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Internet marketing   groups Internet marketing groups Presentation Transcript

  • Internet MarketingDr. Ahmet Bulut, Faculty at Ist. Şehir. Univ. Merve Sargın, Consultant at Deloitte
  • Internet Marketing• Search Engine Marketing (SEM)• Display Advertising
  • Search Engine Marketing
  • Search Engine Marketing Paid Search Ad
  • Search Engine Marketing Paid Search Ad
  • Display Advertising
  • Display Advertising Display Ad
  • Search Engine Marketing• SEM can be summarized in three simple steps: • I. Generation of keywords and bidding on these keywords. • II. Writing an ad copy for that keyword or group of keywords that will show up as text on sponsored links section. • III. Determination of what pages will convert best with which ad copy and reporting on that keyword performance.
  • I. Generation of keywords• Keyword • Brand + Keyword • Color + Brand + Keyword • Gender + Keyword • ...
  • I. Generation of keywords• Shoes • Mens Shoes • Womens Shoes • Puma Shoes • Nike Shoes • Red Puma Shoes • ...
  • II. What is an Adcopy?
  • II. What is an Adcopy? this is an adcopy
  • II. What is an Adcopy? this is an adcopy
  • II. What is an Adcopy? this is an adcopy
  • II. What is an Adcopy?
  • III. Landing Page - 1
  • III. Landing Page - 2
  • So, we have Keyword1, Keyword2, ..., KeywordK Adcopy1, Adcopy2, ..., AdcopyMLandingPage1, LandingPage2, ..., LandingPageN
  • Which one performs better? Keyword1, Keyword2, ..., KeywordK Adcopy1, Adcopy2, ..., AdcopyM LandingPage1, LandingPage2, ..., LandingPageN
  • Which one performs better? Keyword1, Keyword2, ..., KeywordK Adcopy1, Adcopy2, ..., AdcopyM LandingPage1, LandingPage2, ..., LandingPageN
  • Which one performs better? Keyword1, Keyword2, ..., KeywordK Adcopy1, Adcopy2, ..., AdcopyM LandingPage1, LandingPage2, ..., LandingPageN
  • performs better in terms of:• Click Through Rate (CTR)• Average Bid• Average Placement• Site Engagement• Conversion Rate (CR)
  • performs better in terms of:• Click Through Rate (CTR) • The ratio of the number of users that click on the ad to the number of total users that has seen the ad.• Average Bid• Average Placement• Site Engagement• Conversion Rate (CR)
  • performs better in terms of:• Click Through Rate (CTR)• Average Bid • The average bid price paid per visitor (user that clicks on the ad).• Average Placement• Site Engagement• Conversion Rate (CR)
  • performs better in terms of:• Click Through Rate (CTR)• Average Bid• Average Placement • Average position of the ad over time.• Site Engagement• Conversion Rate (CR)
  • performs better in terms of:• Click Through Rate (CTR)• Average Bid• Average Placement• Site Engagement • How much time visitors spend on our site, and etc.• Conversion Rate (CR)
  • performs better in terms of:• Click Through Rate (CTR)• Average Bid• Average Placement• Site Engagement• Conversion Rate (CR) • The ratio of the visitors that buys/signups/... on our site to the total visitors.
  • Traditional SEM Strategy• Most commercially available software applications focused on solutions for bid management and reporting.• The challenge has been seen as automating the bidding on thousands (if not millions) of keywords and reporting to illustrate how those bids have performed.
  • Successful SEM Strategy• 1. Write an ad copy that speaks directly to a query keyword, because it has got a higher of chance of getting clicked.• 2. Prepare a landing page that is relevant to the ad copy and search query combination, because visitors are more likely to convert when they arrive on a landing page that is highly relevant to both their query and the ad copy.
  • Successful SEM Strategy• 3. Success on steps 1&2 results in an increase in campaign Return on Investment (ROI). Higher ROI enables advertiser to bid even higher and results in an increase in campaign volume.
  • SEM Dynamics• It first starts with quality and then converges onto quantity. This seemingly viable strategy has a common pitfall.
  • SEM Dynamics - Case• A marketer M manually places keywords (Ks) into ad groups (AGs). M writes an ad copy that is targeted specifically for a keyword K in Ks.• A landing page is manually crafted and specifically targets K.• In a campaign that covers thousands of keywords, M can achieve relevance for a very small set of keywords at best.
  • Case Scenario Ad CopyAd Group K1 K71 K19 K8 K35
  • SEM Dynamics - Case• Given constrained resources and manpower, achieving relevance at scale across their entire keyword portfolio seems undoable.• The rest will be averaged out such that most campaigns will be served through best average ad copies and most users will land on best average landing pages.
  • Bad Case Scenario• The results of an average campaign performance have cascading bad effects on the campaigns overall success and its long-term sustainability for the future. conversion.
  • Bad Case Scenario• Less than optimal relevance results in a less than optimal quality score (QS).• A lower QS results in diminished average position in sponsored links ranking.• Less than optimal position decreases the overall campaign volume.
  • Causal Relationships AverageQS ROI Volume Position
  • Causal Relationships AverageQS ROI Volume Acquisition Cost
  • Bad Case Scenario• Once the volume decreases, it converts into lower CTR and lower landing page conversion.• Altogether, this means a lower ROI across the entire campaign.• When the ROI is low, the advertiser cannot adopt an aggressive bidding strategy in order to scale the volume on her campaign.
  • Bad Case Scenario• The diminished average position translates into paying more in order acquire the same users.• Increase in acquisition cost forces the advertiser 1. to decrease the bids 2. to deactivate lower performing keywords to be able to maintain the target profit margins or cost per acquisition (CPA) goals for the campaign set at the beginning of the campaign.
  • Bad Case Scenario• Naturally, the campaign volume shrinks even more over time until the campaign is shut down completely.
  • Which one performs better? Keyword1, Keyword2, ..., KeywordK Adcopy1, Adcopy2, ..., AdcopyM LandingPage1, LandingPage2, ..., LandingPageN
  • The answer is:• Optimize each combination separately.• That is our job.