It's that time of the year again! And we're not talking about the end of summer and the heat.
We're talking about election season. Every four years, not only do we get the joy of spammy phone calls and text messages, but we also get to deal with the impact of it in our marketing.
The political landscape significantly influences various sectors, especially the world of paid advertising. With political campaigns flooding the media with ads, businesses face increased competition and higher advertising costs.
Understanding these impacts and developing strategies to reduce their impact on your business is crucial for maintaining your campaigns. That's why we're breaking down everything about election years, how they affect paid advertising, the peak periods to watch out for, and practical strategies to navigate these challenges!
The Impact of Election Years on Paid Advertising
Election years bring a surge of political advertisements across various platforms, notably within the Meta auction. Political campaigns, armed with substantial budgets, compete aggressively to capture the attention of potential voters.
This influx can drive up advertising costs significantly, with increases beginning a few months before the election. As political ads start to flood the market, businesses will start noticing impressions (CPM) get more expensive along with cost per lead (CPL), and cost per sale (CPS).
But Bigger Increases Are Coming
If you've already noticed things getting more expensive, you're right. But unfortunately, it will only keep getting worse leading up to the election.
As the election gets closer, the weeks leading up to it will only get more challenging. During this period, advertising costs can spike by up to 10-20%. The most substantial impact is typically seen in the last 4-6 weeks before the election, as political campaigns ramp up their efforts to sway voters.
For businesses, this means preparing for elevated costs and heightened competition during this critical window.
Key Dates to Watch
To better navigate the election year landscape, it's essential to be aware of significant dates that could affect advertising strategies:
- August 19-22: The Democratic National Convention
- September 16: The first presidential debate
- September 25: The vice presidential debate
- October 1: The second presidential debate
- October 9: The third presidential debate
- November 5: Election day
Each of these events can drive spikes in political advertising, further intensifying competition and costs so plan ahead!
Strategies to Combat Increased Advertising Costs
Navigating the heightened advertising costs during an election year requires strategic foresight and flexibility. By proactively adjusting your strategy, you help mitigate the financial impact and maintain the effectiveness of your campaigns. Here are 3 ways to do that:
1. Adjusting Your Budget
- Increase Budgets: To stay competitive and maintain the same CPM, CPL, and CPO, businesses may need to increase their advertising budgets. Ramping up spend gradually each month leading up to the election can help manage costs effectively.
- Decrease Budgets: Alternatively, businesses can choose to reduce their budgets during the 4-6 week peak period before the election, and specifically the day before and the day of the election. This approach can help mitigate high costs, though it may result in higher CPM, CPL, and CPS.
- Dayparting: Running ads during off-peak hours, when competition is lower, is another strategy to consider. While not ideal, it can be a useful tactic if costs rise significantly during certain times of the day.
2. Focusing on Audience and Channels
- Retargeting: Leveraging proven retargeting strategies can help businesses reach potential customers more effectively. By focusing on audiences who have already shown interest, companies can maximize their advertising spend.
- Strengthening Owned Channels: Channels like email marketing, where businesses have direct access to customers without competing bids, can be particularly valuable. Enhancing these channels ensures a consistent touchpoint with the audience, regardless of external advertising pressures.
3. Optimizing Messaging
- Develop Strong Messaging Early: Months before the election, businesses should establish a robust messaging strategy and identify the creatives that are most effective in generating leads for you target audience.
- Promote Strong Offers: In a competitive advertising environment, compelling offers can be the key to attracting and retaining customers. Crafting and promoting strong offers can help businesses stand out amid the noise of political advertisements.
Conclusion
Navigating the advertising landscape during an election year requires strategic planning and adaptability. By understanding the impact of increased political advertising, adjusting budgets, focusing on targeted audiences and channels, and optimizing messaging, businesses can effectively manage the challenges and continue to reach their goals.
If you need expert guidance to navigate these challenges and prepare your advertising strategy for the upcoming election period, schedule a call with ad experts at Incline Marketing. Our team is ready and on stand by to help you stay competitive through election season!
