In recent years, keyword bidding advertising has become a popular method for businesses to promote their products and services online. However, there are several drawbacks associated with this form of advertising that businesses should be aware of. In this article, we will explore these drawbacks from various perspectives.
Lack of Credibility
One of the main drawbacks of keyword bidding advertising is that it lacks credibility. Consumers are becoming increasingly savvy and can easily identify advertisements from organic search results. In fact, a recent study found that only 7% of consumers trust paid advertisements, compared to 27% who trust organic search results. This lack of trust can lead to lower click-through rates and conversions, ultimately impacting the effectiveness of the advertising campaign.
High Costs
Another significant drawback of keyword bidding advertising is the high costs associated with it. Businesses bid on specific keywords, and the highest bidder gets their advertisement displayed at the top of search results. However, this bidding process can quickly become expensive, especially for popular keywords. In addition, the cost per click can also increase over time, making it difficult for small businesses to compete with larger enterprises.
Limited Reach
Keyword bidding advertising also has a limited reach. In order to reach a broader audience, businesses must bid on a large number of keywords, which can quickly become expensive. Additionally, this approach is not always effective, as consumers may not be searching for the keywords that the business is bidding on. As a result, the return on investment may be lower than expected.
Ad Blockers
With the rise of ad blockers, keyword bidding advertising may not even be visible to consumers. Ad blockers are becoming increasingly popular, with over 25% of internet users using them. This can significantly impact the effectiveness of keyword bidding advertising campaigns, as the ads may not be visible to a large portion of the target audience.
Conclusion
In conclusion, while keyword bidding advertising can be an effective way for businesses to promote their products and services online, it is not without its drawbacks. These include a lack of credibility, high costs, limited reach, and the rise of ad blockers. Businesses should carefully consider these factors before investing in a keyword bidding advertising campaign, and should explore alternative advertising methods if necessary.