Internet world-2010-v3


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Neil Walker Seminar from Internet World on how to predict how much money a keyword(s) can generate from SEO and then how to track your prediction.

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  • Internet world-2010-v3

    1. 1. How to track investment in SEO against returns<br />Neil Walker<br />CTO<br />Just Search Ltd<br />
    2. 2. Who am I?<br />Who am I? Neil Walker <br />Position: Chief Technical Officer<br />Company: Just Search Ltd <br />Expertise:<br /><ul><li>Search Engine Optimisation
    3. 3. Pay Per Click
    4. 4. Analytics Qualified
    5. 5. Conversion Rate Optimisation</li></ul>Experience<br /><ul><li>Worked or been involved with SEO for over 2500 clients in the UK and nearly 5000 clients for Pan Europe.</li></ul><br /><br />
    6. 6. Disadvantages of SEO over PPC<br />You can’t work out traffic for SEO?<br />You can’t track conversions in SEO?<br />You can’t rank 1st page instantly in SEO?<br />You can’t work out organic CTR?<br />You can’t predict required budgets in SEO?<br />You can’t optimise 100’s of phrases in SEO?<br />More people click on sponsored adverts?<br />You can’t improve website conversion rate with SEO?<br />You can’t do SEO without PPC?<br />SEO costs less than PPC?<br />False<br />False<br />True<br />False<br />False<br />False<br />False<br />False<br />False<br />TRICK!<br /><br /><br />
    7. 7. Learning Objectives<br />The purpose of this seminar is to show you how to create a factual SEO Business Plan / Case by:<br />Predicting organic traffic to your website<br />Analysing the potential income<br />Studying the investment required<br />Working out profit & loss for your business plan.<br />Carrying out ongoing tracking of your predictions<br />Looking at long term goals by reviewing the potential from ranking between positions 10-5 against 3-1.<br /><br /><br />
    8. 8. Google’s Domination<br /><br /><br />
    9. 9. Click Through Rates<br />
    10. 10. Organic vs.. PPC Click Through Rates Pt.1<br /><br /><br />
    11. 11. Organic vs.. PPC Click Through Rates Pt.2<br /><br /><br />
    12. 12. Organic Click Through Rates (Eye Tracking 2004)<br />People have been interested in CTR for many years.<br />This image was highlighted by SEO based on research from Cornell University from 2004<br /><br /><br />
    13. 13. Organic Click Through Rates (AOL 2006)<br />August of 2006 AOL leaked millions of search records<br /><br /><br />
    14. 14. Organic Click Through Rates (Google 2010) Pt.1<br />This month GWT enhanced their Top Search Query Function.<br />At Just Search we compiled sample data from 100 clients across 1500 key phrases.<br /><br /><br />
    15. 15. Organic Click Through Rates (Google 2010) Pt.2<br />We took the data and also segmented in by Key Phrase length, again this revealed some interesting information about ranking No.1<br /><br /><br />
    16. 16. Organic CTR<br />From the collated data we can now make an educated guess at the Click Through Rate if your website ranks on the first page for a given keyword<br />Position 2-10 = CTR 4.85%<br /><br /><br />
    17. 17. Conversion Rates<br />
    18. 18. Website Conversion Rates<br />PPC is a good way to find out your website’s conversion rate, however if you do not have this luxury, there are a number of sources which can give you an idea of Average Conversion rates.<br /><br /><br />
    19. 19. Website Conversion Rates<br />From the collated data we can now make an educated guess at the conversion rate of your website<br />Average Conversion Rate = 2.9%<br /><br /><br />
    20. 20. Keyword Analysis<br />
    21. 21. Keyword Analysis Pt.1<br />Use a tool to give you the predicted traffic i.e.<br /><br />Microsoft-advertising-intelligence<br /><br /><br /><br />
    22. 22. Keyword Analysis Pt.2<br />We now have the following data:<br /><ul><li>CTR on Ranking Organically between 2-10
    23. 23. Average Website Conversion Rate
    24. 24. Exact predicted Monthly Traffic per keyword</li></ul>We now need:<br /><ul><li>Potential Timescale to gain results
    25. 25. Average Gross Profit per service / product.
    26. 26. Average Order Values</li></ul><br /><br />
    27. 27. Income, Investment & Timescales<br />
    28. 28. Predicting Timescales<br />This requires expertise!!<br /><ul><li>If you’re client-side, then get estimated timescales from a potential SEO provider
    29. 29. If you’re agency-side, then look at all the factors required to gain a ranking and use your experience to predict a timeline.</li></ul><br /><br />
    30. 30. Investment Required<br />Again client-side – You will get potential cost from your SEO Provider.<br />Agency-side – You need to think about:<br /><br /><br />
    31. 31. Potential Income<br />Finally, to put your business plan together you need to know your potential Gross Profit %.<br /><ul><li> Either an average GP
    32. 32. Or even better a GP per product. </li></ul>You will also need to look at your potential Average Order Values or Product / Service Prices<br /><ul><li> Carry out market research
    33. 33. E-commerce site / service site</li></ul><br /><br />
    34. 34. Quick Overview<br />You should now have the following data:<br /><ul><li> First Page CTR
    35. 35. Website Conversion Rate
    36. 36. Potential Keywords & Traffic
    37. 37. Predicted Timescales
    38. 38. Investment Required
    39. 39. Average Order Value
    40. 40. Average Gross Profit</li></ul><br /><br />
    41. 41. Financials<br />
    42. 42. Putting it together<br />Use Excel to put all your information together<br /><br /><br />
    43. 43. Pivot Table<br />Create a Pivot Table<br />Analyse the potential income you will start receiving for each keyword for each month.<br /><br /><br />
    44. 44. Investment<br />Your SEO Company advises it will cost you £2500 pcm<br />Will you make a profit?<br />How long will it take you to break even?<br />How long will it take to pay back your investment?<br /><br /><br />
    45. 45. Profit & Loss Year 1<br /><br /><br />
    46. 46. Payback<br /><br /><br />
    47. 47. 2 Year Profit Forecast<br /><br /><br />
    48. 48. Tracking<br />
    49. 49. Ongoing Tracking<br />Use Google Analytics<br />Set up Conversion Goals<br />Set up Goal Funnels<br />Set up E-commerce tracking (if applicable)<br />Set up Webmaster tools and monitor CTR<br />Set up web ranking reports to monitor positions<br />This will allow you to track the Business Plan you are working towards<br /><br /><br />
    50. 50. Google Analytics – Custom Reporting Pt.1<br />You can drill down by Source, then display:<br /><ul><li>Visits
    51. 51. Transaction
    52. 52. Product Revenue</li></ul>By Keyword.<br />This tells you which keywords are making money!<br /><br /><br />
    53. 53. Let’s look at Real Data!<br />
    54. 54. Real Data – CTR & Conversion(Month 11)<br /><br /><br />
    55. 55. Predictions vs.. Actual Data<br /><br /><br />
    56. 56. Actual P&L Year 1<br /><br /><br />
    57. 57. Actual Payback<br /><br /><br />
    58. 58. Future Goals<br />
    59. 59. Traffic vs.. Investment<br /><ul><li>12 months later you are ranking on the first page
    60. 60. Average Ranking positions of 10 to 5.
    61. 61. How much is a top 2 position worth to you?
    62. 62. How much are you willing to spend?</li></ul><br /><br />
    63. 63. Traffic vs.. Investment<br /><ul><li> 23 x more traffic in No.1
    64. 64. 5.6 x more traffic in No.2
    65. 65. 3.7 x more traffic in No.3</li></ul>It is very likely that companies may need to double or triple SEO budgets to gain positions 1 & 2, this is well worth it!<br /><br /><br />
    66. 66. Overview<br />
    67. 67. Learning Objectives - Recap<br /><br /><br />
    68. 68. Question / Debate<br /><br /><br />