Which two reasons can cause an ad to reach only a limited audience?

Reaching only a limited audience can happen for a variety of reasons, and among the options presented, the combination of a low bid cap and insufficient placements effectively illustrates this situation.

When a bid cap is too low, it restricts how much is willing to be spent on ad placements. This might result in the ad not being shown as frequently or to a broader audience, leading to limited reach. Advertisers set bid caps to control costs, but if it's set too conservatively, the ad could miss opportunities to compete for placements effectively.

Additionally, a lack of adequate placements means that the ad may not be shown across enough different platforms or formats. Limited placements can be due to various factors, such as overly stringent targeting parameters or restrictions in the ad setup, which prevent it from appearing in a wide range of contexts.

These two factors combined can significantly limit the overall exposure of an ad campaign, resulting in a narrower audience reach. This highlights the importance of balancing cost concerns with the need for sufficient visibility in digital advertising strategies.