For Australian small and medium enterprises focused on lead generation, display advertising – those banner ads you see across websites – is a question worth careful consideration. It’s not a ‘yes’ or ‘no’ answer, but rather a ‘depends on your situation’ one. We’ve seen display advertising deliver fantastic results for some clients, and be a poor use of budget for others. Here’s what you need to know.

Firstly, understand display advertising’s strength: brand awareness. While it *can* generate direct leads, it’s often more effective at getting your business name and offering in front of potential customers repeatedly. This is particularly useful if you’re launching a new product or service, or entering a new market. Think of it as a top-of-funnel activity, building familiarity before someone actively searches for a solution you provide.

However, lead generation through display relies heavily on remarketing. Showing ads to people who’ve already visited your website is far more effective than ‘cold’ display ads. These visitors have demonstrated interest, and a well-crafted ad can nudge them towards filling out a form or making contact. Without remarketing, conversion rates from display can be very low, making it a costly lead source.

Another key consideration is targeting. Platforms like Google Display Network allow for detailed targeting based on interests, demographics, and even specific websites visited. But effective targeting requires research and ongoing optimisation. Poorly targeted ads are simply wasted impressions. We often recommend starting with tightly defined audiences and expanding gradually as you analyse performance.

Finally, attribution can be tricky. Unlike search advertising where you can clearly link a click to a lead, display advertising often plays a supporting role in a longer customer journey. It’s important to use a robust tracking system and understand that display might contribute to leads indirectly, even if it doesn’t get the direct click. We’re seeing more sophisticated multi-touch attribution models becoming standard, which will help with this in 2026 and beyond.

So, should you use display advertising? If you have a solid remarketing strategy, a clear understanding of your target audience, and a system for tracking results, it can be a valuable addition to your lead generation mix. If you’re looking for immediate, high-conversion leads, other channels like search or social might be a better starting point. Our recommendation is to start small, test different approaches, and carefully analyse the return on your investment.