GLOSSARY

Ecommerce Advertising

A method of creating top-of-funnel awareness of an online store and products. The goal is to generate website traffic and new customer acquisition through paid placements on third-party platforms, either by targeting new prospects or retargeting those who have expressed interest.

What is ecommerce advertising?

A person shops ecommerce websites on their mobile phone, a laptop and a tablet.

Ecommerce advertising is placing advertisements on an online retailer page. To be more specific, ecommerce advertising is creating an interaction with a consumer in a place where they are already prepared to purchase something, or are at least considering it.

What’s the value of ecommerce advertising?

Ecommerce advertising’s primary benefit is that it integrates advertisements into an online marketplace. Consumers using online marketplaces are already considering purchases, which makes meeting them in that space valuable.

Ecommerce advertising also benefits from purchase data collected by the ecommerce platform. Past purchase history is a strong indicator of future purchase decisions, which means that online marketplace advertisements perform well and provide excellent ROI.

How is ecommerce advertising performed?

Typically, sellers turn to software products to handle ecommerce advertisements. Like all marketing techniques, data and automation make the most of ecommerce advertising, and software can unlock the potential of both of those when implemented correctly.

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