nextNY Online Marketing School - SEM PresentationPresentation Transcript
Search Engine Marketing Explained 6/18/2010
Agenda Industry Overview Success Lies In Fundamentals Regional Differences: All Markets Are Not Created Equally Cost Savings: True Impact Of Quality Scores Weed Out Irrelevant Traffic: Negative Keywords In-House Teams and 3rd Party Tools SMB Challenges & Automation Questions
Why PPC? PPC (Pay Per Click) is one of the most profitable advertising and marketing channels. This view is shared by most online marketers, who in 2007, according to Marketing Sherpa, ranked PPC and email marketing as the two channels with the highest ROI.
What Are The Key Benefits Of PPC Advertising?
Large volume of traffic – high upside
Receptive to message – want you now
Not “interruption advertising”
Highly targeted traffic
“Implied intent” – can show stage in buying cycle
Precise targeting opportunities
Geo Targeting, Day Parting & Demographics
What Are The Key Benefits Of PPC Advertising?
Easy to measure – accurate ROI
Control of placement on page
Control of creative messaging
Control of destination
Real-time activation and optimization
Cost-effective & best ROI advertising in many cases
What Are The Key Challenges Of PPC Advertising?
Multiple User Interfaces
Who Are The Key Players?
Google, Yahoo & Bing results account for 90% of all search traffic.
Google drove close to 80% of US paid search in 2009, up from 60% in 2006.
Largely at the expense of Yahoo, for which spending share decreased by 12.4%.
Number two, Yahoo!, collected a mere 8% share, while everyone else split 12% of the pie.
Search Marketing Industry Landscape ~600K Active AdWords Customers <5K Customers <1% Market $10 Billion Enterprise >100K MS Agency <100K MS 70K Customers 9% Market ~$8 Billion $12 Billion Addressable Spending Medium <50K MS (Pro) Small < 10K MS (Pro) 525K Customers 90% Market ~$2 Billion (Google Revenues) Local < 2.5K MS (Leads)
SUCCESS LIES IN FUNDAMENTALS
Key Steps To Create a Successful PPC Campaign? STRATEGY
Knowledge: Know your target market and product
Goals: Define business objectives
Metrics: Define key performance indicators (KPIs)
Success: Define conversion events
Intelligence: Collect data and assess
Optimize: Make changes and repeat
Key Steps To Create a Successful PPC Campaign? EXECUTION
Campaign Set-up: Organize campaigns to boost budget & quality score
Keywords: Identify keywords, negative keywords, match types, plural vs. singular
AdCopy: State unique value proposition, call to action, and friendly display URLs
Budgeting/Bidding: Set account & campaign level budgets, keyword bidding strategies
Targeting: Utilize targeting methodologies (geo-targeting, by demographics, day-parting)
Distribution/Networks: Decide which engines you should use. Search vs. content network?
Landing Pages: Chosecontent, design & images, calls to action.
Tracking & Analytics: Set keyword level tracking (Depth pays off)
URLs (display/destination): Enhance display URLs to increase credibility
Other Third Party Tools: Competitive analysis, market trends, market sizing
Stages For Implementing a Successful PPC Campaign
Key Components Of Successful PPC Campaign GEOGRAPHY Process: Geo-Targeting is driven by the following criteria: Vertical Specification, Population, Density, & Market Competitiveness. Method: Geo Targeting & GEO Modification. Level: Zip, City, DMA/ Metro, County, State. Engines: Google, Yahoo & MSN TIME Process: Day Parting is driven by the customers’ operating hours and/ or conversion performance by part of day, week, month, etc. Method: Work Hours, Workdays, Weekends, Month. Level: Hourly, Daily, Weekly, Monthly Engines: Google, Yahoo & MSN SEO Process: SEO is utilized to help SEM. This process allows us to get better quality score, drive lower CPC, increase conversion & drive organic conversions. Method: Relevant, content, optimized Meta, H1, H2 & ALT tags, Titles, Site Map, Page load times, Anchor Text, Multiple Domains. Engines: Google, Yahoo & MSN
Imperatives: Track These or Lose TRACK Impressions Conversions/ Sales Clicks CPA Customer GEO CTRs Conversion Rates Time Of Conversion Cost Revenue CPC Demo, LTV, Behavioral, etc. ROI Avg. Position OPTIMIZE
What To Expect When Right Tactics Are Employed
Clickable overtakes creation & management of 1,500+ accounts across multiple levels of spend and areas of specialization & sub-specialization.
Re-posts 1,200+ brand new accounts (small spenders = aggregate optimization) & overtakes creation of high spending accounts.
Clickable’s newly attained management of the accounts produced in a 3X increase in the overall conversion rate (3.84% vs. 10.79%).
Clickable newly created accounts also outperformed legacy accounts by having a 34% lower CPA.
Clickable also managed to increase number of active customers & grow revenue (Ad Spend).
Top 10 Questions You Should Ask Your PPC Team How much revenue do we drive through PPC alone? What is our CPA? What is our ROI? What is our conversion rate? What is industry avg. CR? What percentage of our budget is fully utilized? Are there any opportunities to find more converting traffic?
Top 10 Questions You Should Ask Your PPC Team Do we do geo-targeting? Do we do day parting? What kind of tools do we use? Do we use automation? Do we do testing? PPC testing and/or landing page testing? Do we send PPC traffic only to one location? How are our quality scores?
All Markets Are Not Created Equally
Regional Differences $14.7 CPC (140K Active Lawyers; Divorce Rate: 2.8 Per 1,000)
Regional Differences $4.3 CPC (17K Active Lawyers; Divorce Rate: 4.7 Per 1,000)
Top 5 Tips For Utilizing Market Differences GEO Modified Campaigns (National/ Larger Area) General Search Campaign (Geo-Targetted) Create Local Ads Custom Local City & General Landing Pages 25 Mile Radius
Impact Of Quality Scores Ad Rank = Bid x Quality Score
True Impact Of Quality Scores
True Impact Of Quality Scores – Case Study
Top 5 Tips To Increase Quality Scores Split Keywords into smaller more targeted Ad Groups Create relevant ad copy for each AdGroup Optimize Creatives Experiment with matching options Build your SEO Link Building And SEO Implement Keywords Essential Site Pages Make Sure Google Thinks You’re Relevant
Negatives: Weed out irrelevant traffic!
True Impact Of Negative Keywords – Case Study
How To Find Negative Keywords? Keyword Research Tools Google's keyword tool, wordtracker and keyworddiscovery are typically the first place advertisers look for negative keyword help. Search Query Performance Report Once your account has been active for several days, the Search Query Performance Report becomes the most relevant resource for identifying negative keywords. Your Analytics tool If you are not using a third party web analytics tool to track your traffic sources - install one ASAP. Google Analytics is a robust web analytics tool and best of all its free. Competitive Intelligence Tools Tools such as keycompete, compete.com and ispioage provide insight into your competitors' keyword lists.
IN-HOUSE TEAMS AND 3rd PARTY TOOLS
When And How: Build Successful In-House PPC Team WHEN
DEMAND EXISTS: You have a product or service that can sell
DEMAND FULFILLMENT: You are ready to fulfill demand
ECONOMICS: You are certain that it makes business sense
STABLE STORE: Your web-site is stable & functioning
DEFINED METRICS: Your metrics are well defined
TRACKING: You are capable to track your sales funnel
REPORTING: Make sure that you have a clear visibility into your metrics
COMMITEMENT: Commitment to build and maintain technology & intelligence
GOALS: Establish clear business objectives
HIRE SMART: Do not try to save on resource, Search is complex and can be costly.
TOOLS: Get Relevant Tools that can help you be more efficient.
EDUCATION: Make Sure Your Resources Understand Your Business.
What To Evaluate When Choosing 3rd Party Vendors?
CREDIBILITY: Ask for case studies, references, customer feedback
TRANSPERENCY: Make sure that you will have full transparency in metrics
COMMITMENT: Don’t settle for long contracts & commitments
FLEXIBILITY: Vendors should easily adjust as your business goals and needs are changing
SCALABILITY: There needs to be a capacity to grow as your business expands
PRICE: Get a defined pricing model that is beneficial to your business
CLEAR ROI: Make sure that there is a clear ROI opportunity
INTEGRATION: Integration should be simple and should not delay you business growth
SERVICE: Establish clear communication channels and levels of service
SBM CHALLENGES & AUTOMATION
Can We Bring More SMBs To PPC Advertising? CURRENT CHALLENGES
ADOPTION: SMBs still struggle to adopt new forms of advertising
COMPLEXITY: Diverse and complex user experiences, levels of engagement, etc.
INEFFICIENCY: Most self managed PPC programs fail due to inexperience
EQUIPMENT: High proportion of SMBs have inadequate Web sites and tracking technologies
LONG TERM SOLUTIONS
EDUCATION: Constant education about performance aspect of PPC
TOOLS & PLATFORMS: Create simple and single UE to manage PPC across engines
AUTOMATION: Build automated recommendations that drive efficiency
OFFERING: Provide technology that can scale and provide simple and effective products & services