Google Display Ads: Build Brand Awareness and Drive Traffic on a Budget
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You're reading an article about gardening tips, and suddenly there's an ad for outdoor furniture. You're checking the weather forecast, and an ad for winter jackets appears. You're browsing your favourite news site, and you see an ad for that laptop you looked at yesterday. These are all Google Display Ads.
Unlike Search Ads that appear when someone actively searches for something, Display Ads appear on websites, apps, and YouTube across Google's network of over two million sites. For New Zealand businesses, Display Ads offer a cost effective way to build brand awareness, stay top of mind, and bring back visitors who didn't convert the first time.
In 2026, Google Display has evolved far beyond simple banner ads. The network now uses sophisticated AI to predict which audiences are most likely to engage, automatically creates ad variations that perform best, and optimises placements in real time. For Kiwi businesses looking to expand beyond search advertising, understanding when and how to use Display Ads can unlock significant growth opportunities.
How do Google Display Ads actually work?
Google Display Ads work fundamentally differently from Search Ads. Instead of targeting keywords that people search for, you target audiences based on their interests, demographics, browsing behaviour, or previous interactions with your website.
Here's how it works. You create visual ads (images, animations, or responsive ads). You choose who should see them based on audience targeting. Google shows your ads across millions of websites and apps in its Display Network. You pay when someone clicks your ad or when it's shown 1,000 times (depending on your bidding strategy).
The Display Network reaches over 90% of internet users worldwide. In New Zealand, that means your ads can appear on popular sites like Stuff, NZ Herald, Trade Me, and thousands of other websites where your customers spend time.
You can target people who have already visited your website (remarketing), people interested in specific topics (like fitness or home renovation), people in the market for products like yours (in market audiences), or people with specific demographics (age, gender, location, income).
The key advantage of Display Ads is reach and frequency. While Search Ads only appear when someone searches, Display Ads can appear throughout someone's day as they browse different sites. This repeated exposure builds familiarity and trust over time.
When should NZ businesses use Display Ads?
Display Ads aren't right for every situation. They work best for specific marketing objectives where visual branding and repeated exposure matter. Use Display Ads when you want to build brand awareness. If you're launching a new business or product, Display Ads get your brand in front of thousands of potential customers quickly. They're perfect for making sure people recognise your brand when they eventually need what you offer.
They're excellent for retargeting website visitors. Someone visits your site, browses products, but doesn't buy. Display Ads can follow them around the web, reminding them to come back. This remarketing approach typically generates much better ROI than cold audience targeting.
Display works well for staying top of mind. If you offer services people don't need constantly (like insurance, legal services, or home renovation), Display Ads keep your brand visible so when they do need you, you're the first business they think of.
They're cost effective for reaching large audiences. Display Ads typically cost much less per click than Search Ads. If you need to reach thousands of people on a limited budget, Display delivers volume that Search can't match.
Use Display for promoting time sensitive offers. Announcing a sale, event, or limited time promotion? Display Ads can blast your message across thousands of sites quickly.
Display Ads don't work as well when you need immediate conversions. Someone seeing your ad while reading news isn't in buying mode the same way someone searching "buy laptop Auckland" is. Expect lower conversion rates but higher overall reach.
What types of Display campaigns can you run?
Google offers several Display campaign types, each designed for different marketing goals:
Standard Display campaigns give you control over audience targeting, placements, bids, and ad formats. You decide who sees your ads and where they appear. This works well when you want granular control and have clear audience segments in mind.
Smart Display campaigns (being phased into Performance Max) use Google's machine learning to automate targeting, bidding, and ad creation. You provide images, headlines, and descriptions. Google tests combinations and optimises for conversions automatically.
Performance Max with Display uses Google's AI to optimise across Display, Search, YouTube, Gmail, and Discover simultaneously. You set conversion goals and budget. Google handles targeting and placement decisions. Many NZ businesses are seeing strong results, though you sacrifice control over where ads appear.
Gmail ads appear at the top of users' Gmail inboxes, looking like emails until clicked. They expand into full ads when engaged. These work well for B2B businesses or services where email like messaging makes sense.
Responsive Display Ads automatically adjust size, appearance, and format to fit available ad spaces. You upload images, headlines, descriptions, and logos. Google assembles the best performing combinations for each placement.
Discovery campaigns show visual ads on YouTube Home Feed, Gmail Promotions tab, and Google Discover feed. These placements target people in browsing mode, making them ideal for ecommerce and lifestyle brands.
How much do Display Ads cost in New Zealand?
Display Ads are significantly cheaper than Search Ads, making them accessible for businesses with smaller budgets.
In New Zealand, typical cost per click for Display Ads ranges from $0.20 to $1.50, depending on your industry and targeting. This is considerably lower than the $2 to $15 you might pay for Search Ads clicks. However, Display Ads also have lower conversion rates. Someone clicking a Display Ad is earlier in their buying journey than someone actively searching for your product. You'll typically see conversion rates 50 to 80% lower than Search Ads, but you're paying a fraction of the cost per click.
Many Display campaigns use cost per thousand impressions (CPM) bidding instead of cost per click. With CPM, you pay for every 1,000 times your ad is shown, regardless of clicks. In New Zealand, CPM rates typically range from $2 to $8 per thousand impressions.
Most NZ businesses should budget at least $20 to $40 per day for Display campaigns to achieve meaningful reach. Smaller budgets work if you're only remarketing to website visitors, but you'll need larger budgets for cold audience prospecting.
Here's the key metric for Display success: view through conversions. These are conversions that happen within 30 days of someone seeing (but not clicking) your ad. Display Ads build awareness that leads to conversions later, often through other channels. Don't judge Display solely on direct click conversions.
How do you create effective Display Ads?
Creating Display Ads that actually drive results requires more than just uploading your logo and some text.
Start with compelling visuals. Your image is everything in Display Ads. Use high quality product photos, lifestyle images that show your product in use, or eye catching graphics that communicate your value proposition instantly. Avoid cluttered designs. Simple, bold visuals perform best.
Include a clear call to action. "Shop Now," "Learn More," "Get Started," "Book Free Consultation." Tell people exactly what you want them to do. The clearer the call to action, the better the response.
Keep text minimal. People are scrolling through content, not studying ads. Your headline should be five to seven words maximum. Your description should be one short sentence. If someone can't understand your message in two seconds, simplify.
Use remarketing strategically. Create different ad messages for people at different stages. Someone who viewed your homepage gets a general brand message. Someone who abandoned their cart gets a specific reminder with an incentive to complete their purchase.
Test multiple ad variations. Upload several image options, headlines, and descriptions. Google's algorithm will identify which combinations perform best. Let the data guide your creative decisions.
Choose placements carefully. You can let Google automatically choose where your ads appear, or manually select specific websites. For most NZ businesses, automatic placements work well initially. Once you have data, review placement reports and exclude sites that don't convert.
Exclude mobile apps if quality concerns you. Display Ads can appear in mobile games and apps where accidental clicks are common. If you're concerned about click quality, exclude app placements in your campaign settings.
In 2026, Google has enhanced Display Ads with better animation options, interactive ad formats, and improved audience predictions. The platform can now identify which creative elements (colours, images, messaging) resonate with different audience segments and automatically adjust.
What about Display Ad targeting options?
Targeting is where Display Ads either succeed or waste your budget. Google offers several targeting methods worth understanding.
Remarketing targets people who have already visited your website. This is typically the highest ROI Display targeting because these people already know your brand. You can create audiences based on specific pages visited, time on site, or actions taken.
In market audiences target people Google identifies as actively researching or planning to buy products or services in specific categories. If you sell home insurance, you can target people in market for insurance products.
Affinity audiences target people based on their long term interests and habits. Think "fitness enthusiasts," "home renovation aficionados," or "frequent travellers." These audiences are broader but useful for brand awareness.
Custom audiences let you target based on keywords people have searched, websites they've visited, or apps they've used. This gives you search like targeting in Display format.
Demographic targeting lets you narrow by age, gender, parental status, or household income. Useful if your product appeals to specific demographics.
Placement targeting lets you choose specific websites, YouTube channels, or apps where you want your ads to appear. If you know your customers read specific sites, target those directly.
Topic targeting shows your ads on sites about specific topics (sports, finance, home and garden). Broader than placement targeting but more focused than audience targeting.
The best Display campaigns typically combine multiple targeting methods. Start with remarketing to website visitors, then expand to in market and affinity audiences that show promise.
Ready to launch your Display campaigns?
Google Display Ads offer New Zealand businesses a cost effective way to build brand awareness, stay visible to potential customers, and bring back website visitors who didn't convert. While Display won't deliver the immediate conversions that Search Ads do, it plays a crucial role in the customer journey by building familiarity and trust over time.
Success with Display Ads comes down to compelling creative, strategic targeting, and understanding that Display is a branding and consideration channel, not a direct response channel. The businesses winning with Display in 2026 are those using it alongside Search and other channels, creating a comprehensive marketing approach.
Book a free discovery session with Bump Digital and we'll show you exactly how Display Ads could fit into your marketing strategy. We'll review your goals, identify the right audiences, and give you a clear plan, whether you work with us or not. No sales pitch, just practical advice from a team that manages Display campaigns for NZ businesses every day.
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