Sem for PPC Introduction - Sam Owen at IU

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A brief introduction to the world of PPC aimed at college students with a broad interest in advertising or marketing. This presentation looks at the different fields of SEM, some of the basics of PPC and what skills to develop to get your foot in the door.

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Sem for PPC Introduction - Sam Owen at IU

  1. 1. An Introduction to PPC Advertising
  2. 2. Today’s Class • • • • • • • What is PPC? General principles How to get into PPC Technicalities/Specifics Creating a strategy Measuring success Ethical issues 2
  3. 3. What is PPC? 3
  4. 4. An Introduction to PPC PPC stands for “Pay Per Click” Marketing. Differentiates from traditional media buys, where you pay for a number of impressions, be it in a magazine, a TV ad, or on the internet. 4
  5. 5. Acronym Jungle • • • • • • • PPC CPC CPM SEM C/R CTR CPA / CPL 5
  6. 6. Acronym Jungle • • • • • • • PPC – Pay Per Click CPC – Cost Per Click CPM – Cost Per Mille (Thousand Impressions) SEM – Search Engine Marketing C/R – Conversion Rate CTR – Click-Through Rate CPA / CPL – Cost Per Acquisition / Lead 6
  7. 7. Search Network Ads Paid Ads Organic Results 7
  8. 8. Search Network Ads Largest US Search Engines: 1. Google 2. Bing 3. Yahoo 4. Ask 5. AOL 8
  9. 9. Search Network Ads Largest US Search Engines: 1. Google – 66.7% 2. Bing – 17.9% 3. Yahoo – 11.4% 4. Ask – 2.7% 5. AOL – 1.3% Source – comScore Core Search Share Report July 2013 9
  10. 10. Display Network Ads Display / Image Ads 10
  11. 11. Display Network Ads Google Display Network: Display / Image Ads • 180 Billion Monthly Ad Impressions • $3 Billion per quarter revenue • 0.1% CTRs • $0.75 average CPC • About 20% of online conversions 11
  12. 12. Where our clients’ money goes 4% 3% 8% Google AdWords Bing Facebook Other 85% 12
  13. 13. Top AdWords Spenders 13
  14. 14. Search Engine Marketing Branches of SEM: • • • • PPC – Pay Per Click SEO – Search Engine Optimization CRO – Conversion Rate Optimization Social Media – Twitter, Facebook etc. 14
  15. 15. SEO • Search Engine Optimization is the process of trying to get your website to rank higher on Google (or other search engines) • The higher you rank, the more people come to your website • The more people come to your website, the more money you make 15
  16. 16. SEO 16
  17. 17. CRO “Conversion Rate Optimization” is a name given to the process of making a website generate more conversions from existing traffic. – CRO is Amazon’s bread and butter Spend/CPC * Conversion Rate = Leads 17
  18. 18. Social Media • Reaching out to customers & forming relationships • Improving brand awareness and reputation • Working as a backup customer service • Not the same as advertising on Facebook or Twitter, which still falls under PPC. 18
  19. 19. General Principles 19
  20. 20. PPC • Ads • Bids • Targets – Keywords – Websites – Location – Time – Device 20
  21. 21. Ad Rank Why does this ad appear above that ad? 21
  22. 22. The Auction Source: http://searchengineland.com/new-adwords-ad-ranking-formula-what-does-it-mean-174946 22
  23. 23. The Auction Source: http://searchengineland.com/new-adwords-ad-ranking-formula-what-does-it-mean-174946 23
  24. 24. The Auction Source: http://searchengineland.com/new-adwords-ad-ranking-formula-what-does-it-mean-174946 24
  25. 25. What Is Quality Score? 25
  26. 26. PPC Specifics 26
  27. 27. Account Structure My Client Center Account Campaigns Ad Groups Keywords & Ads 27
  28. 28. Keywords • How you actually target users searching Google o [exact match] o “phrase match” o +broad +match o -negative match • Search Query =/= Keyword 28
  29. 29. Keywords • How do we know which keywords to bid on? – Common sense / brainstorming – Use tools like the Google Keyword Planner 29
  30. 30. Bids • Bid on a keyword level • Set bids to maximize clicks on keywords that drive sales/sign ups • Use different tools to help us set bids: – Excel – Automated Software – AdWords Rules 30
  31. 31. Bids Calculating a bid: • Bid = Target Cost Per Lead x Conversion Rate Example: The keyword [ppc management company] has a conversion rate of 0.5% and a lead is worth $200 to Hanapin. Our bid should be $200 x 0.5% = $1 31
  32. 32. Bid Adjustments • Time of day – Reduce bids 50% from midnight to 6am • Device Type – Reduce bids 10% for mobile users • Geography – Increase bids 25% for users within 50 miles of Bloomington, IN 32
  33. 33. Ads High click-through rates = good Google Quality Scores Temptation to overpromise = low conversion rates Need to find the middle ground: • A good hook (such as a catchy headline) • Proof • Trust • Benefits Create a feature/benefit matrix 33
  34. 34. Ads A Google Search ad: • Has a 25 character headline limit • Two 35 character description lines • One 35 character Display URL • One 2048 character Destination URL 34
  35. 35. Ads 35
  36. 36. Which ad did better? Source: http://boostctr.com/blog 36
  37. 37. Which ad did better? 200% Higher CTR Source: http://boostctr.com/blog 37
  38. 38. Which ad did better? Source: http://boostctr.com/blog 38
  39. 39. Which ad did better? 50% Higher CTR Source: http://boostctr.com/blog 39
  40. 40. Which ad did better? Ad A Ad B 40
  41. 41. Which ad did better? Ad A 57% Higher CTR Ad B 41
  42. 42. Ad Testing 42
  43. 43. Measuring Success 43
  44. 44. Key Performance Indicators (KPIs) What is the goal of your account? 1. Direct Response 2. Brand Awareness 44
  45. 45. Key Performance Indicators (KPIs) Typical Direct Response KPIs: • Conversions • Cost Per Conversion (CPA) • Revenue • Return on Ad Spend (ROAS) • Leads • Return on Investment (ROI) 45
  46. 46. Key Performance Indicators (KPIs) Typical Brand Awareness KPIs: • Impressions • Clicks • Bounce Rate • Average Time On Site 46
  47. 47. Conversion Tracking • Conversions are typically tracked as a pageview of an important page • Placing a small code snippet on these pages • Phone tracking systems link back to custom tags 47
  48. 48. Creating a Strategy 48
  49. 49. PPC Strategy What is the goal of your account? 1. Direct Response 2. Brand Awareness 49
  50. 50. Budget? How much money do we have for PPC? 1. Unlimited as long as hitting goals? 2. Limits set by client for overall spend 3. Divide up budget to promote more profitable campaigns 50
  51. 51. Market Google Trends: • Seasonality • Long term How much are CPCs? What do you expect your Conversion Rate to be? 51
  52. 52. Goals? Sales? Calls? Sign Ups? Free Trials? Twitter followers? 52
  53. 53. Marketing Mix Where does PPC fit into the company’s overall marketing plan? • Main driver of traffic • Ancillary source of sales 53
  54. 54. Ethical Issues? 54
  55. 55. Retargeting 55
  56. 56. Retargeting • When you visit a site, you get a Google cookie • Advertisers can use that cookie to show you ads on the Google Display Network (Google Remarketing) and Google Search Network (Remarketing for Search) • Remarketing is popular because it normally has crazy good ROIs 56
  57. 57. Data Privacy • Websites can track data through tools such as Google Analytics • Access to search data is anonymous but intrusive • What stats do sites keep about you? • Tends to be overblown with the media Analytics data is anonymous and most advertisers don’t care about an individual user, so much as the overall trends. 57
  58. 58. Advice for getting into online advertising 58
  59. 59. My Background • History degree from University of Warwick • Job through a friend. Had never heard of PPC or SEO until then • Big fan of the PPC Hero blog • Moved to US in 2011 – joined Hanapin a few months after 59
  60. 60. Read Blogs! There are no experts in online advertising: • • • • • • • • searchengineland.com adwords.blogspot.com ppchero.com moz.com/blog (SEO) boostctr.com/blog (ad copy) 3qdigital.com/blog www.clixmarketing.com/blog Book – Advanced Google AdWords – Brad Geddes (available on Amazon) 60
  61. 61. Become a master of Excel! • 90% of PPC Analysis can be done with Pivot Tables • Building out accounts is mostly done with Excel & AdWords Editor • Writing ads mostly done in Excel so we can use =LEN( function to make sure we don’t go over character limits 61
  62. 62. Get Certified Google Certified Partners Google AdWords Qualified Professional Exams • One fundamentals exam • One specialist exam 62
  63. 63. 63

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