NetElixir University Workshop - Search Engine Marketing


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Search Engine Marketing Fundamentals

NetElixir CEO Udayan Bose presents proven strategies and practical tips for Search Engine Marketing for businesses.

For more information on these strategies or to schedule an SEM consultation with Udayan, please contact us.

Phone: 609.356.5112

Published in: Business, Technology, Design
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NetElixir University Workshop - Search Engine Marketing

  1. 1. September 12, 2012
  2. 2. Search Advertising Fundamentals Proprietary & Confidential 2
  3. 3. Search Ads 95% of Google RevenuesNatural search results Paid Search Ads Proprietary & Confidential 3
  4. 4. From Search to Purchase Searcher Searches for Advertiser User Relevant info. Places ad on Types keyword Search Engine (ex. and find results Google) on Search EngineReturn onAd Spend(ROAS) can beascertained From Search to Purchase Advertiser gets Revenue Clicks Ad and enters Web site Exits from the Looks at Products on site site – No purchase Makes a Purchase Looks at Products on site
  5. 5. Bill Gross – The Founder of Paid Search The NetElixir Presentation
  6. 6. World’s First Pay-Per-Click Advertising Engine. Later Changed its name to
  7. 7. Yahoo to buy Overture for $1.63 billion July 14, 2003 1:21 PM
  8. 8. He helped Google change the rules of the gameIn early 2002, a Google employee, Salar Kamangar, now Salar Kamangar28, convinced Mr. Schmidt and the founders to switch to an auction-based system like the one set up by Bill Gross, the head of IdeaLab.Mr. Gross had created, a search engine made up entirely ofads, where advertisers paid only if their ad was clicked on, and theadvertiser who bid the most per click was listed first.
  9. 9. In 2003, US Paid Search Advertising Revenueswere $972 million. In 2011, US Paid Search Advertising Revenues hit $14.8 Billion (up 27% over 2010 revenue). Proprietary & Confidential 9
  10. 10. Paid Search Advertising is..• Measurable.• ROI focused.• Relatively in-expensive.• Great source of consumer insights. Proprietary & Confidential 10
  11. 11. Best Practices in Search Engine Marketing
  12. 12. Build a Marketing Plan
  13. 13. 70% of retail search advertisers do not have a marketing plan that connects goals – strategic initiatives and tactics.13
  14. 14. The “GOST” Framework Strategic -Tactic 1 Initiative #1 - Tactic 2 Primary Goal Strategic -Tactic 1 Initiative #2 - Tactic 2Secondary Goal Strategic -Tactic 1 Initiative #3 - Tactic 2
  15. 15. Primary Goal Secondary Goal15
  16. 16. Strategic Initiatives16
  17. 17. Paid Search Tactics17
  18. 18. The “GOST” Framework Promote “star” -Expand Reach products - Create nationally. Differentiation Grow Sales Revenue by Flank -Map Competitor 120% to $xyz competitors Activity using Private - Include Price inRevenue/Cost > Label ad copies. 8x -Track Gain 30%+ Impression PPC SOV in Share top 5 states - Local buying behavior
  19. 19. FY 2011: Y/Y SEM Results • Y/Y Revenue Growth = 220%. • Revenue/Cost = 11 x.19
  20. 20. Deciding what products to promote via paid search20
  21. 21. Keyword Strategy and “Return on Investment” High End Jewellery Gourmet • Scrub your keyword list • Focus on Efficiency and Food (ex. regularly growth steak) • Time Bound promotions to • Controlled Keyword list boost sales expansion • Experiment with ad copies • Identify new sources forMargin and landing pages keywords Is Keyword Search Advertising •What’s your average order Right for you? value? What is the order Ink margin? Cartridges No-brand trinkets Velocity
  22. 22. Key Points • Category level segmentation based on margin and velocity. • Unique paid search strategy for each segment. • Pre-Plan the keyword mix for each segment. • Treat trademark and non-trademark campaigns separately. • Treat each keyword as a “profit center”.22
  23. 23. A Structured Approach to Growing The Paid Search Program23
  24. 24. The Opportunity Matrix Non-SEM Factors Consumer Markets Competitors Occasion Keyword StrategyElements Ad Copy Strategy Bidding StrategySEM Landing Page Strategy • Provides a framework for targeted testing. • Combination tests can open up new opportunities. • Establishes a logical construct for testing causal relationships.
  25. 25. Paid Search Revenue Has Dropped. I don’t know why?25
  26. 26. 5 Step Problem Analysis • Precise Problem Statement. • Which of the elements below has dropped. How much? • Since when has the drop been observed? • List Possible Causes for drop in specified element. • Test results to establish the Most Probable Cause. x x x = Impressions Click through Conversion Average Sales Rate Rate Order Value Revenue26
  27. 27. Are All Paid Search Clicks Equal?27
  28. 28. Tracking Revenue/Click across geos for Proprietary & Confidential 28
  29. 29. What does this mean for the search marketer? • Geo-targeted customer acquisition strategies. • Deeper shopping cart analysis for different geo’s. • De-code geo-specific customer purchase patterns to create more precisely targeted campaigns. Proprietary & Confidential 29
  30. 30. Summary 1. Use the GOST Framework to structure your Marketing Plan. 2. Know what products to advertise via Paid Search. 3. Use the Opportunity Matrix to Grow Paid Search Program. 4. When Paid Search revenue drop happens, use 5 step Problem Analysis process. 5. Evaluate the Quality of Paid Search Clicks by Geos. to create targeted campaigns.30
  31. 31. Questions Please31
  32. 32. NetElixir Inc. Email: Website: Phone: 609.356.5112 This et li ir report is intended for general information and is ased on pu licly availa le data availa le on the Internet t a a particular point in time. et li ir gives no guarantee regarding this information and accepts no lia ility for any inconveniece or n any direct or conse uential loss arising from reliance upon this information. o part of this report may e reproduced stored in a retrieval system or transmitted in any form y any means electronic mechanical photocopying or otherwise without the permission of et li ir Inc. et li ir Inc. ll rights reserved.32