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SEM FOR TECHSTARS
CHICAGO 2017
1
Elan Mosbacher
SpotHero
@mosbacher
AGENDA
• Intro
• Does SEM even matter?
• Why should I listen to you?
• SEM, SEO, WTF?
• Everything you need to know about SEM in 1 deck
• How to not fail
Copyright or confidentiality statement. 2
Google Trends: Solar Eclipse Glasses
Copyright or confidentiality statement. 3
Google Trends: Pokemon in 2016. Fad?
Copyright or confidentiality statement. 4
Google Trends: Pokemon in 2017. Fad!
Copyright or confidentiality statement. 5
Google Trends: Bitcoin in 2016. Fad?
Copyright or confidentiality statement. 6
Nigeria = #1 Search Demand For Bitcoin. Why?
Copyright or confidentiality statement. 7
Google Trends: Superbowl
Copyright or confidentiality statement. 8
WHY SEM Matters
Copyright or confidentiality statement. 9
SEM is a major investment for most startups
Copyright or confidentiality statement. 10
https://en.wikipedia.org/wiki/List_of_public_corporations_by_market_capitalization
https://investor.google.com/earnings/2015/Q3_google_earnings.html
Top Acquisition Channels For Chicago Startups
Copyright or confidentiality statement. 11
24%
20%
8%8%
4%
4%
4%
4%
4%
4%
4%
4%
4%4%
Top Acquisition Channels
SEM
SEO
Word of Mouth
Partnerships
Social
Referral
PR
Outbound Sales
Other
Facebook
Email
Direct Traffic
Marketing Budget For Chicago Startups
Copyright or confidentiality statement. 12
WHO AM I?
Copyright or confidentiality statement. 13
About me
• Elan Mosbacher
• Serial Startup Marketer: Head of marketing @ 3 venture funded startups
• VP of Marketing @ SpotHero (Three years from Seed, Series A to beyond Series B),
now VP of Strategy & Partnerships
• >$10 Million in SEM Management (3 FTE, countless consulting gigs)
• Kellogg MBA, B.S. in Finance & Entrepreneurship
• Techstars companies I’ve helped:
• Power2Switch - Consultant
• GiveForward - Consultant
• WhimseyBox – Consultant
• UrbanLeash - Mentor
• ConvertFlow – Mentor
• SpotHero – Full-Time Empoyee
Copyright or confidentiality statement. 14
SEM, SEO, WTF?
Copyright or confidentiality statement. 15
SEM WARNING
Copyright or confidentiality statement. 16
SEM vs SEO
Copyright or confidentiality statement. 17
SEM’s Advantages
• Immediate traffic to your website
• Flexible budget
• Easy to scale
• Optimized for testing
• Measureable and data rich
• Full control over targeting & ad copy
• Capture existing demand resulting in relatively high ROI
Copyright or confidentiality statement. 18
SEM/PPC 1st Digital Marketing Tactic
Copyright or confidentiality statement. 19
EVERYTHING YOU NEED TO
KNOW ABOUT SEM IN 1 DECK . . .
Copyright or confidentiality statement. 20
SEM Advertising Account Structure
Copyright or confidentiality statement. 21
Let’s start with Keywords
Copyright or confidentiality statement. 22
Keywords
• What Keywords Are You Customers Looking For?
• Google Keyword Planner
• Google Instant / Google Suggest
• Uber Suggest
• SpyFu / SEM Rush
• SKUs, or names of products and services you sell
Copyright or confidentiality statement. 23
Keywords: Keyword Planner
Copyright or confidentiality statement. 24
Keywords: Keyword Planner
Copyright or confidentiality statement. 25
Keywords: Google Instant / Suggest
Copyright or confidentiality statement. 26
Keywords: Uber Suggest
Copyright or confidentiality statement. 27
Keywords: SpyFU or SEMRush
Copyright or confidentiality statement. 28
Keywords: Match Types
Copyright or confidentiality statement. 29
Not
Relevant
Less
Targeted
More
Targeted
Negative Match: -games
Won’t show for: parking games
Broad Match: parking
Show: parking, best place to park
Broad Match Modifier: +chicago +parking
Show: chicago monthly parking, parking in chicago
Not: Evanston parking
Phrase Match: “chicago parking”
Show: chicago parking rates, best chicago parking
Not: Chicago cubs parking
Exact Match: [chicago parking]
Show: chicago parking
Not: chicago parking rates, loop parking, parking chicago
PRO TIP: When in doubt, use a more targeted keyword match type.
Tip: Focus on the long tail keywords
Copyright or confidentiality statement. 30
Keyword Summary
• Brainstorm keywords
• Be sure to use the right match type
• Be sure to use negative keywords
• Group them into buckets of similar themes
• Brand
• Geo
• By product or service
• By stage of the funnel (e.g. ideas vs. compare vs. buy)
• Tip 1: Use the “search query” tool to find new exact match and new negative match terms
• Tip 2: This is an ongoing process. You do it regularly, not just once.
Copyright or confidentiality statement. 31
Ads & Ad Groups
Copyright or confidentiality statement. 32
Ads & Ad Groups
• Themes of keywords go in a bucket called an ad group
• On the front of the bucket, you’ll have an ad
Copyright or confidentiality statement. 33
Adgroup
1
Adgroup
2
Adgroup
3
Brand Terms Product Terms Service Terms
Ads & Ad Groups
Copyright or confidentiality statement. 34
Ads & Ad Groups
Copyright or confidentiality statement. 35
Ads & Ad Groups
• Use the keywords in your ad
• Test at least two ad copy versions
• Headlines
• Descriptions
• Display URL
• Ad Extensions
• Make sure your keyword, ad and landing page offers match
Copyright or confidentiality statement. 36
Quality Score & Bidding
• Bidding
• You set a max CPC you are willing to pay
• Google looks at CPC, CTR & Quality score to determine what you pay
• Better CTR means Google makes more money
• Better CTR means higher quality score
• Example: $1 x 1M or $1M x 1
• Quality Score:
• How relevant is your ad & landing page to the search term?
• How strong is the click-through rate relative to others?
• How good is the User Experience on the landing page?
• Relevant ads are better for the user and make Google more money
• Therefore, Google reward higher quality score accounts with lower CPC
Copyright or confidentiality statement. 37
Quality Score & Bidding Tips
• Quality Score Tips:
• Tight buckets of keywords themes in adgroups
• Tailor ad copy to intend of search, include keyword
• Split test ads to boost click-through-rate (CTR)
• Build landing page to meet needs to search
Copyright or confidentiality statement. 38
Accounts & Campaigns
Copyright or confidentiality statement. 39
Accounts & Campaigns
• Campaigns are where you set budget, targeting & distribution
• Product line, geo, service type, etc
• You have have multiple per product, geo, or service
• When your accounts get big enough (100ks keywords), you may open multiple
accounts with one search engine under one MCC account
Copyright or confidentiality statement. 40
Ways to Measure
SEM is about balancing costs and volume
• CPM = Cost Per 1000 impressions
• CPC = Cost Per Click
• CPL = Cost Per Lead
• CPA = Cost Per Action or Acquisition
• ROAS = Return on Ad Spend
• GM = Gross Margin
• CAC:LTV = Customer Acquisition Cost : Lifetime Value
• Payback = How many months until you break even?
Copyright or confidentiality statement. 41
HOW TO NOT FAIL . . . Part 1
• Ask: Is SEM right for you?
• Target Audience (e.g. Not developers)
• Demand Capture > Demand Generation
• Budget? Competition? Profitability (e.g. eCommerce > social network)?
• Be sure your web analytics and conversion tracking are set up properly
Copyright or confidentiality statement. 42
HOW TO NOT FAIL . . . Part 2
• Keywords: Avoid broad match, which is the Google default because it makes
them the most money
• Ad Groups: Get a granular as possible:
• 1 keyword : 2 a/b tested ads : 1 dedicated landing page
• Bidding: Bid on:
• Your brand terms
• Long tail terms
• Terms with purchase intent (e.g. rates, compare, vs., buy)
• The specific products you sell (e.g. SKU #)
• Focus on one thing at a time
• More volume (keywords)
• Better CTR (ads)
• Better conversion rates (landing pages)
Copyright or confidentiality statement. 43
HOW TO NOT FAIL . . . Part 3
• Start small and grow slowly, or you can waste a lot of money
• Don’t: Set & forget! Forget to ask for help.
• Hack: Take your competitors’ email subject lines & run an exact
match display campaign…you’ll end of in your competitors’
customers gmail inboxes
• Get Adwords Editor! Makes life way easier 
• Need help? For starters 
• One-time audit > ongoing monthly retainer
Copyright or confidentiality statement. 44
Here’s how to find me
Elan Mosbacher
elan@spothero.com
@mosbacher
773.888.ELAN
Copyright or confidentiality statement. 45
Additional Resources
Terms to know:
SEM
SEO
PPC
CTR
CPM
Campaign
Ad Group
Ad Copy
Keyword
Exact
Phrase
Broad
Broad Modifier
Quality Score
Where to get started
Google Adwords Certification (To learn)
Google Adwords Account (To start)
Google Keyword Planner (To build)
Google Adwords Editor (To scale)
Copyright or confidentiality statement. 46

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Search Engine Marketing 101 For Techstars Chicago 2017

  • 1. SEM FOR TECHSTARS CHICAGO 2017 1 Elan Mosbacher SpotHero @mosbacher
  • 2. AGENDA • Intro • Does SEM even matter? • Why should I listen to you? • SEM, SEO, WTF? • Everything you need to know about SEM in 1 deck • How to not fail Copyright or confidentiality statement. 2
  • 3. Google Trends: Solar Eclipse Glasses Copyright or confidentiality statement. 3
  • 4. Google Trends: Pokemon in 2016. Fad? Copyright or confidentiality statement. 4
  • 5. Google Trends: Pokemon in 2017. Fad! Copyright or confidentiality statement. 5
  • 6. Google Trends: Bitcoin in 2016. Fad? Copyright or confidentiality statement. 6
  • 7. Nigeria = #1 Search Demand For Bitcoin. Why? Copyright or confidentiality statement. 7
  • 8. Google Trends: Superbowl Copyright or confidentiality statement. 8
  • 9. WHY SEM Matters Copyright or confidentiality statement. 9
  • 10. SEM is a major investment for most startups Copyright or confidentiality statement. 10 https://en.wikipedia.org/wiki/List_of_public_corporations_by_market_capitalization https://investor.google.com/earnings/2015/Q3_google_earnings.html
  • 11. Top Acquisition Channels For Chicago Startups Copyright or confidentiality statement. 11 24% 20% 8%8% 4% 4% 4% 4% 4% 4% 4% 4% 4%4% Top Acquisition Channels SEM SEO Word of Mouth Partnerships Social Referral PR Outbound Sales Other Facebook Email Direct Traffic
  • 12. Marketing Budget For Chicago Startups Copyright or confidentiality statement. 12
  • 13. WHO AM I? Copyright or confidentiality statement. 13
  • 14. About me • Elan Mosbacher • Serial Startup Marketer: Head of marketing @ 3 venture funded startups • VP of Marketing @ SpotHero (Three years from Seed, Series A to beyond Series B), now VP of Strategy & Partnerships • >$10 Million in SEM Management (3 FTE, countless consulting gigs) • Kellogg MBA, B.S. in Finance & Entrepreneurship • Techstars companies I’ve helped: • Power2Switch - Consultant • GiveForward - Consultant • WhimseyBox – Consultant • UrbanLeash - Mentor • ConvertFlow – Mentor • SpotHero – Full-Time Empoyee Copyright or confidentiality statement. 14
  • 15. SEM, SEO, WTF? Copyright or confidentiality statement. 15
  • 16. SEM WARNING Copyright or confidentiality statement. 16
  • 17. SEM vs SEO Copyright or confidentiality statement. 17
  • 18. SEM’s Advantages • Immediate traffic to your website • Flexible budget • Easy to scale • Optimized for testing • Measureable and data rich • Full control over targeting & ad copy • Capture existing demand resulting in relatively high ROI Copyright or confidentiality statement. 18
  • 19. SEM/PPC 1st Digital Marketing Tactic Copyright or confidentiality statement. 19
  • 20. EVERYTHING YOU NEED TO KNOW ABOUT SEM IN 1 DECK . . . Copyright or confidentiality statement. 20
  • 21. SEM Advertising Account Structure Copyright or confidentiality statement. 21
  • 22. Let’s start with Keywords Copyright or confidentiality statement. 22
  • 23. Keywords • What Keywords Are You Customers Looking For? • Google Keyword Planner • Google Instant / Google Suggest • Uber Suggest • SpyFu / SEM Rush • SKUs, or names of products and services you sell Copyright or confidentiality statement. 23
  • 24. Keywords: Keyword Planner Copyright or confidentiality statement. 24
  • 25. Keywords: Keyword Planner Copyright or confidentiality statement. 25
  • 26. Keywords: Google Instant / Suggest Copyright or confidentiality statement. 26
  • 27. Keywords: Uber Suggest Copyright or confidentiality statement. 27
  • 28. Keywords: SpyFU or SEMRush Copyright or confidentiality statement. 28
  • 29. Keywords: Match Types Copyright or confidentiality statement. 29 Not Relevant Less Targeted More Targeted Negative Match: -games Won’t show for: parking games Broad Match: parking Show: parking, best place to park Broad Match Modifier: +chicago +parking Show: chicago monthly parking, parking in chicago Not: Evanston parking Phrase Match: “chicago parking” Show: chicago parking rates, best chicago parking Not: Chicago cubs parking Exact Match: [chicago parking] Show: chicago parking Not: chicago parking rates, loop parking, parking chicago PRO TIP: When in doubt, use a more targeted keyword match type.
  • 30. Tip: Focus on the long tail keywords Copyright or confidentiality statement. 30
  • 31. Keyword Summary • Brainstorm keywords • Be sure to use the right match type • Be sure to use negative keywords • Group them into buckets of similar themes • Brand • Geo • By product or service • By stage of the funnel (e.g. ideas vs. compare vs. buy) • Tip 1: Use the “search query” tool to find new exact match and new negative match terms • Tip 2: This is an ongoing process. You do it regularly, not just once. Copyright or confidentiality statement. 31
  • 32. Ads & Ad Groups Copyright or confidentiality statement. 32
  • 33. Ads & Ad Groups • Themes of keywords go in a bucket called an ad group • On the front of the bucket, you’ll have an ad Copyright or confidentiality statement. 33 Adgroup 1 Adgroup 2 Adgroup 3 Brand Terms Product Terms Service Terms
  • 34. Ads & Ad Groups Copyright or confidentiality statement. 34
  • 35. Ads & Ad Groups Copyright or confidentiality statement. 35
  • 36. Ads & Ad Groups • Use the keywords in your ad • Test at least two ad copy versions • Headlines • Descriptions • Display URL • Ad Extensions • Make sure your keyword, ad and landing page offers match Copyright or confidentiality statement. 36
  • 37. Quality Score & Bidding • Bidding • You set a max CPC you are willing to pay • Google looks at CPC, CTR & Quality score to determine what you pay • Better CTR means Google makes more money • Better CTR means higher quality score • Example: $1 x 1M or $1M x 1 • Quality Score: • How relevant is your ad & landing page to the search term? • How strong is the click-through rate relative to others? • How good is the User Experience on the landing page? • Relevant ads are better for the user and make Google more money • Therefore, Google reward higher quality score accounts with lower CPC Copyright or confidentiality statement. 37
  • 38. Quality Score & Bidding Tips • Quality Score Tips: • Tight buckets of keywords themes in adgroups • Tailor ad copy to intend of search, include keyword • Split test ads to boost click-through-rate (CTR) • Build landing page to meet needs to search Copyright or confidentiality statement. 38
  • 39. Accounts & Campaigns Copyright or confidentiality statement. 39
  • 40. Accounts & Campaigns • Campaigns are where you set budget, targeting & distribution • Product line, geo, service type, etc • You have have multiple per product, geo, or service • When your accounts get big enough (100ks keywords), you may open multiple accounts with one search engine under one MCC account Copyright or confidentiality statement. 40
  • 41. Ways to Measure SEM is about balancing costs and volume • CPM = Cost Per 1000 impressions • CPC = Cost Per Click • CPL = Cost Per Lead • CPA = Cost Per Action or Acquisition • ROAS = Return on Ad Spend • GM = Gross Margin • CAC:LTV = Customer Acquisition Cost : Lifetime Value • Payback = How many months until you break even? Copyright or confidentiality statement. 41
  • 42. HOW TO NOT FAIL . . . Part 1 • Ask: Is SEM right for you? • Target Audience (e.g. Not developers) • Demand Capture > Demand Generation • Budget? Competition? Profitability (e.g. eCommerce > social network)? • Be sure your web analytics and conversion tracking are set up properly Copyright or confidentiality statement. 42
  • 43. HOW TO NOT FAIL . . . Part 2 • Keywords: Avoid broad match, which is the Google default because it makes them the most money • Ad Groups: Get a granular as possible: • 1 keyword : 2 a/b tested ads : 1 dedicated landing page • Bidding: Bid on: • Your brand terms • Long tail terms • Terms with purchase intent (e.g. rates, compare, vs., buy) • The specific products you sell (e.g. SKU #) • Focus on one thing at a time • More volume (keywords) • Better CTR (ads) • Better conversion rates (landing pages) Copyright or confidentiality statement. 43
  • 44. HOW TO NOT FAIL . . . Part 3 • Start small and grow slowly, or you can waste a lot of money • Don’t: Set & forget! Forget to ask for help. • Hack: Take your competitors’ email subject lines & run an exact match display campaign…you’ll end of in your competitors’ customers gmail inboxes • Get Adwords Editor! Makes life way easier  • Need help? For starters  • One-time audit > ongoing monthly retainer Copyright or confidentiality statement. 44
  • 45. Here’s how to find me Elan Mosbacher elan@spothero.com @mosbacher 773.888.ELAN Copyright or confidentiality statement. 45
  • 46. Additional Resources Terms to know: SEM SEO PPC CTR CPM Campaign Ad Group Ad Copy Keyword Exact Phrase Broad Broad Modifier Quality Score Where to get started Google Adwords Certification (To learn) Google Adwords Account (To start) Google Keyword Planner (To build) Google Adwords Editor (To scale) Copyright or confidentiality statement. 46

Editor's Notes

  1. If you plan to start a company, SEM is going to be a major investment Google isi the 5th biggest publicly traded company in the USA ¾ of their revenue in Q3 was from SEM, or ads placed on Google.com For most startups I’ve worked with, and perhaps Troy can speak to this as well, SEM is the biggest line item outside of headcount
  2. If you plan to start a company, SEM is going to be a major investment Google isi the 5th biggest publicly traded company in the USA ¾ of their revenue in Q3 was from SEM, or ads placed on Google.com For most startups I’ve worked with, and perhaps Troy can speak to this as well, SEM is the biggest line item outside of headcount
  3. What is the difference between SEM and SEO? SEO stands for search engine optimization Creating relevant & authoritative website for people looking to find information on Google and making sure it follows Google’s best practices SEM stands for search engine marketing, also known as pay-per-click advertising SEM is a form of pay-per-click (PPC) advertising that enables you to target consumers on a 1:1 basis for spefici search term