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Maximizing the Return on Your Pay-Per-Click Campaigns:
Maximizing the Return on Your Pay-Per-Click Campaigns: A key roadmap to successful web marketingA key roadmap to successful web marketing
Manager, SEO and SEM for Reynolds Web SolutionsBy Al Carl
The Agenda:
What Is Paid Search?
Internet & the Automotive Industry
Should Paid Search Be An Integral Component of Your Online Marketing Efforts?
Pay Per Click Basics
Changes in the Landscape
Paid SearchPaid Search
Paid Search / Pay Per Click (PPC)
Paid Search – What Is It?Paid Search – What Is It?
Paid SearchPaid Search
The Internet & The Auto
Industry
According to the Polk 2007 Dealer eBusiness Performance Study of New Car Shoppers:
88%
83%
79%
Conducted research beforewalking into a dealership
Used the Internet to do vehicle research
Used Search to research auto dealers
Paid Search – Auto IndustryPaid Search – Auto Industry
Automotive Online Advertising Spending
Paid Search – Auto IndustryPaid Search – Auto Industry
On-Line Advertising
Only 20% of Web users (for car information) said they used print ads when researching vehicles compared to 32% in 2005.*
The number of consumers visiting five or more manufacturer sites declined from 44% in 2005 to 34%.*
42% of used car buyers said they turn to dealer sites when researching vehicles.*
30% of retailers traffic in the US came from paid search in August 2008. Within the automotive industry it was only 25% - Hitwise
* Capgemini: Cars Online 07/08
Paid Search – Auto IndustryPaid Search – Auto Industry
Paid Search – Auto IndustryPaid Search – Auto IndustryAutomotive Online Advertising Spending *
$0.0$0.5
$1.0
$1.5
$2.0$2.5
$3.0
$3.5
$4.0
2004 2005 2006 2007 2008 2009 2010
Online Ad Spending in Billions of Dollars
Paid Search – Auto IndustryPaid Search – Auto IndustryTop 10 Automotive Websites by US Market Share of Visits (%) – Hitwise August 2008
0.00 10.00 20.00 30.00 40.00 50.00 60.00 70.00
Truck Paper
CycleTrader.com
Car-Part.com
Automotive.com
Copart Auto Auctions
RacingJunk.com
Cars.com
Edmunds
AutoTrader.com
eBay Motors
Paid Search – Auto IndustryPaid Search – Auto Industry3rd Party Lead Sites Paid Search Est. Daily Budgets
$0$5,000
$10,000$15,000$20,000$25,000$30,000$35,000
KBB AB AM C AT E
KBBABAMCATE
KBB – Kelly Blue Book - $6.35k
AB – AutoBytel - $6.9k
AM – AutoMart - $11.3k
C – Cars.com - $16.4k
AT – AutoTrader - $23.2k
E – Edmunds - $30.2k
Paid SearchPaid Search
IntegralComponent
Paid Search – Integral ComponentPaid Search – Integral ComponentProtection of Branded Terms
60%
40%
Brand Site
Other Sites
92%
8%
% of traffic from #1 Organic & #1 Paid Listing
% of traffic from #1 Organic Listing
Branded Search Study, Nielsen ReelResearch
Paid Search – Integral ComponentPaid Search – Integral ComponentMore Traffic
A study conducted by iCrossing illustrated a synergistic effect between paid and organic listings. The study indicated that having prominent placement in both lead to an increase in traffic of 91.8% and a 45% increase in desired actions taken by visitors over that produced by only having a top organic placement.
Paid Search – Integral ComponentPaid Search – Integral ComponentLower Bounce Rates
42.30%
44.00%
44.80%
48.70%
35.00% 40.00% 45.00% 50.00%
Direct
Paid
Organic
Referral
Engine Ready “SEO vs. PPC – The Final Round
Paid Search – Integral ComponentPaid Search – Integral ComponentHigher Sales
% of Sales Volume by Traffic Source
39% 27%
23%11%
Direct Access
Paid Search
Other ReferringSites
Organic
Engine Ready – 27 companies over a 2 year period measuring visitor metrics by traffic source. *Only 22% of visitors were repeat visitors.
Paid Search – Integral ComponentPaid Search – Integral ComponentWhy Pay Per Click Traffic Is Valuable
Controlled Messaging
Easy Variation Testing
Direct the Traffic
Specific Targeting
Paid SearchPaid Search
Fundamentals
Paid Search – The FundamentalsPaid Search – The FundamentalsSearch Engine Breakdown July 2008 – Hitwise
Google 70.77%
Yahoo! 18.65%
MSN 5.36%
ASK 3.53%
Others 1.69%
Paid Search - The FundamentalsPaid Search - The Fundamentals
Multiple StepsKeyword / Search Term SelectionAd TitleAd CopyLanding FactorsTraffic Conversion ProcessAnalytics, Analytics, Analytics ….Test and Test Some More
Highly CompetitiveFilled With DetailsFluid – Constantly EvolvingPlenty of Opportunity to Lose Money
Paid Search – Seems Simple, What’s The Big Deal?
Paid Search – The FundamentalsPaid Search – The Fundamentals
Paid Search - The FundamentalsPaid Search - The FundamentalsPaid Search Ranking Factors
Bid AmountBudgetRelevancyClick Through Rates Landing Page QualityType Of Site
Paid Search - The FundamentalsPaid Search - The FundamentalsPaid Search – Basic Steps
Start With The End In MindKnow The CompetitionIn-Depth Keyword ResearchCreative Ad Title & TextLanding PagesHave A Planned Conversion PathDetailed AnalyticsTest & Test Some More
Paid Search - The FundamentalsPaid Search - The FundamentalsPaid Search – Start With The End In Mind
What is the goal of your paid search campaign?VisibilityBrandingSales
How will you define success?TrafficLeadsSalesProfit
How will you measure it?
Paid Search - The FundamentalsPaid Search - The Fundamentals
AdsTargeted KeywordsScope of CampaignsVisitor Path
Do Not Always Assume #1 Is Doing It Right
Study the Competition
Paid Search - The FundamentalsPaid Search - The FundamentalsIn-Depth Keyword Research
Develop Extensive KeywordsClick-Through and Conversion Rates Vary Dramatically From Keyword to KeywordMultiple Word Keywords Typically Have Higher Conversion Rates
Some Tools To Use:Yahoo! Search AssistLive Search Related Searches Microsoft adCenter Labs - http://adlab.msn.comGoogle Keyword Tool - https://adwords.google.com/select/KeywordToolExternalGoogle AdWords Traffic Estimator -https://adwords.google.com/select/TrafficEstimatorSandbox
Paid Search - The FundamentalsPaid Search - The FundamentalsYahoo! Search Assist & MSN Live Related Searches
Live Related Searches
Paid Search - The FundamentalsPaid Search - The FundamentalsMicrosoft adCenter Labs
Search Funnel Tool:
Shows most common searches after input search
term.
Paid Search - FundamentalsPaid Search - FundamentalsGoogle AdWords Keyword Tool
Paid Search - FundamentalsPaid Search - FundamentalsGoogle AdWords Keyword Tool – Domain Keywords
Paid Search - FundamentalsPaid Search - FundamentalsCreative Ad Title & Text
Do Not Overlook Ad CopyServe Alternative AdsMonitor ResultsEmphasize High-FlyersDump the DogsDo It All Over Again
“Ads Matter – Testing shows us that ad copy can have a huge influence on conversion rates….Search Ad copy is an art…”
Jonathan Mendez VP Business DevelopmentKaimen Associates & Digital Strategist
Paid Search - FundamentalsPaid Search - FundamentalsLanding Pages
Page Should Be Singularly Focused & Consistent With Search TermHave Simple & Straight Forward NavigationInclude A Straightforward Call To Action
Some studies have shown two calls to action can significantly increase conversion rates.
Only Ask For Necessary InformationRequire as little as possible
Quite Often Less Is MoreTest
Multi-VariantA/B
Paid Search - FundamentalsPaid Search - FundamentalsA/B & Multi-Variant Testing
Google Website Optimizer
Paid Search - FundamentalsPaid Search - FundamentalsAnalytics
Pick A Robust PlatformGoogle Analytics Most Popular
Other Major Analytics Providers:Core MetricsOmnitureWeb Trends
Get To Know Your Analytics SolutionBasic Analytics To Monitor
Click-Through RatesTraffic SourceBounce RatesConversion RatesEngagement / Time Spent On Site
Paid Search - FundamentalsPaid Search - FundamentalsA Well Run Paid Search Campaign Will Deliver
Better Qualified LeadsImproved Close RatesIncreased Sales Margins
Better ReturnsOn Ad SpendInvestment
More Sales
Paid SearchPaid Search
Changes to the
Landscape
Paid Search – Landscape Paid Search – Landscape Universal Search
Paid Search – Landscape Paid Search – Landscape Google Suggest Feature
Paid Search – Landscape Paid Search – Landscape Yahoo - Mahalo
Paid Search – Landscape Paid Search – Landscape MSN Live
Paid Search – Landscape Paid Search – Landscape Mobile
Mobile Search grew 68% from June 2007 to 2008.*
In June 2008 20.8 million U.S. mobile subscribers accessed search.*
Google had 63.0% of the searches; Yahoo 34.6%.*
Estimated Mobile Search revenue for 2007 is $33.2 million. – tkg consulting
* comScore
Discussion
Paid SearchPaid Search
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