Paid Search And Paid Social: Birds Of A Feather Or Different Flock?

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Aaron Goldman, Chief Marketing Officer at Kenshoo, presents on paid search advertisements and paid social advertisements and SIMposium 2012.

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Paid Search And Paid Social: Birds Of A Feather Or Different Flock?

  1. 1. PAID SEARCH AND PAID SOCIAL: BIRDS OF A FEATHER OR DIFFERENT FLOCK?
  2. 2. Chief Marketing Officer, Kenshoo Aaron Goldman Aaron Goldman is Chief Marketing Officer at Kenshoo, a digital marketing software company that engineers global technology solutions for search marketing, social media and online advertising. Kenshoo powers 7 of the world’s top 10 retailers, 9 of the 10 largest ad agency networks, and 23 of the Fortune 50 companies. Goldman is a digital marketing veteran with more than 10 years of industry experience and the author of Everything I Know about Marketing I Learned from Google (McGraw- Hill 2010).
  3. 3. Agenda
  4. 4. Search + Social = 60% of Online Ad Spend August 2011 “US Interactive Marketing Forecast, 2011 To 2016”
  5. 5. Social Ad Spend Growth Outpacing Search
  6. 6. Birds of a Feather
  7. 7. Paid + Organic
  8. 8. Paid + Organic
  9. 9. PPC Auction
  10. 10. PPC Auction
  11. 11. Precise Audience Segmentation
  12. 12. Precise Audience Segmentation
  13. 13. Highly Customized Creative Messaging
  14. 14. Highly Customized Creative Messaging
  15. 15. Continuous Optimization
  16. 16. Continuous Optimization
  17. 17. Birds of a Feather1. PPC Auction2. Precise Audience Segmentation3. Highly Customized Creative Messaging4. Continuous Optimization
  18. 18. Different Flock
  19. 19. Consumer Mindsetvs.
  20. 20. Consumer Mindset Click Rate Distribution Between Paid Social and Search Campaigns# of Campaigns Social Search CTR
  21. 21. Time Spent
  22. 22. Time Spent
  23. 23. Ad Targeting
  24. 24. Ad Targeting
  25. 25. Ranking CriteriaHigh Correlation Between CTR and CPC for Retail Advertiser CTR % CPC %
  26. 26. Ranking CriteriaSource: SitePosition
  27. 27. Conversions
  28. 28. Conversions
  29. 29. Conversions
  30. 30. Metrics Revenue ROI Clicks Purchases Cost Downloads CPL Conv Rate CPM CPC CPA CTR ImpressionsRevenue/Click Leads
  31. 31. Metrics Revenue ROI Uniques Clicks Follows Purchases Social Impressions Churn CostVideo Views CPF Downloads Connections CPL Likes Conv Rate Tweets CPM Mentions Shares AOV Retweets CPC Fans CPA Share of Voice CTR ImpressionsSocial Reach RSVPs Engagements ReachRevenue/Click Leads
  32. 32. Different Flock1. Consumer Mindset2. Time Spent3. Ad Targeting4. Ranking Criteria5. Conversions6. Metrics
  33. 33. Best Practices
  34. 34. The Marketing Funnel AwarenessConsideration Intent Purchase
  35. 35. The Marketing Hourglass AwarenessConsideration Intent Purchase Customer Repeat Loyal Advocate
  36. 36. Holistic Strategy
  37. 37. Intelligent Campaign AutomationAdvanced Keyword Bid Custom Bid Search Keyword Tool Dimensions Optimization AlgorithmsReporting Path to Multi Channel 3rd Party Support &Dashboard Conversion Attribution Integrations Training
  38. 38. Intelligent Campaign Automation Budget Cross-Profile Campaign Hyper-Local Management & CallAdvanced Search Templates Geo Targeting Reallocation Extensions Google Objectives Call Conversion Flexible Places/Locations SMB/Reseller Management Optimization Reporting Integration Support
  39. 39. Intelligent Campaign AutomationSocial Ads Segment Ad FB Specific Premium Ads Manager Templates Permutations Algorithms Tracking Custom Path toTargeting Multi-Edit, Conversion Support & Scheduled Options Copy & Paste Reporting Training Actions
  40. 40. Multi-Channel Attribution Madonna Tickets 2012 Madonna Tour TicketsNow® Official SiteConcert Tickets TicketsNow.com TicketsNow.comGet your tickets now! TicketsNow.com Buy Madonna tickets Get your tickets now Official Site ofTicketsNow.com For Madonna’s 2012 tour! TicketsNow.com™. ® - Now Available! Official Site. Ad 1 Keyword 1 Keyword 2 Keyword 3 Most advertising tracking systems report and act on only the last click prior to purchase
  41. 41. Multi-Channel Attribution Madonna Tickets 2012 Madonna Tour TicketsNow® Official SiteConcert Tickets TicketsNow.com TicketsNow.comGet your tickets now! TicketsNow.com Buy Madonna tickets Get your tickets now Official Site ofTicketsNow.com For Madonna’s 2012 tour! TicketsNow.com™. ® - Now Available! Official Site. Ad 1 Keyword 1 Keyword 2 Keyword 3 5% 10% 25% 60% Attribution Models Linear Ratio U Shaped Distribute Evenly Single Click Only (First or Last)
  42. 42. Multi-Channel Attribution Madonna Tickets 2012 Madonna Tour TicketsNow® Official SiteConcert Tickets TicketsNow.com TicketsNow.comGet your tickets now! TicketsNow.com Buy Madonna tickets Get your tickets now Official Site ofTicketsNow.com For Madonna’s 2012 tour! TicketsNow.com™. ® - Now Available! Official Site. Ad 1 Keyword 1 Keyword 2 Keyword 340% 10% 10% 40% Attribution Models Linear Ratio U Shaped Distribute Evenly Single Click Only (First or Last)
  43. 43. Multi-Channel Attribution Madonna Tickets 2012 Madonna Tour TicketsNow® Official SiteConcert Tickets TicketsNow.com TicketsNow.comGet your tickets now! TicketsNow.com Buy Madonna tickets Get your tickets now Official Site ofTicketsNow.com For Madonna’s 2012 tour! TicketsNow.com™. ® - Now Available! Official Site. Ad 1 Keyword 1 Keyword 2 Keyword 325% 25% 25% 25% Attribution Models Linear Ratio U Shaped Distribute Evenly Single Click Only (First or Last)
  44. 44. Multi-Channel Attribution Madonna Tickets 2012 Madonna Tour TicketsNow® Official SiteConcert Tickets TicketsNow.com TicketsNow.comGet your tickets now! TicketsNow.com Buy Madonna tickets Get your tickets now Official Site ofTicketsNow.com For Madonna’s 2012 tour! TicketsNow.com™. ® - Now Available! Official Site. Ad 1 Keyword 1 Keyword 2 Keyword 3 0% 0% 0% 1 0 0 % (Last Click) Attribution Models Linear Ratio U Shaped Distribute Evenly Single Click Only (First or Last)
  45. 45. Last Click Attribution Undervalues Facebook PerformanceIncrease in Facebook ROI for Retail Advertiser Based on Revenue Attribution First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch• First Only• Prefer First• Distribute Evenly• U-Shaped• Prefer Last• Last Touch 20% 40% 60% 80% 100%
  46. 46. Last Click Attribution Undervalues Facebook PerformanceIncrease in Facebook ROI for Retail Advertiser Based on Revenue Attribution First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch• First Only• Prefer First• Distribute Evenly• U-Shaped• Prefer Last• Last Touch 20% 40% 60% 80% 100%
  47. 47. Last Click Attribution Undervalues Facebook PerformanceIncrease in Facebook ROI for Retail Advertiser Based on Revenue Attribution First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch• First Only• Prefer First• Distribute Evenly• U-Shaped• Prefer Last• Last Touch 20% 40% 60% 80% 100%
  48. 48. Last Click Attribution Undervalues Facebook PerformanceIncrease in Facebook ROI for Retail Advertiser Based on Revenue Attribution First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch• First Only• Prefer First• Distribute Evenly• U-Shaped• Prefer Last• Last Touch 20% 40% 60% 80% 100%
  49. 49. Last Click Attribution Undervalues Facebook PerformanceIncrease in Facebook ROI for Retail Advertiser Based on Revenue Attribution First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch• First Only• Prefer First• Distribute Evenly• U-Shaped• Prefer Last• Last Touch 20% 40% 60% 80% 100%
  50. 50. Last Click Attribution Undervalues Facebook PerformanceIncrease in Facebook ROI for Retail Advertiser Based on Revenue Attribution First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch• First Only• Prefer First• Distribute Evenly• U-Shaped• Prefer Last• Last Touch 20% 40% 60% 80% 100%
  51. 51. Attribution Simulation
  52. 52. Kenshoo Case Study – Search & Social• Top 100 Internet Retailer running direct response search and social campaigns, both with positive ROI• 20% of all conversion paths showed ad clicks from more than one channel (search and social) • Over 1/3 had brand queries in the path to conversion • Consumers discover brand on FB and then search for it by name Logarithmic Distribution of Keywords in Multi-Channel Conversion Paths
  53. 53. QUESTIONSaaron.goldman@kenshoo.com

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