social media pages of businesses that target your ideal customers. See how your audience responds to their posts, keep an eye on what posts they like, what content they share and comment on.

Think carefully about your unique value proposition – how does your product or service solve the  of your customers? In your banner ads it is always much more effective to highlight the unique benefits that you offer rather than the technical features.

Visual Appeal – Win the Attention of Your Customers

You already know that people are visual beings. According studies, we remember 80% of what we see and only 20% of what we hear. That’s why you need to choose your images or graphics wisely. They have to align with your core messaging and complement your textual content and call-to-actions.

Select color combinations that will evoke the right emotions in your audience. Spend some time analyzing color psychology and what feeling each color is associated with. For example, red brings excitement, strength, love and energy, while white is related to innocence, simplicity and honesty. Do a bit of research on global brands, see the colors they use on their websites and think about how this correlates with their product/service and target audience.

Grab the attention of the readers with creative and actionable call-to-actions!

Banner to Landing Page Experience

Your customers need to have a consistent experience throughout their customer journey. That’s where you need to make sure you offer them a seamless visual and thematic transition from the banner ad to the landing page or website. The colors, fonts, tone of voice, the overall messaging need to be synchronized, otherwise the users will lose their attention. This coherence between the ad and the landing page creates a sense of trust and reliability in the user's mind, reducing confusion and cognitive dissonance.

Monitor & Improve Performance

Optimizing performance is an endless cycle of proactive and reactive management. Be proactive and look for ways to improve your content, your visuals or CTAs to better match with your customer needs. Keep an eye on the competition and what their advertising materials look like. Stay on top of the latest marketing trends and the evolving consumer preferences.

Analyze the performance data and look for ways to improve it. Why is the CTR lower this month, does the new call-to-action have a positive impact, does the headline support the content of the image and so on. In this way, you make sure that your banner ads are effective, up to date and they work towards maximizing your ROI.

Dynamic Banner Ads with Smartico

Local advertisers usually do great at targeting their regional customers with weekly offers and promotions. Being able to quickly update their ad creatives and serving them on local newspapers with the power of contextual targeting gets the job in 90% of the cases.

That’s why we created Smartico – the go-to local publisher partner for crafting visually stunning and highly effective banner ads, especially tailored for small and medium-sized businesses. Our unique blend of AI and human creativity takes the hassle out of the ad creation, turning any content - be it a URL, print ad, or social media post - into eye-catching and engaging ads.

Our approach ensures a smooth and consistent user experience from ad to landing page, boosting trust and conversions. Plus, the mix of AI and human insight means your ads won't just look great - they'll resonate with your audience too. With Smartico, you're not just getting an ad, you're getting a creative, and smart solution that fits perfectly into various digital spaces. Get your Free Demo Ad here.

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