Latent Demand Channels
Latent demand channels reach consumers who have shown some previous interest in a product or type of product but aren't actively searching at the moment. From an advertiser's perspective, these channels help keep your products top of mind until the shopper is ready to make a purchase. Additionally, it may be your ad that gives them the incentive, or push, they need to finally make a purchase.
Typically, latent demand channels include more passive forms of advertising. Remember, their purpose is to be visible to a slightly-more-than-casual shopper. These aren't ads served at the moment of a search. Rather, they provide a subtle reminder to potential shoppers that you're out there and have something relevant to sell them.
Display advertising is a popular and dynamic form of latent demand advertising found on websites in a variety of sizes and formats. A display ad's content is shared in the form of text, static images, flash animation and video. Display advertising is popular with digital marketers because of its advanced targeting capabilities:
While it's likely you'll see conversions from display ads, this ad format should be treated as a way to stay top of mind with potential customers outside of search engines. And because of its dynamic, image-based format, display advertising is also a great way to beef up your branding efforts.
Retargeting, also called remarketing, is a highly targeted form of display advertising that works by keeping track of the customers who visit your website and serving ads to them as they visit other sites. Because the only shoppers who will see these ads are previous visitors to your site, it makes the audience viewing your ad more qualified.
So how does it work? When customers visit your site, a tracking cookie is placed on their computer. This pixel stays with users for up to 30 days or until they delete their browser cookies. Retargeting also allows retailers to segment site visitors into groups, based on their behavior while on the site. You can then serve custom ads to the different audiences based on what's most relevant to their experience. For instance, you can tailor your banners to promote a product that a user was reviewing but didn't purchase.
Retargeting is an effective way to combat shopping cart abandonment. Sometimes just the extra reminder to site visitors seals the deal. In other cases, offering a promotion to entice visitors to come back to the site will help with conversion.
Affiliate sites target consumers with interests related to what you sell. Typically, these consumers like to browse and might only need a gentle nudge to step back into the shopping cycle. They may browse your affiliate's daily deal site on a regular basis looking for something in your product category that catches their eye. When the urge to buy strikes, you need to make sure your products are there.
Affiliate marketing is attractive for retailers because it usually operates under a cost per acquisition (CPA) pricing model, meaning that payment is due only after a sale or lead is generated.
As you've seen, you need to be everywhere your shoppers are. And increasingly, that means where the digital conversations often begin: social media. Social media sites have become valuable tools for online retailers looking to expand their brand presence and engage directly with their customers. Additionally, some social sites even allow retailers to promote their products using information found in their data feed.
When looking for the right social media site to promote your products, here are a few retail-centric sites to consider: