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Naver Ads: How to Avoid Common Mistakes

Index

Naver is South Korea’s largest portal site, where many people search for and consume information. As such, Naver ads plays a vital role in promoting businesses and attracting customers.

When starting Naver ads, many people make similar mistakes. If you know about these mistakes in advance and avoid them, you can greatly improve your advertising effectiveness. Let’s look at what kinds of mistakes there are, one by one.

Keyword Selection Mistakes in Naver Ads

1. Advertising Only with Your Company Name or Brand Name

“Advertising with our company name should be enough, right?” 

While this can help increase brand awareness, it has limitations in attracting new customers. This is because people who don’t know your brand won’t search for that keyword.

Example:

  • Incorrect: “Happy Bakery” (using only the business name)
  • Improved: “Nearby bakery”, “Fresh daily bread”, “Organic bakery”, etc.

2. Choosing Keywords with Low Relevance

“Any popular keyword should be good?” 

That’s not the case. Advertising with keywords unrelated to your business will result in low click-through rates, and even if there are clicks, the conversion rate will be low.

Example:

  • Incorrect: Using “restaurants” keyword for a clothing store
  • Improved: “Daily look”, “Office wear”, “Women’s clothing in their 20s”, etc.

3. Using Overly Broad or Narrow Keywords

Keywords that are too broad like “fashion” are highly competitive and costly, while overly specific keywords like “2024 spring new pink cashmere sweater” may have low search volume and be less effective.

Example:

  • Incorrect: “Clothes” (too broad) or “2024 spring new pink cashmere sweater” (too specific)
  • Improved: “Spring new sweater”, “Cashmere sweater recommendations”, etc.

💡 Keyword Selection Tips:

  • Think about search terms that people looking for your product or service might actually use.
  • Utilize Naver’s search autocomplete feature to find related keywords.
  • Use Naver’s keyword tools to check search volume and competition.
  • Appropriately combine long-term and short-term keywords.

Naver Ads Budget Management Mistakes

Budget management is crucial for maximizing advertising effectiveness and reducing unnecessary spending. However, many beginners make mistakes in this area.

1. Starting Without a Proper Budget Plan

“I’ll just start and adjust later?” 

This approach can quickly deplete your budget or, conversely, result in insufficient budget for effectiveness.

Example:

  • Incorrect: Starting without setting a monthly budget
  • Improved: Allocating 10% of monthly revenue for advertising and dividing it into daily budgets

2. Falling for Monthly Fixed-Rate Inducements

“Monthly fixed-rate seems convenient and good, doesn’t it?” 

While it may be convenient, you might end up paying fixed costs regardless of actual advertising effectiveness. This is particularly risky for beginners who may find it difficult to accurately assess their advertising performance.

Example:

  • Incorrect: Signing a 1 million KRW monthly fixed-rate contract without knowing advertising performance
  • Improved: Starting with CPC (Cost Per Click) method and gradually increasing budget based on performance

💡 Budget Management Tips:

  • Start with a small budget and gradually increase it.
  • Set daily budget limits to prevent excessive spending.
  • Regularly check advertising performance and calculate ROI (Return on Investment).

Lack of Landing Page Optimization

No matter how good your keywords are for advertising, if the page visitors land on (landing page) after clicking is not optimized, the advertising effect will decrease. Many beginners overlook this aspect.

1. Using Landing Pages That Don’t Match the Search Terms

“Sending them to our homepage main page should be fine, right?” 

That’s not the case. You should link to pages related to what the user searched for.

Example:

  • Incorrect: Linking “winter padding” keyword ad to the company’s homepage main page
  • Improved: Directly linking “winter padding” keyword ad to the winter padding product page

2. Providing Complex and Inconvenient User Experience

“The more information, the better?” 

This can actually have the opposite effect. Users should be able to find the information they want quickly and easily.

Example:

  • Incorrect: Too many pop-ups, complex menu structure, slow loading speed
  • Improved: Clean design, clear CTA (Call-to-Action) buttons, fast loading speed

💡 Landing Page Optimization Tips:

  • Clearly display content related to the search keyword at the top of the landing page.
  • Apply responsive design for mobile users.
  • Optimize page loading speed.
  • Provide clear CTAs (Buy Now, Inquire, etc.).
  • Continuously improve landing pages through A/B testing.

Insufficient Targeting Settings in Naver Ads

Accurate targeting is a key factor in increasing advertising efficiency. However, many beginners overlook or incorrectly set this part.

1. Ignoring Targeting Options Like Region, Gender, Age, etc.

“Isn’t it better to advertise to everyone?” 

That’s not the case. This can waste budget on unnecessary exposures and clicks.

Example:

  • Incorrect: Advertising to all age groups nationwide
  • Improved: Setting target as women in their 20s-30s in Seoul (for a women’s clothing shopping mall)

2. Advertising to Unnecessary Regions

“Our store is in Seoul, but should we advertise nationwide?” 

For offline stores, it’s more effective to focus on the local area and nearby regions.

Example:

  • Incorrect: Advertising an offline store in Gangnam-gu, Seoul, nationwide
  • Improved: Limiting advertising to Gangnam-gu and adjacent districts

💡 Targeting Setting Tips:

  • Accurately identify your main customer base.
  • Utilize various targeting options in Naver advertising (region, gender, age, interests, etc.).
  • Use time-of-day targeting to increase efficiency (e.g., restaurant ads during lunch hours).
  • Use retargeting to advertise again to users who have previously visited your site.

Effective Naver Ads Strategies

An effective keyword strategy is key to success in Naver advertising. How can we select and manage good keywords?

Setting Up Highly Relevant Keyword Groups

Grouping related keywords is more effective than randomly listing keywords. This makes ad management easier and can increase quality scores.

Example:

  • Group 1: Women’s sneakers, Women’s running shoes, Women’s walking shoes
  • Group 2: Men’s dress shoes, Men’s formal shoes, Men’s loafers

Using Synonyms and Related Search Terms

People search for the same meaning using various expressions. Include these diverse expressions to increase your ad’s exposure opportunities.

Example:

  • Main keyword: Diet meal plan
  • Synonyms/Related terms: Weight loss food, Low-calorie meal plan, Diet food recommendations

💡 Keyword Strategy Tips:

  • Use Naver’s search autocomplete feature to find related keywords.
  • Use Naver’s keyword tools to check search volume and competition.
  • Reference competitors’ ad keywords, but don’t blindly copy them.
  • Regularly analyze keyword performance and boldly remove ineffective keywords.

Budget Management

Effective budget management is crucial for increasing ad ROI. How can we manage the budget efficiently?

Establishing an Appropriate Budget Plan

Rather than blindly investing budget, you should establish a systematic plan. It’s good to start with a small budget and gradually increase it.

Example:

  • Stage 1 (Weeks 1-2): Start with a daily budget of 10,000 KRW
  • Stage 2 (Weeks 3-4): Increase daily budget to 20,000-30,000 KRW based on performance
  • Stage 3 (Week 5 onwards): Set optimal budget considering ROI

Adjusting Bid Prices by Keyword

Applying the same bid price to all keywords is inefficient. Adjust bid prices according to each keyword’s performance and importance.

Example:

  • High-performing keyword “Diet lunch box”: Increase bid price
  • Low-performing keyword “Healthy food”: Decrease bid price or pause temporarily

💡 Budget Management Tips:

  • Set daily budget limits to prevent excessive spending.
  • Analyze ad performance and readjust budget on a weekly or monthly basis.
  • Operate budget flexibly according to peak/off-peak seasons.
  • Allocate more budget to keywords with high conversion value.

Landing Page Optimization for Naver Ads

No matter how good your ad is, if the landing page isn’t optimized, its effectiveness will decrease. How can we optimize landing pages?

Providing Landing Pages That Match Search Terms

Users expect the information they searched for on the landing page. Accurately reflecting this expectation increases the conversion rate.

Example:

  • Search term “Affordable men’s suits”: Link to the men’s suits page with sale information

Simplifying Design and Navigation

A complicated page design can discourage users. Make it simple and easy for users to find the information they want.

Example:

  • Incorrect: Complicated menus and various pop-ups
  • Improved: Simple menu structure, clear CTAs, fast page loading speed

💡 Landing Page Optimization Tips:

  • Ensure content related to the search keyword is visible at the top of the landing page.
  • Apply responsive design for mobile users.
  • Optimize page loading speed.
  • Provide clear CTAs (Buy Now, Inquire, etc.).
  • Continuously improve landing pages through A/B testing.

Precise Targeting Settings

Accurate targeting increases ad efficiency. How can we set precise targeting?

Setting Targeting by Region, Gender, Age, etc.

Naver ad platform allows for detailed targeting. Use this to accurately set your main customer base.

Example:

  • Demographic targeting: Women in their 20s-30s interested in fashion
  • Regional targeting: Users in Seoul and adjacent areas

Using Time-of-Day Targeting

People’s online activities vary by time of day. Targeting ads at specific times can increase their effectiveness.

Example:

  • Restaurant ads: Displayed around lunch and dinner times

💡 Targeting Setting Tips:

  • Accurately identify your main customer base.
  • Utilize various targeting options in Naver advertising (region, gender, age, interests, etc.).
  • Use time-of-day targeting to increase efficiency (e.g., restaurant ads during lunch hours).
  • Use retargeting to advertise again to users who have previously visited your site.

Conclusion

We covered crucial considerations and frequent errors that beginners to Naver advertising should be aware of. By avoiding common mistakes in keyword selection, budget management, landing page optimization, and targeting settings, you can maximize your advertising effectiveness and save unnecessary costs.

Naver Ads Partner

Finally, remember that successful advertising requires continuous analysis and improvement. By regularly analyzing performance data and reflecting results in future strategies, you can achieve more effective advertising results.

Growth Marketing Agency is an official partner of Naver, equipped with the knowledge and expertise to help you navigate the complexities of Naver advertising. 

Unlike Google and Meta, where simply registering is enough to start working with the platforms, Naver and Kakao require agencies to be qualified and licensed to become official partners.

This distinction is significant in Korea, highlighting the importance of working with an officially recognized agency. 

Our team of experienced professionals is dedicated to maximizing your ad performance, ensuring that your campaigns reach the right audience and achieve optimal results. If you have any questions or difficulties, don’t hesitate to seek our expert advice.

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