Five Mill Tree Method

The Five Mill Tree Method Search Marketing Lost its Tail Five Mill Marketing San Francisco, California

History - The Beginning ,[object Object],[object Object],[object Object],[object Object]

History – Search Marketing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

History – Keyword Mapping “ Keyword”: california socks Note: These are just examples and keywords may not have mapped exactly as depicted. Search Queries: “ California wool socks” “ California blue socks” “ California SOX compliance”

History - Keyword Landscape (‘98-’02) Search: socks Result: Head Overture Inventory Tool Keyword Searches socks 5,000 red socks 400 wool socks 300 pink socks 250 toe socks 200 socks compliance 190 sock fetish 180 Tail multiple definitions unrelated unrelated

History - Building Ad Campaigns ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Google Changes the Game (1/2) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Google Changes the Game (2/2) ,[object Object],[object Object],[object Object],[object Object]

“ New” Keyword Landscape (1/2) Head Tail Keyword Searches socks 5,000 red socks 400 wool socks 300 pink socks 250 toe socks 200 socks compliance 190 sock fetish 180 Then socks Now All words related to “socks”

“ New” Keyword Landscape (2/2) Legend socks [red socks] Match Type Example Broad socks Phrase “ wool socks” Exact [socks] Geo-Targeting GT: CA [socks] GT: CA “ wool socks”

Bidding Methodology Revisited ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],KW5 KW1 KW2 KW 4 KW6 KW7 KW3 Then Now: “Five Mill Tree Method”

“ Five Mill Tree Method” socks $2.50 CPC [socks] socks (- [socks]) $3.00 CPC $2.20 CPC GT: California [socks] (-GT: CA) $2.00 CPC $3.25 CPC GT: Los Angeles, CA GT: California (- Los Angeles,CA) $2.50 CPC $1.90 CPC

Barriers of Entry – Geo-targeting (1/2) ps. My apologies to Hawaii and Alaska residence, whom I chose not to include in this example. I promise it was for no other reason than fitting the map on the page. I love you both. CPC: $2.50 YOU “ But, why optimize!? I am already #1 everywhere!!!” ,[object Object],[object Object],Avg. Position: 1 Keyword: [socks] CPC: $3.50 Competitor Avg. Position: 1 2

Barriers of Entry – Geo-targeting (2/2) YOU CPC: $5.00 CPC: $1.00 Avg. Position: 1 Avg. Position: 1.5 ,[object Object],[object Object],[object Object],YOU Competitor Keyword: [socks] Competitor CPC: $3.50 1.5

Barriers of Entry – Optimized CPC: $6.00 CPC: $5.00 CPC: $1.50 CPC: $1.00 CPC: $ .50 CPC: $ .20 CPC: $ .10 pos.: 1 pos.: 1 pos.: 1 pos.: 1 pos.: 2 pos.: 4 pos.: 10 ,[object Object],[object Object],[object Object],2. Optimization will protect your margins from competitors who start to bid more aggressively.

Added Benefits of Optimization ,[object Object],[object Object],[object Object]

Rules about “Five Mill Tree Method” ,[object Object],[object Object],Optimization with the “Five Mill Tree Method” will nearly always lead to… ,[object Object],[object Object],[object Object]

Dan Soha Principal & SEM Specialist dan [at] fivemill [dot] com San Francisco, California Who are we?: We are a team of Search Marketing experts that utilize math and computer science with a hands-on approach to solve complex Search Marketing problems with customized Search Marketing solutions .

Appendix Techniques/Tricks to Slice and Dice

Techniques/Tricks to Slice and Dice ,[object Object],[object Object],[object Object]

Match Type “Trumping” ,[object Object],[object Object],[object Object],socks Match Type: Broad CPC: $3.00 [socks] Match Type: Exact CPC: $1.00 User Query: [socks] This query is mapped to this keyword because Google sees that the query is a closer match to the keyword and match type despite the lower bid.

Geo-Target “Trumping” ,[object Object],[object Object],[object Object],[object Object],[socks] Match Type: Exact Geo-Target: USA CPC: $3.00 [socks] Match Type: Exact Geo-Target: New York CPC: $1.00 User Query: [socks] User Location: Brooklyn, New York This query is mapped to this keyword because Google sees that the geo-target is a closer match, despite the lower bid.

Ad Competition (1/2) ,[object Object],[object Object],Problem: I think the first ad is performing better for some keywords and the second ad is performing better for the rest . How do I optimize without analyzing my web logs?

Ad Competition (2/2) Resolution: Let Google do the work for you! Step #2: Duplicate adgroup and run 1 ad in each 1 Adgroup 10 Keywords 2 Ads 1 Adgroup 10 Keywords Ad #1 1 Adgroup 10 Keywords Ad #2 Step #1: Make sure bids are targeting current metrics of success Step #3: Let ads run until they have ample conversion history Step #4: Re-bid to current metrics of success Wrap your head around it : Due to Google’s CTR model designed to make them the most money possible and your re-bidding designed to hit your metrics, you will maximize conversions and the best keyword-ad combination will naturally occur. Step #5: Wait and repeat Step #4

Five Mill Tree Method

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