Maximizing return on pay per click campaigns roadmap to successful web marketing

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  • 1. Maximizing the Return on Your Pay-Per-Click Campaigns: A key roadmap to successful web marketing Manager, SEO and SEM for By Al Carl Reynolds Web Solutions
  • 2. Paid Search The Agenda: What Is Paid Search? Internet & the Automotive Industry Should Paid Search Be An Integral Component of Your Online Marketing Efforts? Pay Per Click Basics Changes in the Landscape
  • 3. Paid Search – What Is It? Paid Search / Pay Per Click (PPC)
  • 4. Paid Search The Internet & The Auto Industry
  • 5. Paid Search – Auto Industry According to the Polk 2007 Dealer eBusiness Performance Study of New Car Shoppers: 88% Conducted research before walking into a dealership 83% Used the Internet to do vehicle research 79% Used Search to research auto dealers
  • 6. Paid Search – Auto Industry Automotive Online Advertising Spending
  • 7. Paid Search – Auto Industry On-Line Advertising Only 20% of Web users (for car information) said they used print ads when researching vehicles compared to 32% in 2005.* The number of consumers visiting five or more manufacturer sites declined from 44% in 2005 to 34%.* 42% of used car buyers said they turn to dealer sites when researching vehicles.* 30% of retailers traffic in the US came from paid search in August 2008. Within the automotive industry it was only 25% - Hitwise * Capgemini: Cars Online 07/08
  • 8. Paid Search – Auto Industry Automotive Online Advertising Spending * $4.0 $3.5 $3.0 $2.5 $2.0 $1.5 $1.0 $0.5 $0.0 2004 2005 2006 2007 2008 2009 2010 Online Ad Spending in Billions of Dollars
  • 9. Paid Search – Auto Industry Top 10 Automotive Websites by US Market Share of Visits (%) – Hitwise August 2008 eBay Motors AutoTrader.com Edmunds Cars.com RacingJunk.com Copart Auto Auctions Automotive.com Car-Part.com CycleTrader.com Truck Paper 0.00 10.00 20.00 30.00 40.00 50.00 60.00 70.00
  • 10. Paid Search – Auto Industry 3rd Party Lead Sites Paid Search Est. Daily Budgets $35,000 $30,000 KBB $25,000 AB $20,000 AM $15,000 C $10,000 AT $5,000 E $0 KBB AB AM C AT E KBB – Kelly Blue Book - $6.35k C – Cars.com - $16.4k AB – AutoBytel - $6.9k AT – AutoTrader - $23.2k AM – AutoMart - $11.3k E – Edmunds - $30.2k
  • 11. Paid Search Integral Component
  • 12. Paid Search – Integral Component Protection of Branded Terms % of traffic from % of traffic from #1 Organic #1 Organic Listing & #1 Paid Listing 60% 92% Brand Site Other Sites 40% 8% Branded Search Study, Nielsen ReelResearch
  • 13. Paid Search – Integral Component More Traffic A study conducted by iCrossing illustrated a synergistic effect between paid and organic listings. The study indicated that having prominent placement in both lead to an increase in traffic of 91.8% and a 45% increase in desired actions taken by visitors over that produced by only having a top organic placement.
  • 14. Paid Search – Integral Component Lower Bounce Rates Referral 48.70% Organic 44.80% Paid 44.00% Direct 42.30% 35.00% 40.00% 45.00% 50.00% Engine Ready “SEO vs. PPC – The Final Round
  • 15. Paid Search – Integral Component Higher Sales % of Sales Volume by Traffic Source Direct Access 39% 27% Paid Search Other Referring Sites Organic 11% 23% Engine Ready – 27 companies over a 2 year period measuring visitor metrics by traffic source. *Only 22% of visitors were repeat visitors.
  • 16. Paid Search – Integral Component Why Pay Per Click Traffic Is Valuable Controlled Messaging Easy Variation Testing Direct the Traffic Specific Targeting
  • 17. Paid Search Fundamentals
  • 18. Paid Search – The Fundamentals Search Engine Breakdown July 2008 – Hitwise Google 70.77% Yahoo! 18.65% MSN 5.36% ASK 3.53% Others 1.69%
  • 19. Paid Search - The Fundamentals Paid Search – Seems Simple, What’s The Big Deal? Multiple Steps Keyword / Search Term Selection Ad Title Ad Copy Landing Factors Traffic Conversion Process Analytics, Analytics, Analytics …. Test and Test Some More Highly Competitive Filled With Details Fluid – Constantly Evolving Plenty of Opportunity to Lose Money
  • 20. Paid Search – The Fundamentals
  • 21. Paid Search - The Fundamentals Paid Search Ranking Factors Bid Amount Budget Relevancy Click Through Rates Landing Page Quality Type Of Site
  • 22. Paid Search - The Fundamentals Paid Search – Basic Steps Start With The End In Mind Know The Competition In-Depth Keyword Research Creative Ad Title & Text Landing Pages Have A Planned Conversion Path Detailed Analytics Test & Test Some More
  • 23. Paid Search - The Fundamentals Paid Search – Start With The End In Mind What is the goal of your paid search campaign? Visibility Branding Sales How will you define success? Traffic Leads Sales Profit How will you measure it?
  • 24. Paid Search - The Fundamentals Study the Competition Ads Targeted Keywords Scope of Campaigns Visitor Path Do Not Always Assume #1 Is Doing It Right
  • 25. Paid Search - The Fundamentals In-Depth Keyword Research Develop Extensive Keywords Click-Through and Conversion Rates Vary Dramatically From Keyword to Keyword Multiple Word Keywords Typically Have Higher Conversion Rates Some Tools To Use: Yahoo! Search Assist Live Search Related Searches Microsoft adCenter Labs - http://adlab.msn.com Google Keyword Tool - https://adwords.google.com/select/KeywordToolExternal Google AdWords Traffic Estimator - https://adwords.google.com/select/TrafficEstimatorSandbox
  • 26. Paid Search - The Fundamentals Yahoo! Search Assist & MSN Live Related Searches Live Related Searches
  • 27. Paid Search - The Fundamentals Microsoft adCenter Labs Search Funnel Tool: Shows most common searches after input search term.
  • 28. Paid Search - Fundamentals Google AdWords Keyword Tool
  • 29. Paid Search - Fundamentals Google AdWords Keyword Tool – Domain Keywords
  • 30. Paid Search - Fundamentals Creative Ad Title & Text Do Not Overlook Ad Copy Serve Alternative Ads Monitor Results Emphasize High-Flyers Dump the Dogs Do It All Over Again “Ads Matter – Testing shows us that ad copy can have a huge influence on conversion rates….Search Ad copy is an art…” Jonathan Mendez VP Business Development Kaimen Associates & Digital Strategist
  • 31. Paid Search - Fundamentals Landing Pages Page Should Be Singularly Focused & Consistent With Search Term Have Simple & Straight Forward Navigation Include A Straightforward Call To Action Some studies have shown two calls to action can significantly increase conversion rates. Only Ask For Necessary Information Require as little as possible Quite Often Less Is More Test Multi-Variant A/B
  • 32. Paid Search - Fundamentals A/B & Multi-Variant Testing Google Website Optimizer
  • 33. Paid Search - Fundamentals Analytics Pick A Robust Platform Google Analytics Most Popular Other Major Analytics Providers: Core Metrics Omniture Web Trends Get To Know Your Analytics Solution Basic Analytics To Monitor Click-Through Rates Traffic Source Bounce Rates Conversion Rates Engagement / Time Spent On Site
  • 34. Paid Search - Fundamentals A Well Run Paid Search Campaign Will Deliver Better Qualified Leads Improved Close Rates Increased Sales Margins Better Returns On Ad Spend Investment More Sales
  • 35. Paid Search Changes to the Landscape
  • 36. Paid Search – Landscape Universal Search
  • 37. Paid Search – Landscape Google Suggest Feature
  • 38. Paid Search – Landscape Yahoo - Mahalo
  • 39. Paid Search – Landscape MSN Live
  • 40. Paid Search – Landscape Mobile Mobile Search grew 68% from June 2007 to 2008.* In June 2008 20.8 million U.S. mobile subscribers accessed search.* Google had 63.0% of the searches; Yahoo 34.6%.* Estimated Mobile Search revenue for 2007 is $33.2 million. – tkg consulting * comScore
  • 41. Paid Search Discussion