SEMPO conducted a survey to understand how search marketing is faring during the economic recession. The survey found that most marketers have decreased their marketing budgets and are not planning to increase spending on search activities. However, search, especially natural search, was considered the most cost-effective form of marketing. While search remains important, the survey highlighted barriers like lack of understanding among senior management and a need for more analytics and education on holistic search strategies.

1. Search in a Recession
A survey from SEMPO

2. Well, we are certainly “going through extremely uncertain times” as UK
Chancellor Alistair Darling put it, but is digital and search fairing better
Search in a Recession than most? SEMPO have listened to the market and their members and
have discovered whether search is experiencing a nibble, a great big bite
A survey from SEMPO
or bucking the trend during “The Credit Crunch”.
Hundreds of responses to a simple survey

3. “Have you recently changed where you spend your
marketing budgets in light of the changes in the
economic climate?”
- unfortunately down in the majority of cases
24%
Yes
No
76%

4. “Are you considering raising expenditure in search
activity because of the economic climate?”
- 69% of marketers leaving it neutral
25%
Yes
No
75%

5. “How reliant are you on intent driven marketing like
Search for your wider marketing strategy?”
- 64% of marketers are reliant for a wider strategy success
2%
29%
34%
Very
Quite
Not Very
Unreliant
35%

6. “Are you aware of the benefits of synergizing your paid and natural
search strategies?”
- A lot of education and things to learn about harmonious campaigns
29%
Yes
No
71%

7. “Has the richness of the search results and offerings from publishers
changed your SEM approach?
- Half the world is changing, half isn’t
“More use of YouTube” (bloody sales guys pushing irrelevant)
45%
“More video work” Yes
55%
No
“Expanded in-house teams”
“More use of shopping engines”
“Increased affiliate use on performance deals”
“Testing mobile”
“Re-design web site” “More use of widgets and social media”
“Changes to content strategy”

8. “What would you consider to be the most cost effective
form of marketing in a recession?
- Natural Search, Paid Search, but also…TV, Events, Print, email – 15% don’t know!
1% 1% 1% 1%
2% 2%
2%
3%
SEO
5%
PPC
Other
Social media
11%
display
events
56%
POS
affiliates
15% direct sales
“One that I can turn off quickly” TV
local targetted
“Anything I can measure” email
“Don’t know”
“Natural Search as number one with 3 times as many responses as any other channel”

9. “Do you use SEM for brand as well as direct
response
- Could this be linked to the increasing richness of SERPS
38%
Yes
No
62%

10. “What are the main reasons for not spending more of
your marketing budgets online? (obstacles)
The boss, the board, the CFO, lack of belief and balancing the mix
2%
8%
30%
16%
management
Budget cuts
Performance issues
keeping a balance
Lack of Understanding
17%
Contractual commitments
27%
A culprit of company-wide cost cutting?

11. What our industry still needs to do…
•Increased focus on analytics
•Further research into “holistic search”
•Education for senior management – a UK issue?

12. Want toahelp?
Search in Recession
A survey from SEMPO
http://www.sempo.org
Richard Gregory (SEMPO)
Richard.Gregory@latitudegroup.com
+44 (0) 1925 420105
Twitter:@smartrich
Paul Doleman (SEMPO)
Paul.doleman@icrossing.co.uk
+44 (0) 7718 585165
Twitter:@pauldoleman