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  • Writer's pictureZohid | 조히드

All About Kakao Ads

Updated: Feb 1

Kakao is a Korean internet company that was founded in 2010. Kakao was established as a result of the merger between Daum Communications and Kakao. The company accounts for the third biggest share in the South Korean search engine market after Naver and Google. The main search engine of Kakao is called Daum.

Search engine market share in South Korea
Caption 1. Search engine market share in South Korea (source: internettrend)

Kakao's most popular product is the 'KakaoTalk'-No.1 messenger app in South Korea. The messenger provides free text and calls features on smartphones and PC. In May, 2017, the app had 220 million registered users globally and 47 million MAU (monthly active users).

What is Kakao for Business and Kakao Ads?

Kakao for Business is an integrated business service platform by Kakao. The platform includes several digital marketing products such as a Kakao channel for enterprises, Kakao sync, Kakao smart message, and of course Kakao Ads. There are 7 advertising products on Kakao:

  1. Search Ads;

  2. Display Ads;

  3. Message Ads;

  4. Brand Search Ads;

  5. Shopping Ads;

  6. Local Ads;

  7. KakaoTalk Biz Board;

Search Ads-Locally called 'Keyword Ads.' Kakao's Search Ads are run on PPC (pay-per-click) and are one of the most popular ad products. Like other search ad products, Kakao search ad campaigns are also planned and operated based on specific keywords and bidding strategies.

Kakao Search Ads
Caption 2. Kakao Search Ads.

Kakao Search Ads are effective to drive the following actions:

  • Drive traffic;

  • Drive leads;

  • Drive sales;

The ads are displayed on a number of portal sites on PC and mobile devices.

PC-Search Ads are displayed on Daum, Nate, Bing, etc, portal sites' top SERP (search engine result page). Also, the ads are shown on Daum content such as Daum News, Daum Cafe, and within partner portal sites' content that are relevant to specific keywords.

Mobile search ads are shown on Daum and Kakao's SERP and within content such as Daum and Kakao news and Daum Cafe. Also, the ads are displayed within partner portal sites' contents that are relevant to specific keywords.

Kakao Search Ads include the following features to provide more relevant information and CTA (call to action) to drive more actions:

  • Search ad extensions to add a secondary title, structured snippets, price table, thumbnail, multi-thumbnail, event or promotion info, and calculator.

  • Shopping ads to add a product image.

  • Fashion ads to increase fashion items' visibility on PC and mobile devices.

Display Ads-Kakao Display Ads are operated on CPC (cost per click), CPM (cost per thousand), and CPA (cost per action). Display ads can be placed on Kakaotalk, Daum, KakaoStory, KakaoService, and partner portal sites such as Nate and Bing on PC & mobile devices.

Kakao Ads
Caption 3. Kakao Display Ads.

Kakao Display Ads are recommended to drive the following actions:

  • Build or increase brand awareness;

  • Drive traffic;

  • Drive actions on your website;

Unlike Naver Display Ads, Kakao Display Ads provides several audience targeting options based on audience demographic data, behavior, interest, and keywords to reach highly relevant audiences. There are three types of display ads:

  • Video Display Ads to promote your brand with video sources;

  • Native Display Ads to fit in the Kakao content such as cafe and news articles;

  • Banner Ads to promote your brand simple and effective way;

Message Ads-It is a direct message service of Kakao. Businesses should have a Kakao Channel to use message ads. Message ads are very effective in reaching the most relevant target audience on KakaoTalk, No. 1 messenger app in South Korea.

Kakao Message Ads
Caption 4. Kakao Message Ads.

Message Ads are recommended to drive the following actions:

  • Promote your big or periodic sale and events;

  • Drive quality traffic;

  • Increase your Kakao Channel audience;

There are three types of message ads:

  • Wide image message to grab target audiences' attention with various offers such as a discount coupon or big promotions;

  • Wide list messages to promote your product categories;

  • A simple message to promote your brand in a simpler way;

Brand Search Ads-This type of ad is recommended for businesses already built brand awareness in South Korea and people can search your brand using your brand name.

Brand search ads are displayed on Kakao And Daum on PC and mobile devices to drive traffic to your website and promote your new product, periodic or big promotions on the top of Daum and Kakao SERP.

Daum Brand Search Ad
Caption 5. Kakao Brand Search Ads.

Shopping Ads-These ads are designed to promote online shopping malls or e-commerce products on Daum and Kakao on PC and mobile devices. Shopping ads are run on CPT (cost per thousand unique impressions) and can be operated on a weekly or monthly basis.

There are two types of shopping ads:

  • Mobile shopping box;

  • PC shopping box;

Kakao Shopping Ads
Caption 6. Kakao Shopping Ads.

Local Ads-Local ads are recommended for businesses operating restaurants, coffee shops, small shops, etc,. in South Korea. Local ads are similar to the 'Google My Business' service. It is designed to promote local businesses on the Kakao map and Daum and Kakao SERP at the right moment to the right customers.

KakaoTalk Biz Board-This is a beta ad service. KakaoTalk Biz Board ads are banner ads that are displayed at the top of the KakaoTalk chat window to drive traffic to your website or to make audiences take action within the Kakao platform.

KakaoTalk Biz Board
Caption 7. KakaoTalk Biz Board.

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