Lesson 2: Pay-Per-Click Vs Natural Results


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This was the second presentation I made at FlyingTeachers, describing why they should focus on obtaining natural results ranking rather than paying Google for its ad space.

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Lesson 2: Pay-Per-Click Vs Natural Results

  1. 1. Presented by Sufi Mohamed The Glaring Facts Search Engine Optimization: Lesson 2: PPC vs. Natural Results
  2. 2. Agenda <ul><li>The Market Share of Search Engines </li></ul><ul><li>Determine the Searcher’s Reason </li></ul><ul><li>How Search Engines Drive Commerce on the Web </li></ul><ul><li>How Users Scan Results Pages </li></ul><ul><li>How Users Click on Results: Natural vs. Paid </li></ul>
  3. 3. Understanding Search Engine Market Share <ul><li>Who should you pay attention to? Which search engine will benefit you the best? Who will you tailor your SEO efforts towards? </li></ul>
  4. 4. The Market Share of Search Engines <ul><li>Search Engines are a fact of our lives, we need them and you need them for your business’s success </li></ul><ul><li>Google is the most dominant search engine, that is where you will be focusing your SEO </li></ul>
  5. 5. Search Engine Keyword Usage <ul><li>The image on the right shows the average percentage of keyword lengths that individuals use </li></ul><ul><li>Majority of them are 1 and 2 keywords </li></ul><ul><li>The more keywords individuals search, the less results become, the fewer competition there is, and the more opportunity to enhance ROI. </li></ul>
  6. 6. How do Users use Search Engines? <ul><li>What kind of information will benefit you? What can you expect of users who use Search Engines? What types of SE users are there? </li></ul>
  7. 7. Search Engine Users Have Intent <ul><li>Search Engines are tools </li></ul><ul><li>Search intent remains the same, but search keywords are fluctuating </li></ul><ul><li>There are three types of search queries and they have different functions </li></ul><ul><li>Navigational Queries </li></ul><ul><ul><li>Performed with the intent of surfing directly to a specific website (predetermined) </li></ul></ul><ul><li>Informational Queries </li></ul><ul><ul><li>Involve a huge range of searchers, random and information-seeking </li></ul></ul><ul><li>Transactional Queries </li></ul><ul><ul><li>Registering, paying bills, identifying a local business, making a purchase online, completing a task. </li></ul></ul>
  8. 8. Three Types of Intent <ul><li>Navigational </li></ul><ul><li>Informational </li></ul>Transactional
  9. 9. Types of Intent Cont… <ul><li>80% of searches are informational and only 10% of searches are navigational/transactional </li></ul><ul><li>Different types of searches are more likely to be transactional than informational, look at the chart below: </li></ul>
  10. 10. Types of Intent Cont… <ul><li>Even though informational searches are less likely to convert into sales, you cannot ignore it’s 80% share of the types of inquiries. Build relationships, encourage transactional behaviour </li></ul><ul><li>Most users do not know how to use search engines, maening, they will most likely type 2-3 keywords and come up with very non-specific results </li></ul><ul><li>General inquires are thus more attractive to businesses </li></ul><ul><li>If companies buying Pay-Per-Click (PPC) search ads bought only high-converting navigational and transactional terms and left informational ones to competitors, they would lose market share to those competitors </li></ul>
  11. 11. How Search Engines Drive Commerce on the Web
  12. 12. Crazy Statistics <ul><li>E-commerce sales reported by the U.S. Census Bureau were a healthy $31.9 billion through 2008 (http: //www.census.gov/mrts/www/data/pdf/08Q4.pdf) </li></ul><ul><li>74% of respondents used search engines to find local business information versus 65% who turned to print Yellow Pages , 50% who used Internet Yellow Pages, and 44% who used traditional newspapers. </li></ul><ul><li>86% surveyed said they have used the Internet to find a local business , a rise from the 70% figure reported the year before </li></ul><ul><li>80% reported researching a product or service online , then making that purchase offline from a local business </li></ul><ul><li>WebVisible and Nielsen 2007 report on local search http://searchengineland.com/ survey-search-now-top-resource-for-local-information-12396 </li></ul>
  13. 13. How Users Scan Results Pages <ul><li>How do Users see Google’s Search Results? Where will your content have to be on the results page? </li></ul>
  14. 14. Where People Look on the SERPs <ul><li>Enquiro, Eyetools, & Didit conducted a heat-map test with SE users </li></ul><ul><li>The figure to the right shows how people look at a Google results page </li></ul><ul><li>This is a classic example of how little attention is paid to results below the first page and any page thereafter. </li></ul>
  15. 15. Distribution of Search Results and Traffic <ul><li>Google does not often show paid results above the natural results, consequently, paid results show up on the right </li></ul>
  16. 16. Distribution of Search Results and Traffic Cont… <ul><li>Accordng to AOL’s search query logs in 2006: </li></ul><ul><ul><li>The first 10 results received 89.71% of all click-through traffic </li></ul></ul><ul><ul><li>Page 2 results received 4.37% </li></ul></ul><ul><ul><li>Page 3 results received 2.42% etc… </li></ul></ul><ul><li>Source: http://www .webuildpages.com/jim/click-rate-for-top-10-search-results/ </li></ul>
  17. 17. Where people look at in the SERPs <ul><li>Natural Search Results </li></ul><ul><li>Paid Search Results </li></ul><ul><li>85% of searchers click on natural results </li></ul><ul><li>The top four sponsored results are equivalent in views to being ranked at 7-10 in natural search </li></ul><ul><li>Natural search could be worth two to three times your PPC results </li></ul>
  18. 18. Pay-Per Click versus SEO <ul><li>Companies are more likely to spend money on PPC than SEO </li></ul><ul><ul><li>Jun. 30/08 study by Jupiter Research showed that search advertising should continue to be the largest category of online ad spending, growing from $9.1 billion in 2007 to $20.9 billion in 2013. </li></ul></ul><ul><ul><li>Same period results from SEMPO data via. Massimo Burgo shows that spending on SEO was $1.3 billion, with 11% of search-related budgets going to SEO and 87% to PPC </li></ul></ul><ul><li>PPC is much easier for companies to understand and it fits into their understanding of the traditional direct marketing methods. </li></ul><ul><li>PPC can be tracked more reliably than SEO. </li></ul><ul><li>As budgets become tighter, people begin to focus on SEO </li></ul>
  19. 19. Conclusion
  20. 20. Why SEO is better than PPC <ul><li>Reasons why you should choose SEO rather than PPC </li></ul><ul><ul><li>More repetitive SERPs </li></ul></ul><ul><ul><li>More reliable than in engaging users PPC (see the eye-tracking scan) </li></ul></ul><ul><ul><li>Much cheaper than PPC </li></ul></ul><ul><ul><li>Much more interactive, informative, and rewarding for a user </li></ul></ul><ul><ul><li>Easier </li></ul></ul>
  21. 21. Brought to you by Sufi M @ The Glaring Facts http://www.theglaringfacts.com