Ad Spend During Coronavirus: Paid Traffic Trends

This article is about the key takeaways from a recent study of paid search traffic patterns during Coronavirus.

The “how did covid-19 affect marketing” is a question that has been asked numerous times in recent weeks. The “Ad Spend During Coronavirus: Paid Traffic Trends” will answer the question for you.

Ad spending is on the decrease as a result of the Covid-19 epidemic. But, how can you make the best of the crisis for your company?

Keep in mind the shifting consumer behavior before we discuss how the coronavirus outbreak affects online ad expenditure. The number of individuals remaining inside is at an all-time high.

This suggests that individuals spend a considerable portion of their time online. When the epidemic is over, we’ll most likely see this behavior persist for quite some time.

Following are some examples of continuing trends: 

  • People are spending more time online than ever before.

  • When it comes to ad spending, businesses and their marketing departments are becoming increasingly wary.

  • People are hoping that governments would loosen limitations so that they may “return to normal.”

  • The buying power of the general public has plummeted. 

So, how can companies reconcile these tendencies and make informed advertising decisions?

COVID-19: The Current State of Ad Spending

Coronavirus was first linked to the 2008 financial crisis, but as time passed, more and more parallels to the Great Depression of the 1930s emerged. As the situation has deepened, it seems that we will experience the world’s worst recession since that time. 

Consumer Impact of a Pandemic

With global unemployment rates at an all-time high, nearly no nation is immune to the trend. The number of persons claiming for unemployment benefits in the United States is at an all-time high. 


This, of course, has a detrimental influence on customer confidence and spending, even among those who have been unaffected by the coronavirus outbreak.

However, according to SEMrush statistics, the term “purchase online” soared in March, with up to 27K+ monthly searches. As a result, it seems that people are willing to spend money online and undertake some online shopping, even if the true shopping experience is still a long way off.


Impact of the Pandemic on Advertisers

The amount of money spent on advertising has decreased considerably. This is true for both big and small firms, from your neighborhood grocery store to international corporations. 

When we compare February 2020 to March 2020 information from SEMrush, we find a significant movement in digital ad expenditure.


Smaller-scale marketers have experienced the largest reduction in ad spend, while those with ad spend surpassing $1 million have seen the only gain. 

Changes in Ad Spend in the Advertising Industry

When we look at the industry split, we can see a trend that is similar to what we saw earlier:


Beauty and fitness are the only two sectors that have maintained, if not grown, their ad spending. 

Even before COVID-19, these sectors were already under pressure to compete with their online rivals. As a result, they seem to be the ideal candidates for swiftly adapting to changing environments and identifying development prospects. 

Furthermore, many brick-and-mortar beauty and fitness firms anticipate a brief surge in revenue once the lockdown is lifted. They’ve also been giving discounts, selling gift vouchers, and placing people on waitlists, which are likely to fill up quickly once the restrictions are lifted.

Impact of Ad Positioning

Digital news, gaming, and streaming are becoming popular among the general public. According to SEMrush Traffic Analytics data, Italian YouTube is enjoying a 49,04 percent growth in traffic, while Google’s overall net income for 2020 is expected to drop by $28.6 billion. 

The catch: Despite poor consumer confidence and declining spending power, firms might still view internet advertising as a viable option. 

Advertising expenditures have decreased as a result of lower ad spend.

In the midst of the crisis, a window of opportunity exists.

According to SEMrush’s CPC Map, most sectors are seeing a decrease in average CPC. As a result, you can now attract more users per dollar than you could before COVID-19.

The main exceptions are the Beauty & Skincare, Jewelry, and Home & Garden sectors, which are seeing increased demand.


What Has Continually Persisted

However, the previous patterns hold true: insurance and online education continue to be the most costly sectors to advertise in. And it’s not unexpected that their cost per term has dropped just little Since both insurance and online education are on the increase.


To Spend or Not to Spend at COVID-19?

Only you know how to appropriately allocate ad spend in your marketing campaigns. In a word, the option is between reaching more consumers per dollar and conserving money for better days ahead.

Keep both the short-term and long-term market views in mind while making marketing and advertising decisions:

  • The shift from physical to online (including in advertising) will almost certainly continue. People’s online habits have evolved and developed, therefore start or extend your online activities now to avoid being the last man standing in the dwindling offline area. 

  • To compensate for the leads they would typically acquire during events, several essentially B2B firms are raising their digital advertising expenditure. Veeam, Kaspersky, Slack, and Cloudflare are among the companies that boosted their paid traffic by up to 10X in March 2020 compared to February 2020, according to SEMrush Traffic Analytics.


  • The ad spend reduction in travel and events is unavoidable since it is unknown when the limits imposed on them will be lifted. While ad expenses are minimal, many other businesses that are anticipated to debut in the initial waves of deregulation may start planning for the influx of clients in advance.

  • Look for fresh possibilities when the landscape changes. Consumers are online at times marketers never imagined targeting due to changing internet behaviors. So, before your rivals find it out, you could try to adapt your advertising to the ideal hours for your target demographic.

  • You may take advantage of the increased media traffic and news outlets as a result of the ongoing flow of breaking news by targeting these platforms with your internet advertising at a cheaper cost than before the coronavirus epidemic.

Last Points to Consider

In the new coronavirus and post-COVID-19 age, the main concept of marketing and advertising is to adapt to the new client. So, stay digital and chart how your target audience’s lifestyle is evolving.

Find them at the right place at the right time, and if you’re ready to spend some money on advertising, you may now reach them at an unheard-of price.

Customer behavior may need changes in your message. You may promote new offers, provide client-friendly financing for your services, or just change your whole marketing approach to match changing consumer demand. 

With all of this fresh data coming in all the time, we’d want to learn how your company or marketing team is dealing with the situation. Let us know how your strategy to internet advertising has evolved or will change in the days, weeks, or even months ahead in the comments section below!

Watch This Video-

“The “covid impact on sales and marketing” is the topic of conversation in the industry. The Coronavirus has had a significant impact on online advertising, but what are the effects on paid traffic? We explore this question in our latest blog post.

Related Tags

  • how much has the government spent on covid advertising
  • how covid-19 has changed advertising
  • advertising spend during covid
  • advertising during coronavirus
  • future of digital marketing after covid-19

Leave a Comment

Your email address will not be published.