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AdWords Search Funnels:
Going Beyond the Last Click
ad:Tech London - Sept. 21/22, 2010




Stefanie U. Duerr
eCommerce Project Manager
                                     Google Confidential and Proprietary   1
Agenda



         1   Why Multi-Click Attribution?


         2   Report Overview


         3   Search Funnel Strategies


         4   Conclusion




                                            Google Confidential and Proprietary   2
Why Multi-Click Attribution?




                       Google Confidential and Proprietary   3
Optimizing to last click performance undervalues assists

          All the work              All the glory




             Assist                    Last Click


                                           Google Confidential and Proprietary
Understand the complexity of consumers´ conversion
paths and start to exploit it

 43%       of paid search conversions
  included more than one paid click;
    multi-click sales have an average
          basket value of +8%*


                                                  70% of advertisers have visibility of
                                                              the user's path to purchase**



 39%       of advertisers are using an
assist-weighted attribution model as
part of their bid management strategy**


Source: * td Search paid search clicks data for May 2009 conversions
        **Google survey of 37 major UK Retail, Travel, and Finance advertisers (April/May 2009) Confidential and Proprietary
                                                                                           Google
A conversion path for “JetWithUs.com”



   Time for a                                        Conversion
   vacation!
                 9/03/09     9/10/09     9/12/09




                 Holidays
                    in
                            Cheap
                           flights to
                Barcelona Barcelona
                                        JetWithUs.
                                           com
                                                      $
                                                       Google Confidential and Proprietary
A conversion path for “JetWithUs.com”

Last Click may not tell the whole story…




     Keyword              Cost             Conversions                       CPA
 Jet With Us             $3,400               16,000                       $0.21
 Holidays in
                          $155                   10                       $15.50
 Barcelona                                  + 5,000 assists


                                                                    Real Value?




                                                              Google Confidential and Proprietary
Visibility with Search Funnels

          Last Clicks
                                 Just scratching
                                   the surface

                                 Deeper visibility
                                 and knowledge



          Assists and
        Conversion Paths


                                         Google Confidential and Proprietary   8
Report Overview




                  Google Confidential and Proprietary   9
AdWords Search Funnels
• Reports Google.co.uk search ad
  click and impression behavior
  preceding conversions                                    Holidays in
                                                           Barcelona

• “Upper-funnel" keywords              Cheap
                                      flights to
  assisting conversions              Barcelona


• Must be using AdWords
  Conversion Tracking or
                                                   Jet with Us
  importing Google Analytics goals




                                               Conversion




                                                        Google Confidential and Proprietary
AdWords Search Funnels



       Last Clicks




                         Google Confidential and Proprietary   1
                                                               1
AdWords Search Funnels

                         Where they came from




                         How they got there




                         How long it took




                                 Google Confidential and Proprietary   1
                                                                       2
Case Study: Twiddy




                     Google Confidential and Proprietary   1
                                                           3
Case Study: Twiddy




                     Google Confidential and Proprietary   1
                                                           4
Path Length (Impressions)




                            Google Confidential and Proprietary   1
                                                                  5
Time Lag (from first impression)




                                   Google Confidential and Proprietary   1
                                                                         6
Top Paths (Clicks)




                     Google Confidential and Proprietary   1
                                                           7
Assist Clicks & Impressions




                              Google Confidential and Proprietary   1
                                                                    8
Search Funnel Strategies




                      Google Confidential and Proprietary   19
Strategy #1 - Visibility




                           Google Confidential and Proprietary
If you have visibility gaps, you may lose users




                                                likely, iphone




                                                ???????




                                             Google Confidential and Proprietary
Assist Analysis — deeper sense of keyword value




                                          Google Confidential and Proprietary
Lever 1: Improve visibility by ensuring a high ad position




                                             Google Confidential and Proprietary
Lever 2: Be present during the entire customer purchase
cycle




                                           Google Confidential and Proprietary
Lever 2: Be present during the entire customer purchase
cycle




                                        Drop of 6%




                                           Google Confidential and Proprietary
Lever 2: Be present during the entire customer purchase
cycle




   Large corresponding drop in the number of assisted conversions




                                                      Google Confidential and Proprietary
Strategy #2 - Attribution




                            Google Confidential and Proprietary
Attribution modelling



Some keywords have a higher assist value than other keywords
regarding generating last click conversions.

Analyzing the performance of keywords from a last click perspective
undervalues the contribution of these assist keywords.

An alternative attribution model might be more adequate to capture the
full value of keywords acting as first touchpoints for later conversions.




                                                           Google Confidential and Proprietary
Many Attribution Models to Consider
                                                                     Rules-           Margin-
                                            Even,            Time
                   Last Click First Click            Split           Based            Based
                                            Linear           Decay
                                                                     MCU              Decay
      Discount
      summer                     100%
       holiday                              20%      13%     10%      14%



    Holidays in
    Barcelona                               20%      13%     15%       7%



   accommodation                                                                         50%
     Barcelona                              20%      13%     20%
                                                                      10%


     Cheap
    Barcelona                               20%              25%      32%
                                                                                         20%
                                                     13%
     hotels
                                                                                         75%
     JetWithUs.      100%
                                                     50%
                                                             30%      37%
        com                                 20%



                                                                     Google Confidential and Proprietary
Ratio re-attribution model




Ratio re-attribution

Site Avg Assisted Conversions/Last Click Conversions: 0.49


Assist-weighted Conversions =
                              = 937 + ( 0.41 –     0.49   ) * 937
                              = 862

•   Keywords with higher ratios of assist-to-last than the site average get
    reapportioned credit from keywords that have lower ratios of assist-to-last.
•   After re-attribution generic keywords typically receive more credit,
    whereas brand terms receive less credit.

                                                                    Google Confidential and Proprietary
Conclusion




             Google Confidential and Proprietary   31
New data points




   Search Funnel enables us to create a better experience for our
    customers by helping us understand how they search for our
     products. It is an important tool to help de-code consumer
     shopping habits and thought processes, which we can
     relate back to our online as well as offline advertising.

              Beth Hirschhorn, Chief Marketing Officer, MetLife




                                                                  Google Confidential and Proprietary
Executive summary

1. | search Funneland impressionsconverters interact with paid
     Search
            clicks
                   uncovers how
                                  on Google.co.uk

2. | are usedinto converters preceding the last click which keywords
     Insights
              by
                  the conversion path will demonstrate


3. | click will nowconversions value of all keywords - not just the last
     You
           prior to
                    see the true

       Leverage Search Funnel data to maximize visibility by being
4. |   always on and showing up in high ad positions


5. | value of assist clicks attribution model might better represent the
     An assist-weighted
                            prior to a conversion than a last-click
       attribution model



                                                         Google Confidential and Proprietary
Thank you!
ad:Tech London - Sept. 21/22, 2010




Stefanie U. Duerr
eCommerce Program Manager
Google Germany GmbH                  Google Confidential and Proprietary   3
                                                                           4

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AdWords Search Funnels: Going Beyond The Last Click

  • 1. AdWords Search Funnels: Going Beyond the Last Click ad:Tech London - Sept. 21/22, 2010 Stefanie U. Duerr eCommerce Project Manager Google Confidential and Proprietary 1
  • 2. Agenda 1 Why Multi-Click Attribution? 2 Report Overview 3 Search Funnel Strategies 4 Conclusion Google Confidential and Proprietary 2
  • 3. Why Multi-Click Attribution? Google Confidential and Proprietary 3
  • 4. Optimizing to last click performance undervalues assists All the work All the glory Assist Last Click Google Confidential and Proprietary
  • 5. Understand the complexity of consumers´ conversion paths and start to exploit it 43% of paid search conversions included more than one paid click; multi-click sales have an average basket value of +8%* 70% of advertisers have visibility of the user's path to purchase** 39% of advertisers are using an assist-weighted attribution model as part of their bid management strategy** Source: * td Search paid search clicks data for May 2009 conversions **Google survey of 37 major UK Retail, Travel, and Finance advertisers (April/May 2009) Confidential and Proprietary Google
  • 6. A conversion path for “JetWithUs.com” Time for a Conversion vacation! 9/03/09 9/10/09 9/12/09 Holidays in Cheap flights to Barcelona Barcelona JetWithUs. com $ Google Confidential and Proprietary
  • 7. A conversion path for “JetWithUs.com” Last Click may not tell the whole story… Keyword Cost Conversions CPA Jet With Us $3,400 16,000 $0.21 Holidays in $155 10 $15.50 Barcelona + 5,000 assists Real Value? Google Confidential and Proprietary
  • 8. Visibility with Search Funnels Last Clicks Just scratching the surface Deeper visibility and knowledge Assists and Conversion Paths Google Confidential and Proprietary 8
  • 9. Report Overview Google Confidential and Proprietary 9
  • 10. AdWords Search Funnels • Reports Google.co.uk search ad click and impression behavior preceding conversions Holidays in Barcelona • “Upper-funnel" keywords Cheap flights to assisting conversions Barcelona • Must be using AdWords Conversion Tracking or Jet with Us importing Google Analytics goals Conversion Google Confidential and Proprietary
  • 11. AdWords Search Funnels Last Clicks Google Confidential and Proprietary 1 1
  • 12. AdWords Search Funnels Where they came from How they got there How long it took Google Confidential and Proprietary 1 2
  • 13. Case Study: Twiddy Google Confidential and Proprietary 1 3
  • 14. Case Study: Twiddy Google Confidential and Proprietary 1 4
  • 15. Path Length (Impressions) Google Confidential and Proprietary 1 5
  • 16. Time Lag (from first impression) Google Confidential and Proprietary 1 6
  • 17. Top Paths (Clicks) Google Confidential and Proprietary 1 7
  • 18. Assist Clicks & Impressions Google Confidential and Proprietary 1 8
  • 19. Search Funnel Strategies Google Confidential and Proprietary 19
  • 20. Strategy #1 - Visibility Google Confidential and Proprietary
  • 21. If you have visibility gaps, you may lose users likely, iphone ??????? Google Confidential and Proprietary
  • 22. Assist Analysis — deeper sense of keyword value Google Confidential and Proprietary
  • 23. Lever 1: Improve visibility by ensuring a high ad position Google Confidential and Proprietary
  • 24. Lever 2: Be present during the entire customer purchase cycle Google Confidential and Proprietary
  • 25. Lever 2: Be present during the entire customer purchase cycle Drop of 6% Google Confidential and Proprietary
  • 26. Lever 2: Be present during the entire customer purchase cycle Large corresponding drop in the number of assisted conversions Google Confidential and Proprietary
  • 27. Strategy #2 - Attribution Google Confidential and Proprietary
  • 28. Attribution modelling Some keywords have a higher assist value than other keywords regarding generating last click conversions. Analyzing the performance of keywords from a last click perspective undervalues the contribution of these assist keywords. An alternative attribution model might be more adequate to capture the full value of keywords acting as first touchpoints for later conversions. Google Confidential and Proprietary
  • 29. Many Attribution Models to Consider Rules- Margin- Even, Time Last Click First Click Split Based Based Linear Decay MCU Decay Discount summer 100% holiday 20% 13% 10% 14% Holidays in Barcelona 20% 13% 15% 7% accommodation 50% Barcelona 20% 13% 20% 10% Cheap Barcelona 20% 25% 32% 20% 13% hotels 75% JetWithUs. 100% 50% 30% 37% com 20% Google Confidential and Proprietary
  • 30. Ratio re-attribution model Ratio re-attribution Site Avg Assisted Conversions/Last Click Conversions: 0.49 Assist-weighted Conversions = = 937 + ( 0.41 – 0.49 ) * 937 = 862 • Keywords with higher ratios of assist-to-last than the site average get reapportioned credit from keywords that have lower ratios of assist-to-last. • After re-attribution generic keywords typically receive more credit, whereas brand terms receive less credit. Google Confidential and Proprietary
  • 31. Conclusion Google Confidential and Proprietary 31
  • 32. New data points Search Funnel enables us to create a better experience for our customers by helping us understand how they search for our products. It is an important tool to help de-code consumer shopping habits and thought processes, which we can relate back to our online as well as offline advertising. Beth Hirschhorn, Chief Marketing Officer, MetLife Google Confidential and Proprietary
  • 33. Executive summary 1. | search Funneland impressionsconverters interact with paid Search clicks uncovers how on Google.co.uk 2. | are usedinto converters preceding the last click which keywords Insights by the conversion path will demonstrate 3. | click will nowconversions value of all keywords - not just the last You prior to see the true Leverage Search Funnel data to maximize visibility by being 4. | always on and showing up in high ad positions 5. | value of assist clicks attribution model might better represent the An assist-weighted prior to a conversion than a last-click attribution model Google Confidential and Proprietary
  • 34. Thank you! ad:Tech London - Sept. 21/22, 2010 Stefanie U. Duerr eCommerce Program Manager Google Germany GmbH Google Confidential and Proprietary 3 4