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Larry Kim's Presentation for SearchFest 2015, Portland, Oregon


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Larry Kim's Presentation for SearchFest 2015, Portland, Oregon

  1. 1. The Top 10 PPC Marketing Hacks of All Time! Larry Kim, Founder/CTO, WordStream Feb. 27, 2015
  2. 2. Three Things About Me (@larrykim) 1. Founder & CTO of WordStream 2. (Slightly) Obsessed with Quality Score 3. Had a Kid 9 Months Ago (#ppckid) Larry Kim (@larrykim) #SEARCHFEST
  3. 3. Photos From My Commute from Boston This Morning Larry Kim (@larrykim) #SEARCHFEST
  4. 4. #10. Hacking Quality Score in AdWords
  5. 5. Understanding the AdWords Auction
  6. 6. How Quality Score Impacts Ad Position • AdWords is Like Real Estate: It’s all about Location! Larry Kim (@larrykim) #SEARCHFEST
  7. 7. Quality Score Impacts Cost Per Click Larry Kim (@larrykim) #SEARCHFEST
  8. 8. Quality Score Impacts Impression Share Larry Kim (@larrykim) #SEARCHFEST
  9. 9. Impression Share 2x More Competitive on Mobile Larry Kim (@larrykim) #SEARCHFEST
  10. 10. Quality Score Impacts Cost Per Conversion Larry Kim (@larrykim) #SEARCHFEST
  11. 11. So.. Get a High Quality Score! Duh, Awesome! Larry Kim (@larrykim) #SEARCHFEST
  12. 12. How is Quality Score Calculated?!
  13. 13. This is The Expected Click Through Rate Curve… Larry Kim (@larrykim) #SEARCHFEST
  14. 14. Just Beat Account Avg. Expected Click Through Rate!! Larry Kim (@larrykim) #SEARCHFEST
  15. 15. Quick Recap So Far … • Below Avg. CTR = Low QS • Low QS means… – Less prominent ad positions – Very low impression share – Huge CPC penalties (+400% Tax) – High Cost Per Conversion (+64%) Larry Kim (@larrykim) #SEARCHFEST
  16. 16. # 9. Hacking Ad Click Through Rates
  17. 17. Google Expects (A Lot) More Of Your Ads Larry Kim (@larrykim) #SEARCHFEST
  18. 18. CONFIDENTIAL – DO NOT DISTRIBUTE 19 Forest vs. Trees
  19. 19. Here’s a Map of the Forrest… Larry Kim (@larrykim) #SEARCHFEST
  20. 20. Donkeys vs. Unicorns Percentile Vs. Average CTR Designation Bottom 50% n/a DONKEYS Top 15% 2x Top 5% 3x Top 1% 6x UNICORNS Larry Kim (@larrykim) #SEARCHFEST
  21. 21. CONFIDENTIAL – DO NOT DISTRIBUTE 22 Unicorns Ads (6x Avg. CTR - HOW?!)
  22. 22. CONFIDENTIAL – DO NOT DISTRIBUTE 23 Hunting Unicorn Ads
  23. 23. Keywords With High Commercial Intent Larry Kim (@larrykim) #SEARCHFEST
  24. 24. What About Dynamic Keyword Insertion? (DKI) Larry Kim (@larrykim) #SEARCHFEST
  25. 25. DKI Doesn’t Produce as Many Unicorn Ads Larry Kim (@larrykim) #SEARCHFEST
  26. 26. What About Ad Extensions? Larry Kim (@larrykim) #SEARCHFEST
  27. 27. How To Write “Unicorn Ads”? (Top 1%, 6x Average CTR)
  28. 28. Most Ads (+90%) Suck. 29Larry Kim (@larrykim) #SEARCHFEST
  29. 29. The Hack: Ads That Trigger Emotions Larry Kim (@larrykim) #SEARCHFEST
  30. 30. This Ad Gets 6x Above Avg. CTR Larry Kim (@larrykim) #SEARCHFEST
  31. 31. Because Everyone Else Sucks Larry Kim (@larrykim) #SEARCHFEST
  32. 32. # 8. Quality Score for Twitter & Facebook Ads!
  33. 33. Leverage Quality Score in Social PPC! Larry Kim (@larrykim) #SEARCHFEST
  34. 34. Higher Engagement Rates = Lower CPEs! Larry Kim (@larrykim) #SEARCHFEST
  35. 35. Quality Score on Facebook, Too! Larry Kim (@larrykim) #SEARCHFEST
  36. 36. Larry Kim (@larrykim) #SEARCHFEST
  37. 37. Paid Promotion Yields Organic Exposure Larry Kim (@larrykim) #SEARCHFEST
  38. 38. # 7. People-Based PPC Marketing!
  39. 39. Facebook “People Advertising” Larry Kim (@larrykim) #SEARCHFEST
  40. 40. Twitter “People Advertising”! Larry Kim (@larrykim) #SEARCHFEST
  41. 41. The Hack: Think of PPC More Like Email Mktg. Email Marketing • Limit Number of Blasts To Reduce Unsubscribes • 0.5-2% Unsubscribes Each Blast • People Need To Opt Into Your List • Tons of Unqualified Emails on the List People Based Marketing • N/A • N/A • N/A • N/A Larry Kim (@larrykim) #SEARCHFEST
  42. 42. Identity-Based Marketing Opens Up a TON of New and Exciting PPC Advertising Use Cases!!
  43. 43. How Does Stuff Go “Viral”?? Larry Kim (@larrykim) #SEARCHFEST
  44. 44. Article Published Friday at 5PM EST Larry Kim (@larrykim) #SEARCHFEST
  45. 45. Shared Story on My Social Media Larry Kim (@larrykim) #SEARCHFEST
  46. 46. Promote to My List of Influencers Larry Kim (@larrykim) #SEARCHFEST
  47. 47. Story Appeared in Marketing Land 2 Hours Later Larry Kim (@larrykim) #SEARCHFEST
  48. 48. Exponential Growth
  49. 49. Key Takeaway: You need interesting content + influential people finding your stuff
  50. 50. Identity Mktg Increases Chance of Getting Noticed WordStream Articles #ofSocialShares Larry Kim (@larrykim) #SEARCHFEST
  51. 51. WordStream Articles #ofSocialShares Identity Mktg Increases Chance of Getting Noticed Larry Kim (@larrykim) #SEARCHFEST
  52. 52. Identity + User Demographics = $$$ Larry Kim (@larrykim) #SEARCHFEST
  53. 53. CONFIDENTIAL – DO NOT DISTRIBUTE 55 # 6. Quality Score for Google Display Network
  54. 54. A 0.1% +/- in CTR yields +/- 20% in CPC! Quality Score Exists on Google Display Network!! Higher CTR = Lower CPC Higher CTR = Lower CPC Larry Kim (@larrykim) #SEARCHFEST
  55. 55. The Hack: Make Display Ads With Very High CTR Larry Kim (@larrykim) #SEARCHFEST
  56. 56. About Those “Display Ads”… • 67.5% of Display Ads are Plain Text Ads! Larry Kim (@larrykim) #SEARCHFEST
  57. 57. CTR of “Display Ads” Based on Ad Format Ad Format on Google Display Network Click Through Rate Text ads that are formatted as Images 0.23% True Image ads 0.31% Larry Kim (@larrykim) #SEARCHFEST
  58. 58. Huge Tax on “Text Display Ads” vs. True Image Ads Google Display Network Ad Format CPC (USD) Text $2.31 Custom Image $0.48 Larry Kim (@larrykim) #SEARCHFEST
  59. 59. Push Display Ads To Your Offers Larry Kim (@larrykim) #SEARCHFEST
  60. 60. Do a Conversion Path Analysis Define audience segments using the pages that most often lead to a conversion event Larry Kim (@larrykim) #SEARCHFEST
  61. 61. Conversion Rates vs. Ad Impressions Larry Kim (@larrykim) #SEARCHFEST Conversion Rates Double With More Ad Impressions!
  62. 62. Push Display Ads to Content Larry Kim (@larrykim) #SEARCHFEST
  63. 63. ~5% of Blog Content Gets ~50% of Social Shares Promote These Top 5% of Articles!!! Larry Kim (@larrykim) #SEARCHFEST
  64. 64. These Emotions Make People Click on Things Larry Kim (@larrykim) #SEARCHFEST
  65. 65. The Hack: Make Display Ads Look More Like Content Larry Kim (@larrykim) #SEARCHFEST
  66. 66. CONFIDENTIAL – DO NOT DISTRIBUTE 68 # 5. Get 3x More Impressions on Google Display Network
  67. 67. 14 Display Ad Formats on GDN • Vertical rectangle: 240 x 400 • Mobile leaderboard: 320 x 50 • Banner: 468 x 60 • Leaderboard: 728 x 90 • Square: 250 x 250 • Small square: 200 x 200 • Large rectangle: 336 x 280 • Inline rectangle: 300 x 250 • Skyscraper: 120 x 600 • Wide skyscraper: 160 x 600 • Half-page: 300 x 600 • Etc. Larry Kim (@larrykim) #SEARCHFEST
  68. 68. Different Ad Formats Don’t Compete With Each Other Larry Kim (@larrykim) #SEARCHFEST
  69. 69. Diversify Your Ad Formats = 3x Impressions Ad Format Share of Impressions Leader board (728 x 90) 25.5% Inline rectangle (300 x 250) 25.1% Banner (468 x 60) 12.0% Wide skyscraper (160 x 600) 10.1% Large Rectangle (336 x 280) 8.6% Mobile leaderboard (320 x 50) 7.4% Half-page (300 x 600) 4.3% Square (250 x 250) 2.8% Larry Kim (@larrykim) #SEARCHFEST
  70. 70. CONFIDENTIAL – DO NOT DISTRIBUTE 72 # 4. Crazy Mobile Hack to Triple Conversions
  71. 71. Mobile is Very Different… OMG a Call Button!! Larry Kim (@larrykim) #SEARCHFEST
  72. 72. Call Extensions Change Everything!! Calls to Businesses worth on Average 3x More Than Clicks to Websites!! 4. Captured Lead 2. Calls Business 2. Clicks On Ad Desktop Search Conversion Funnel 3% Avg. Conversion Rate Mobile Conversion Funnel 1. Sees Ad 1. Sees Ad 3. Visits Website Landing Page 3. Lead Captured!! Larry Kim (@larrykim) #SEARCHFEST
  73. 73. Contact & Qualification Rate Evaporates Fast! Larry Kim (@larrykim) #SEARCHFEST
  74. 74. Yet Mobile is Much Cheaper Than Desktop Clicks Larry Kim (@larrykim) #SEARCHFEST
  75. 75. Forget Mobile Sites & Landing Pages! Larry Kim (@larrykim) #SEARCHFEST
  76. 76. CONFIDENTIAL – DO NOT DISTRIBUTE 78 # 3. New Gmail Ads!
  77. 77. Larry Kim (@larrykim)Larry Kim (@larrykim) #SEARCHFEST
  78. 78. Subject Line and Teaser … Larry Kim (@larrykim) #SEARCHFEST
  79. 79. Email Ad! Larry Kim (@larrykim) #SEARCHFEST
  80. 80. The Hack: Target Your Competitor’s Emails Larry Kim (@larrykim) #SEARCHFEST
  81. 81. # 2. YouTube Trueview Ads
  83. 83. YouTube TrueView Ads! Larry Kim (@larrykim) #SEARCHFEST
  84. 84. YouTube Ads Hack #1: Know Targeting Options • Demographics: Age, gender, parental status. • Topics: YouTube video or Google Display Network content targeted by category or sub-category. • Interests: A few thousand categories of specific topics • Affinity audiences: People with a strong interest in your brand, product, or service. • In-market audiences: People in the process of buying something. • Placements: Add unique websites or placements within those websites. • Channels (YouTube Partner Channels) • Videos (YouTube Videos) • Sites on the Google Display Network • Remarketing lists: Reach viewers based on their past interactions with your videos or YouTube channel or Website. • Keywords: YouTube viewers’ search queries. Larry Kim (@larrykim) #SEARCHFEST
  85. 85. YouTube Ads Hack #2: Test Going Longform Larry Kim (@larrykim) #SEARCHFEST
  86. 86. YouTube Video Promotion = More Organic Visibility! Larry Kim (@larrykim) #SEARCHFEST
  87. 87. # 1. First Mover Advantage
  88. 88. +1000 New Features Every Year!! Larry Kim (@larrykim) #SEARCHFEST
  89. 89. +Post Ads for Google+ Larry Kim (@larrykim) #SEARCHFEST
  90. 90. My Google+ Story… Larry Kim (@larrykim) #SEARCHFEST
  91. 91. Google+ Visibility Before and After! After Before Larry Kim (@larrykim) #SEARCHFEST
  92. 92. The Top 10 PPC Hacks of All Time! 1. Say No to Low CTR in AdWords 2. Unicorn Ads Get +6x Average CTR 3. Exploit Quality Score for Twitter & Facebook 4. People Based PPC Marketing 5. QS on Google Display Network = Cheap Clicks 6. Make Display Ads Look Like Content 7. Triple Conversion Rate with Mobile 8. Get in People’s Gmail Inboxes! 9. YouTube Ads Boost SEO Traffic, Too. 10.Always be First Mover! Larry Kim (@larrykim) #SEARCHFEST
  93. 93. You are Part of the Quality Score Rebellion … and a Traitor Larry Kim (@larrykim) #SEARCHFEST
  94. 94. Thank You #SEARCHFEST! @larrykim Larry Kim (@larrykim) #SEARCHFEST

Editor's Notes

  • AdWords is just one big computer algorithm and any algorithm can be cracked.
  • Talk about how google makes it very hard for PPC spammers, too. Google shut down millions of spammy accounts year. All keywords/ads are graded with a quality score. The higher your quality score, the higher your ad ranking and lower your cost per click.
  • For every increase or decrease in quality score, you can expect your impression share to go up or down by around 9% on average.
  • And of course twitter has noticed the people based advertising trend, too. They’re kind of the last mover here so a lot of this stuff isn’t working that great just yet (like it takes 4 hours for them to process a list – yikes) – but you can target whatever you want to promote to specific twitter IDs or emails, too. And of course twitter is super powerful because a lot of influential folks hang out there. To summarize – I think the email marketers and PPC marketers should be collaborating on this new “people marketing” thing since there is a lot of magic that can happen when you target specific people with the right message. It also supplements a lot of the problems associated with email marketing, such as low delieverability rates (due to filters), unsubscribes (it’s harder to unsubscribe from ads), more inventory (since you can only blast your email list a limited number of times per week), etc.
  • The call extensions make things much better in the following 2 ways:
    You avoid sending people to a landing page (which is the leakiest part of the funnel and where you lose 97% of them)
    Commercial intent decays rapidly over time. Even if 3% of people fill out a “contact us” form, if it takes you a day to process their inquiry (say it came in in the evening or on a weekend) then you’ll end up losing half of them anyway – because the moment has passed.
  • As a result it’s worth forcing your mobile ads on mobile go straight to a phone number. Yes, I realize this goes against all the articles that you read about having a mobile site and mobile landing page. We’re finding that for the majority of businesses (especially services based companies or companies doing lead generation, or companies whose business involves telesales) that it’s worth skipping all that crap. Test it out and see for yourself.
  • So here are a few examples of People based advertising.
  • Here’s what the Gmail sponsored promotion looks like when you click on the promoted email. It’s an HTML creative.
    So overall, is an example of PPC marketing that feels a lot more like email marketing.
    Infact the whole concept of “people marketing” (targeting ads to specific people) has a lot more in common with email marketing than conventional PPC marketing, with one key difference being you can target specific people who haven’t yet opted into your mailing list. (or even people who have opted out).
  • By my estimations, there are over a thousand new features added in AdWords every year – and that’s just AdWords -- not including other big ad platforms like Bing, Twitter, Facebook, Linkedin, etc. There’s a huge, decisive advantage in being the first in your niche to adopt the latest ad formats and targeting capabilities – here are just a few examples of my favorite latest and greatest features.
  • Another recent example is the +Post ads for promoting your company Google+ posts as ads throughout the Google Display Network.
    Now, I’m not saying G+ is the greatest (actually I think it’s kind of crappy) but just as an example of the massive power of first mover advantage..
  • I set up a +post ad campaign with a 20$ daily budget to promote the latest Google+ post from my +WordStream company page.
  • The impact was profound. Before I was doing the google+ updates and it was not getting much traction. Add a little but of sponsored promotion and the page visibility increased dramatically. From 0 to 30k views / day! How? It’s because nobody uses this feature and there’s a huge advantage to being the first (sadly, nobody uses google+ either, heh).