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INNOVATION: How do you catch the browsing customer ’s eye? DoubleClick

Performics has a track record of creating farsighted digital marketing strategies

that break out of the pack. Our industry-lead proprietary research and intelligent

technologies are delivered in a personalized service package. These inventive

solutions work, because we begin with the novel idea that customers are, first and

foremost, human. Contact [email protected] for an ingenious look.

OUR DEEPER UNDERSTANDING OF THE HUMAN VARIABLE STRENGTHENS EVERY EQUATION.

AFFILIATE • SEARCH

THINKING FORWARD

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DMNews • Essential Guide to Search June 2007

Features

6 Search: the past, the present and thefuture, by Giselle Abramovich

26 The business of search, by Tanya Lewis

28 Pay-per-click is customer analytics, by John Ellis

42 A conversation with Adam Lasnik, Google’ssearch evangelist, by Melissa Campanelli

54 A conversation with Danny Sullivan,by Melissa Campanelli

Fundamentals

10 Using search for PR management,by Kelly Graziadei

12 Creative optimization for search success,by Ashwini Karandikar

12 Seven steps to effective search marketing,by Wes Funk

14 Hiring a search agency of record for yourcorporation, by Niki Fielding

14 Best practices for SEM agencies, by Samir Patel

15 Profiting from the lull, by Lisa Wehr

16 Integrating search and e-mail marketing,by Doug Garfinkel

16 The game winner: using SEM in yourmedia plan, by Bill Mungovan

17 Directory submission vitals, by Jessica Bowman

18 Convert to stop click fraud, by Mark Harper

18 Click fraud 101: the basics of pervention anddetection, by Jalali Hartman

19 A practical guide to vertical search advertising,by Julie Mason

19 What do you mean I have a budget?,by Steve Haar

Organic

20 Extreme makeover, by Lisa Young

22 Your search engine optimization campaign,by Scott Buresh

22 Managing natural search in large organiza-tions, by Craig Macdonald

23 To increase marketing ROI automate SEO,by David Terry

24 Common SEO mistakes – and how to avoidthem, by Matt McGee

24 Natural rankings: the equalizer,by Jeanette Kocsis

25 Go for the pow over the wow, by AndrewWetzlerTURE

Paid Search

30 Search + segmentation = profits,by Dave Pasternack

32 Retargeting: not letting those customers getaway, by Chris Polos

34 Microsoft adCenter: search tools of tomorrow,by James Colburn

34 The biggest threat to your PPC campaigns?Complacency, by Mary O’Brien

36 Now that we have Panama, let’s talk aboutbest practices, by Darren Kuhn

36 Marketing in the Google era, by Kraig Swensrud

38 Screen audience for best prospects, conversions,by Toby Gabriner

38 Tell others all your long tales, by Daniel Todd

39 Good search arbitrage: buy low, sell high,add value, by Joe Chin

39 Brands can benefit from affiliate marketing,by Janel Landis

40 PPC ads should always lead your online-salesefforts, by Tim Schaden

40 Click fraud dominates the traffic-qualitydebate, by Mike Bernier

Conversion

44 Search is where it’s at, by Dave Tomlinson

45 Increasing conversion rates for BTB searchmarketing, by Patricia Hurst

45 A formula for keyword success,by Michael Stebbins

46 How to experience a 50 percent drop in CPA,by Brian Lewis

46 Boost ROI with the vertical advertisingoption, by Chrysi Philalithes

47 Paid versus natural search, by John Squire

47 Essential metrics in paid keyword campaigns,by Olivier Silvestre

48 Meeting customer needs with local search,by Robyn Rose

49 Local search evolves painfully, but showspromise, by Dana Todd

49 The online advertisers’ task list,by David Reeve

Search 2.0

50 Going Web 2.0, by Robert Murray

51 Four channels to bolster your searchpresence, by David Berkowitz

52 The e-mail newsletter: a key weapon inyour SEO arsenal, by Loren McDonald

53 Using ‘searchandising’ to satisfy and keepcustomers, by Shaun Ryan

53 Putting mobile search trends in context,by Anne Baker

Table of ContentsEDITOR’S NOTEConsumers conduct an estimated eight billion commercial searches each month. Recognizingthat activity, marketers spent $9.4 billion on search marketing last year, according to the SearchEngine Marketing Professional Organization. Spend on search is set to climb to $11.5 billionthis year and $13.3 billion next year. Most of that will go into Google’s pockets.The DM News Essential Guide to Search Engine Marketing offers wisdom from industryexperts to help with customer acquisition strategies and tactics online. Inside you will find arti-cles on campaign optimization, local and social search, online videos, conversion and mobilesearch. The DM News team worked hard to produce this supplement. May it guide you well.

Mickey Alam Khan, editor in chief

EEDDIITTOORRIIAALL::EEddiittoorr iinn CChhiieeffMickey Alam Khan, MMaannaaggiinngg EEddiittoorrCaraWood, DDeeppuuttyy EEddiittoorrMelissa Campanelli, AAssssoocciiaattee EEddiittoorrGiselle Abramovich, CCooppyy EEddiittoorr Daniel McMahon,CCoonnttrriibbuuttiinngg WWrriitteerr Tanya Lewis, EEddiittoorriiaall DDiirreeccttoorrJulia Hood ART AND PRODUCTION:AArrtt DDiirreeccttoorr Gina Capone, GGrraapphhiicc DDeessiiggnneerr Robert Falcone, PPrroodduuccttiioonn MMaannaaggeerr Pedro Reyes, Design Director Irasema RiveraADVERTISING:DDiissttrriicctt MMaannaaggeerrss John Roegner, Jodie Solomon,CCllaassssiiffiieedd && SSoouurrccee DDiirreeccttoorryy AAccccoouunntt MMaannaaggeerr,, RalphClaudio, CCiirrccuullaattiioonn DDiirreeccttoorr Ronald S. Moyer, GGrroouuppSSaalleess DDiirreeccttoorr Steven Sottile HAYMARKET MEDIA:PPrreessiiddeenntt//PPuubblliisshhiinngg DDiirreeccttoorr Lisa Kirk, CChhaaiirrmmaann//CCEEOOWilliam Pecover SUBSCRIPTIONS: (845) 268-3156DM News (ISSN 0194-3588), incorporating iMarketing News114 West 26th St., New York, NY 10001 Telephone (646) 638-6000

© 2007 Haymarket Media

DM News is published weekly on Monday (48 times a year), except for thefollowing: Jan. 1, April 30, July 2, Oct. 29 and Dec. 31. Publisher: HaymarketMedia Inc., 114 West 26th St., New York, NY 10001. Periodicals postage paidat New York and additional points of entry. Reproduction of any part of DMNews or its trademarked or copyrighted supplements without express per-mission of the publisher is prohibited.

Postmaster: Send address changes to DM News, SubscriptionDepartment, PO Box 316, Congers, NY 10920-0316

USPS 496530

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pmdigital.com 800.254.0330

Copyright 2007 © PM Digital. All rights reserved.

Business is built on relationships. A fact often

ignored in the sometimes impersonal world of

online business. Personal attention to client

needs is our cornerstone. No selling. No hype.

Technology simplifies and accelerates the

process, but does not replace judgment and

trust…business is defined by people.

• Search Engine Marketing & SEO • Comparison Shopping Engines

• Site Media • Affiliate Program Management • Creative

THERE’S NO SKUS FOR POOR SERVICEFROM YOUR ONLINE

MARKETING FIRM.

P

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06 FEATURE

BY GISELLE ABRAMOVICH

When HGTV announced the premiere of“Living with Ed,” a series related to liv-

ing a “green” lifestyle in Los Angeles, starringactor Ed Begley Jr. and his wife, RachelleCarson, the marketing plan for the show wasset months in advance.HGTV wanted to generate buzz and dominate

brand shelf space with the show. But HGTV real-ized it could not do so without using search.HGTV faced one problem: When Googling

“Living with Ed,” the results were in-depth listingsfor how men deal with erectile dysfunction. Therewas not even one result linking to HGTV’s mainpage or the “Living with Ed” MySpace profile.“We turned to search marketing firm 360i for

recommendations on how to fix this situationquickly,” said Mike Boyd, senior vice president ofmarketing at HGTV. “360i recommended a rapidoff-site SEO strategy built on encouraging blog-gers to create their own reviews and recommenda-tions of the show.“This was designed to stimulate more relevant

content and links back to HGTV’s flagship site,driving online buzz to inspire tune-in, increasesite traffic and raise overall awareness for theshow,” he said.The new content would result in more relevant

listings in the search results, thereby pushing downerectile dysfunction results. The incremental num-ber of links back to HGTV.com through the blogposts would catapult the official Web site to the topof the search listings as well.

SearcESSENTIAL GUIDE

The past, the present and the future

HGTV’s “Living with Ed” series overcame organic searchcampaign difficulties by reaching out to bloggers . By linkingthe show to green-living topics the show climbed in natural

search listsings outplacing erectile dysfunction sites.

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[There] is a growing splitwithin the engines between

the way that they deal with con-sumers and researchers.”

Kevin LeeExecutive chairman, Did-it Search Marketing

Past and presentEarly search engines were all about answeringpeople’s questions.Google had no advertising results on its page andorganic results were used for research and purchasequeries, according to Kevin Lee, executive chairmanof Did-it Search Marketing, New York.Organic results were listed in a conventional auc-tion style and users were not as Internet savvy asmost are today. Slowly but surely advertising hastaken more prominence as advertisers are finally

realizing the importance of this measurablechannel of marketing.

In 2004, the Search Engine MarketingProfessionals Organization reportedthat advertisers spent $4.1 billion onsearch. What marketers did not knowis that this number would grow at anunbelievable rate in the years to follow.Search is on the rise today as mar-

keters are increasingly adding search tothe marketing mix. In fact, SEMPO report-

ed that search spend hit $9.4 billion in 2006.Not surprisingly, the scrutiny of major searchengines, such as Google, Yahoo, MSN, AOL Searchand Ask.com, is increasing.One reason it is so attractive is the accuracy itoffers in terms of keeping count of click throughand precision in targeting.“The days of 12 percent to 18 percent inaccuracyin the technology used to manage search are over,”said Marc Steinhart, senior product marketing man-ager of search at DoubleClick, New York.These days search marketers are armed with cam-paign management tools, bid management tools, admanagement tools and reporting tools allowing formore control.Search engines today are not just there to answerquestions. Now, they are in the advertising business,said Mr. Lee.The Google/DoubleClick, Yahoo/RightMedia andMicrosoft/aQuantive deals are evidence of this. The

360i developed a list of bloggers that wrote eitherabout television shows or the environment. Eachblog was screened to ensure it was highly regardedby other bloggers.360i’s communications team engaged bloggers toinform them of the show. Each message was tailoredto the subject matter of the specific blog, and includ-ed a link to HGTV’s “Living with Ed” site.After the show’s premiere, 360i assessed theepisode guide for future programs as well as thepublicity schedule for Ed Begley Jr. to determineother salient topics that were linked to theshow. Some examples include hybrid cars,organic/vegan cooking and gardening.360i reached out to influential blogsrelating to those topics. Additionally,360i reconnected with certain blog-gers who expressed interest in theseries to alert them to developmentsin upcoming episodes.“Within just a couple of weeks,HGTV.com was the top result on thesearch engines for searches on core terms,”Mr. Boyd said.In fact, on searches for the term “Living withEd,” the first result for Erectile Dysfunction wason page 5 of the search results. The strongincrease of blog posts and online buzz builtmomentum with core audiences and also protect-ed the show’s brand online.This is not the traditional search campaign.However, search is rapidly changing and marketersneed to understand that in order to do well, theyneed to change with it.

FEATURE 07

chESSENTIAL GUIDE

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[Marketers] have begun to inte-grate PPC with offline campaigns.”

Chrysi PhilalithesVice president of global marketing, Miva

consolidation and heavy emphasis on both localiza-tion and globalization,” said Chris Copeland, seniorpartner and managing director at Outrider NorthAmerica, St. Louis. “Google is leading the way, asusual, with both its acquisition of DoubleClick andthe testing of its new personalized search experience,iGoogle.

Search is a global undertaking. Search engine mar-keting company iProspect, for example, has recentlyopened offices in Norway, Denmark, Spain, Swedenand the Netherlands.

The industry has moved from a direct responsemechanism to a more strategically planned inter-action point with consumers, according to MistyLocke, president/founder of Range OnlineMedia, Fort Worth, TX.

Social search, though currently in its infancy isstarting to appeal to some marketers.

There is a growing trend of using pay-per-clickbeyond acquisition, with marketers viewing PPC asan effective tool for building brand presence online.

“[Marketers] have begun to integrate PPC withoffline campaigns,” said Chrysi Philalithes, vice pres-ident of global marketing and communications atMiva, New York.

In fact, it could be argued that search is the center-piece of every online effort today.

“Companies understand how they need to man-age customers, brand reputation and their overallWeb presence by harnessing search,” Mr. Rowansaid. “They’re finally starting to build Web sites andonline marketing campaigns from a search-centricpoint of view.”

What to expect in the futureSEMPO forecasts search spend will hit 18.6 bil-

lion in 2011. This growth would only furthercement the channel’s importance.

Executives predict that the rise and renaissance ofcost per acquisition and behaviorally targeted mediawill help bring more accountability to the industry.

In addition, search engines will get smarter atidentifying commercial intent searches through theuse of behavioral tools like Google Web History.This will help marketers futher segment an audiencebased on their location in the buying cycle.

Another trend is the increase of graphical results.Many search leaders predict that graphics are goingto become a large component of search. This shouldlead to a rise in conversion rates, due to theincreased emotional connection and branding ele-ments made possible with images.

The industry is likely to become increasingly regu-lated. Organic search optimization will continue tobe important for reaching research-based searchers.However, the future of search will focus a lot on rel-evancy and personalization. Therefore social searchis likely to become a more important marketing tool– worthy of ad spend dollars. �

8 FEATURE » DM News • Essential Guide to Search 2007

more search engines get involved in advertising, themore they will work to drive traffic to their paidsearch ads.

“The result is a growing split within the enginesbetween the way that they deal with consumers andresearchers,” Mr. Lee said.

Today, search results are displayed through score-based search advertising, resulting in more relevantadvertising systems.

“All signs are pointing to more personalization,

ESSENTIAL GUIDE

The Competitive Search LandscapeThe search networks: the networks, which display pay-per-click ads in responseto user-generated queries.Examples: Google Search,Yahoo Search Marketing and MSNAdCenter.

Pros: Cons:• High volume traffic •Expensive – many advertisers are finding• Reach people at the themselves priced out of marketstart of the buying •High level of competition on keywordsprocess •Only reach potential customers at the point

• Give advertisers visibility on of searchingsearch engines

The contextual networks: the networks that display pay-per-click ads beside relatedarticles on content sites.Examples: Miva Core Network, Search 123, Google AdSense and Pulse 360.

Pros: Cons:• Increases brand potential by •Requires different keyword and creative

reaching people where they development – campaigns lifted directlyspend the majority of their time on from search networks won’t deliver thethe Internet: on content sites best results

• Can be lower cost of entry • User is interrupted from content ratherthan the search networks than actively searching for information,

• Enables advertisers to leverage lower click rates, despite higher conversionof positive editorial

• Compliments Search ads byreaching people at a different stagein the buying process

The vertical networks: the pay-per-click networks that concentrate on specificbusiness categories or verticals.Examples: Miva Precision Network, LookSmart vertical channels

Pros: Cons:• Lower volume higher value traffic •Networks don’t currently cover all• Traffic concentrated on specific sectors

verticals •Lower reach limits branding potential• Highly targets but still typically at a

lower cost of entry than the searchnetworks

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For turnkey solutions proactively managed by industry experts,

call us at 978-298-1525 or e-mail [email protected].

PPC Campaign Development and Management • SEO • Feed Programs

Search marketing with real impact.

whereresultsclick.SMsearchmarketingservices

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Despite the fact that search-engine marketing and optimization areno longer in their infancy stages, there are still many fundamen-tal topics that direct marketers could learn from. The following

articles were written by thought leaders on fundamental topics, includ-ing reputation management, hiring a search agency of record, best prac-tices for SEM agencies, vertical search and directory submissions.

Fundamentals

FUNDAMENTALS TOC

Page 10Using search forPR management, by KellyGraziadei, Yahoo SearchMarketing

Page 12Ceative optimization for searchsuccess, by Ashwini Karandikar,Range Online Media

Seven steps to effective searchmarketing, by Wes Funk,Omniture Inc.

Page 14Hiring a search agency of recordfor your corporation, by NikiFielding, Digital BrandExpressions

Best practices for SEM agencies,by Samir Patel, SearchForce Inc.

Page 15Profiting from the lull, by LisaWehr, Oneupweb

Page 16Integrating search and e-mailmarketing, by Doug Garfinkel,Epsilon

The game winner: usingSEM in your media plan, by BillMungovan, Carat Fusion

Page 17Directory submission vitals, byJessica Bowman, Business.com

Page 18Convert to stop click fraud, byMark Harper, GenieKnows.com

Click fraud 101: the basics ofprevention and detection, byJalali Hartman,MarketingExperiments.com

Page 19A practical guide to vertical searchadvertising, by Julie Mason,Kellysearch.com

What do you mean I have abudget?, by Steve Haar, LeapfrogOnline

Using search forPR managementBYKELLYGRAZIADEI

Although we may credit our college profes-sors or our first marketing job, we should

thank our parents for our very first public-relations lessons. We were taught at a youngage the importance of reputation manage-ment. Each time we were forced to return thegum we accidentally shoplifted from the con-venience store or to ring a neighbor’s door-bell and apologize for breaking their frontwindow with our baseball, our parents wereteaching us the value of managing publicopinion and steps to restoring trust.These life lessons about “telling the truth” and

tackling tough issues can and should be applied toour corporate personae and brands.Of course when catastrophe strikes in the

professional sphere corporations can’t justknock on the next-door neighbor’s front doorand meekly say, “I’m sorry; may I have my ballback?” So, how do they begin to reach theirconsumers and manage their reputation in acrisis? The answer is search.As we know, offline events drive search activ-

ity. Negative press is no exception. In earlyFebruary, we saw searches for “jet blue” and“jet blue news” double overnight on the heelsof news stories detailing Jet Blue passengerstrapped for hours on the tarmac because ofinclement weather. The offline buzz drove con-sumers to search for the whole story.Jet Blue took advantage of the opportunity to

control the conversation with their customers andresponded quickly. They tackled the press head-on by launching prominent paid-search listings onall Jet Blue-related search terms with a straightfor-ward apology and their “Customer Bill of Rights.”Jet Blue is not alone in leveraging search to

manage marketplace messages. Top marketers,advertising agencies and PR firms understand

that they can’t pass upthe opportunity to com-municate with con-sumers who are search-ing for informationabout their clients andbrands. As KevinLange of SMG Searchsaid, “Paid search is avery effective tool fordelivering a timely PRmessage in response toa current event or news

story. By choosing the right keywords and target-ing, you can ensure that the users most impactedby the event have easy access to your side of thestory — while it’s still top-of-mind.”Hewlett-Packard and its search agency,

Performics, have managed a comprehensivesearch strategy for years, and PR has becomean increasingly important element of the over-all strategy, including support for its PRefforts around product launches, events andreputation management.Many of us are focused on evergreen search

campaigns, tracking engagement, ROI andtrying to crack the code on measuring brandimpact. In a marketing world of silos, somemay not consider themselves PR profession-als. Nonetheless, we must keep in mind thatbrand protection and reputation managementis everyone’s business. Now that we’re grownup, we must be the guardians of our clients’brands and equip them with the best tools tomake, keep and restore their relationshipswith their valued consumers.The good news is that, although you can’t

knock on your neighbor’s door, search is mak-ing it pretty easy to have a straightforward andtimely dialogue with the consumer.

Kelly Graziadei is senior agency development director atYahoo Search Marketing, San Francisco, CA. Reach herat [email protected].

Kelly GraziadeiYahoo Search Marketing

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BY ASHWINI KARANDIKAR

Search is exciting. In my mind, it’s an ever-changing being,constantly in flux. As such, marketers need to stay two steps

ahead of their campaign to figure out what search is going todo next. It’s important to create,manage and grow your cam-paigns in a systematic way.Sometimes a search campaigncan stagnate, but there are sever-al simple tactics that can keep itfresh, efficient and effective.

Creative optimization is oftenlow on the priority list when itcomes to improving campaign per-formance, and this puzzles me. It’san easy fix that provides noticeableresults in a relatively short time,and, in addition to boosting your

revenue, creative testing helps your ROI by showing you what isworking and what is not working.

When discussing creative optimization with clients, I find thatthe keyword mix is typically the first thing that comes up. Thethinking is that long-tail terms are essential to improving overallcampaign performance. I agree for the most part. But while tailterms are good for campaign expansion, the effectiveness of tar-geted terms is undeniable. In fact, a recent Hitwise study foundthat search terms with one to three keyword phrase terms com-prise more than 70 percent of the searches. Specific keywords areclearly more important when it comes to conversions andacquisitions.

After all, without brand terms your messaging loses its effective-ness. However, your campaign needs non-brand terms to increasereach and coverage. By relying only on brand terms, you riskmissing out on a lot of potential customers. If they don’t knowabout you, how can they find your brand? Non-brand terms helpbuild associations with new customers.

When you’ve found the right mix of keywords, your next taskis to correctly manage the match type. Keyword match types are asimple way to maintain ample coverage while keeping the overallcosts in check. Search engines are constantly revising and amend-ing their rules for mapping keywords, so it’s important to keepabreast and make relevant changes to your campaign.

Finally, adding a geo-targeting layer to your national campaign isa great way to increase efficiency. It’s easy to test, and by increas-ing your specificity you get more targeted and relevant results.We have found that running mirror campaigns at the national andlocal levels not only increases reach but also improves conversionrates.

You don’t have to reinvent the wheel to put the fire back intoyour online-marketing strategy. By sticking to intuitive optimiza-tion and targeting techniques, your campaigns will continue toprovide excellent, measurable results.

Ashwini Karandikar is vice president of client services at Range OnlineMedia, Fort Worth, TX. Reach her at [email protected].

Creative optimization forsearch success

BY WES FUNK

If you’re a search marketer,you have a tough job. Your

tasks can be summed up inthree categories.

They ones comprise generating more response volume (sales,customers, orders, leads, traffic); obtaining response volume morecost-effectively; and making the company look good (that is, build-ing the brand).

As a result, you are always looking for insight and tools tohelp manage your online programs more productively.

Following are seven steps to help you more effectively con-duct your search marketing.

� Refine keyword bids The most successful search marketersare continuously testing multiple bids and monitoring effects.

� Target ideal positions Because of its highly visible nature,managing keywords based on position or the ranking of a key-word’s listing on a search engine results page has traditionallybeen a very popular technique.

� Optimize ad copy Ad copy is a flexible tool available to helpyou reach your goals. It dramatically influences volume, con-version and branding. Find opportunities to distinguish yourself.

� Select the right keywords The best mix is a combination ofawareness and purchase-ready keywords.

� Use specialized matching options Depending on the searchengine, keywords can be matched in several ways. It’s impor-tant to have a basic understanding of the most common ones,and how you can use them to your advantage.

� Leverage contextual campaigns Contextual advertisingtouches consumers in a different mental state. Instead of beingin a results-oriented “find it” mind-set, they are in a more pas-sive, browsing mode. Instead of being the primary focus, con-textual ads are at best incidental and compete with a potential-ly diverse gamut of equally relevant keywords.

� Monitor against click fraud Click fraud has certainly beentalked about to a great extent in the media, and online searchcompanies are addressing it. However, that alone does notabsolve search marketers from understanding inconsistenciesin their metrics and finding a remedy for suspicious activity.

These corrective measures should improve your campaign.

Wes Funk is director of demand marketing at Omniture Inc., Orem, UT.Reach him at [email protected].

7 steps toeffectivesearchmarketing

Ashwini KarandikarRange Online Media

Wes FunkOmniture Inc.

12 FUNDAMENTALS » DM News • Essential Guide to Search 2007

ESSENTIAL GUIDE

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BYNIKI FIELDING

Finding an experienced search-marketing agency that cansimultaneously optimize 10 or more of your corporate Websites isn’t easy.

When a global hospitalityorganization wanted an agency ofrecord for optimization and paidsearch for its corporate initiativesas well as for 65 properties world-wide, it approached our agency.As a mid-size agency, DBEknew it couldn’t scale its resourcesfor the multi-site assignment, butits in-depth knowledge of industrybest practices and white-hatprocesses made it the ideal choicefor managing the agency search.Use the following tips to help

you find the right search agency for your organization.

� Develop your request for information first, and use it to establishyour needs and expectations. Use the RFI to educate and unifyyour internal stakeholders about what you are looking for, beforeyou start reaching out to candidates.

� Identify agencies that can deliver results. Visit www.sempo.org,for example, to find agencies that can meet your needs. Reviewtheir approach to SEO, paid search and their client/industry expe-rience. And search your competitors’ names with “SEM agency,”“optimization” and other terms in the query. See which agencieshave your competitors in their client list. Are those companiesappearing in the natural listings for terms you would assume theywould? Are they running paid search too?

�Contact the agencies that look like they may be a fit. Ask theagencies your qualifying questions in order to determine suitability.

� Send the RFI to agencies that passed. Review responses accord-ing to SEM best practices. Reject those with “old school” answersor tactics that would jeopardize your rankings.

� Invite three or four agencies to present. Get a sense of their cul-ture, people and work style. Make sure they bring the client serv-ice team, not just their shiny new business team.

� End the request for proposal to your finalists. While they’reresponding check their references. Call clients listed on their Website, too; don’t just use the clients they provide.

�Have a final presentation. Ask the hard questions, negotiate thefees and ensure you are getting what you need. Once all thesesteps are taken you can make a confident hiring choice.

Niki Fielding is president of Digital Brand Expressions, Kingston, NJ. Reachher at [email protected].

Hiring a search agency ofrecord for your corporation

BYSAMIR PATEL

Search engine marketingmanagers at agencies man-age millions of keywords acrossdozens of clients every day.They do this using Excel

spreadsheets and some basic math calculations, typicallyapplying intuition, best practices and some Excel rules to opti-mize bids. Optimizing against all the variables of cost, revenue,traffic and estimated profits using Excel for such a large num-ber of keywords and connecting with the search engines inreal time is a nearly impossible task. It is equally difficult forautomated algorithms to predict sudden changes in the mar-ketplaces, such as a sudden surge in traffic because of anunexpected event. Only a well-organized process can catchthis surge and remedy it quickly.Therefore, striking a balance between process and automation isessential to a successfully managed account.Let’s start with the critical SEM process. The focus should beon better understanding your client’s needs and expectations,learning more about your client’s business and establishing a reg-ular line of communication with them. It’s important to ensurethey have access to the right performance data in a format thatexplains performance fluctuations.On the automation side, drop the Excel sheets and considerteaming up with a search marketing management platformprovider. In selecting a provider, find out if they can support bid,creative, keyword and landing-page management from one place.This will provide you with total control and immediate, compre-hensive transparency into how your clients are doing against theirKey Performance Indicators. The team’s focus should be on strate-gy, creative development and tuning and exploring new avenuesto generate traffic for your customers, not on tedious Excel work.Following are other important areas SEM teams should consider:

� Establish how conservative or aggressive your client wants to bein terms of time, budget and performance metrics.

� Make certain your campaigns are uniform across search engines.This will ensure that performance comparisons and data can beused to optimize across engines and eliminate the need to converrt.

� Ensure your campaigns are well ordered to match your client’sproducts and services, connected with the right landing pages andin line with your client’s unique positioning.

� Confirm campaign settings are established for budget, language,country, local and network options, such as search, content andmobile.

Samir Patel is founder and CEO of SearchForce Inc. Reach him [email protected].

Bestpracticesfor SEMagencies

Niki FieldingDigital Brand Expressions

Samir PatelSearchForce Inc.

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BY LISA WEHR

After years of tracking online retailer paid advertising andnatural search campaign performance, we’ve come to one

obvious conclusion: Every e-commerce market segment has abusy season. Or seasons.

We’ve come to another conclusion regarding online retail sales:What a retailer does during the seasonal slow times can dramati-cally influence how profitable they are year round. Following are afew things worth considering during the seasonal lull.

� Assess analytics Are marketers measuring what’s important orsimply what’s been measured in the past? Organizations shouldpoll internally about what data is important and adjust metricsaccordingly. Also, are sites optimized for the best-selling PPCterms? If so, in the future it might not be necessary to buy themost expensive PPC positions and keywords.

� Spruce up plans and internal systems It’s been months sincethe original marketing plan was created. Much has changed. Plansshould be revisited based on what was learned last busy season.Have some priorities, capabilities or services changed? Were thereinternal bottlenecks that hampered overall performance and cus-tomer satisfaction? If so, now’s the time to fix them.

� Experiment Marketers can build both market share and sales-

during industry slow seasons byexperimenting. For example, agood but unaffordable promotionduring peak seasons might nowfit the budget. Combine this witha PPC campaign that purchaseshigh positions on some seasonallyexpensive key terms, and it mightjump-start sales. Slow sales timesare also a good time to try addingsearch engines to a buy, expandthe existing keyword list or lookat vertical search engines.

� Build the brandMarketers should consider banner ads to differen-tiate their brand and build market awareness. Plan early, be consis-tent and negotiate placement so busy season positions are included.

� Find an edge Lulls are a good time to analyze what the competi-tion is doing and saying. The first instinct is to copy what works forothers. Unless a marketer is in a position to undercut pricing,improve delivery times or provide an easily perceived better value, itmay serve them better to look for what nobody else in their industryis doing, something the market says they would appreciate. Developsome ideas and test them. Then get ready to get busy again.

Lisa Wehr is president and founder of Oneupweb, Lake Leelanau, MI. Reachher at [email protected].

Profiting from the lull

Lisa WehrOneupweb

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BY DOUG GARFINKEL

Search and e-mail marketing campaigns have historically beenrun by separate people within the marketing organizationand are nearly always outsourced to different agencies. Yetunder this structure, companies are missing opportunities toderive benefits from the synergies between the two marketingmethods. Specifically, a marketing strategy that tightly integratese-mail and search marketing can offer marketers the ability tohone their creative, provide better insight for segmentation andpresent a more complete view of a customer’s lifetime value.Marketers should remember that search marketing is not a finalgoal; it is a means to drive an initial purchase and, ultimately, tocreate a loyal customer. The search keyword leads consumers toan ad, which leads to a landing page, which leads to a purchase,which leads to a retention effort. Each piece of this path can aidanother. Understanding which words drive search sales will help amarketer craft retention messages and subject lines that speakmore directly to customers, while successful subject lines shouldbe integrated into search copy. Search is true intent-based market-ing, and the insights gleaned from search campaigns should becopiously applied to your retention efforts.Once a customer is acquired, tracking search campaign data andmarrying them to individual customers acquired through searchcan provide new and valuable segmentation data that can then beemployed in e-mail campaigns. For example, if you are a retailerselling outdoor apparel, it would be useful to segment future e-

mails based on whether a cus-tomer was acquired through thekeywords “water sports” or “gymapparel.” The key, though, is test-ing whether targeting these seg-ments actually enhances con-sumer response.Further, an integrated market-ing strategy will help marketersmeasure and enhance the valueof a consumer beyond immediatecost per click or cost per action.Measuring search efficacy based

solely on cost per click or cost per action means that the marketeris not able to understand how search drives the lifetime value of acustomer. While a consumer may click on a keyword and notmake a purchase, this person may sign up for e-mail campaignsand prove to be a highly valuable e-mail customer. In fact, to gainmore of these valuable customers, place an e-mail sign-up box onevery search landing page.Marketers must put a value on the various actions that can betaken on a site and through e-mail campaigns and use their analyt-ics tool to tie this value back to a given keyword. Eliminating key-words that do not drive immediate sales may cover up a high-value customer who interacts in other channels. Focus instead onlong-term profitability per click, rather than short-term cost perclick, to maximize value driven by the search channel.

Doug Garfinkel is vice president of client solutions at Epsilon, Dallas. Reachhim at [email protected].

BY BILL MUNGOVAN

In the 1987 NBA EasternConference Finals, with theBoston Celtics down by a pointand a few seconds to play, LarryBird stole a pass and fed DennisJohnson for the game-winninglayup. Michael Jordan alsomade countless game-winningshots and Tiger Woods multipletournament-winning putts.What if they had missed? Well,they wouldn’t be superstars, and

their competition would’ve won, right?Building a multi-million dollar media plan without search enginemarketing is essentially preventing your company from being asuperstar and letting your competition win.Media plans that have been built without integrated search mar-keting plans ignore the goal of a good media plan: to drive con-sumers to react to a specific message.Search inventory fluctuates with demand influencers such as tele-vision gross rating points, online display impressions, PR buzz, e-

mail and direct mail flights and countless other traditional andonline marketing efforts.While SEM is used for branding and other marketing efforts, it’sstill the net at the bottom of your media plan that will pull in con-sumer demand generated though your more expensive traditionalmarketing efforts.If you are working for or with a traditional agency, here are a fewtips to keep in mind:

� Develop an equation for mapping offline efforts (e.g., televisionGRPs) to search click volume.

� Allocate enough budget before you seek client approval.

� Map keyword bundles to your overall goals; don’t just maplower-funnel acquisition efforts.

� Remember that if your client doesn’t allocate enough budget toSEM, a competitor will gladly take the increased search volume.

Don’t miss the game-winning layup or that crucial putt. IntegrateSEM into your media mix, and close the loop on costly traditionalmedia plans.

Bill Mungovan is director of search engine marketing at Carat Fusion. Reachhim at [email protected].

Integrating search ande-mail marketing

The game winner: usingSEM in your media plan

Doug GarfinkelEpsilon

Bill MungovanCarat Fusion

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BY JESSICA BOWMAN

Search marketers submit to directories for two reasons: to aidsearch engine rankings and to increase traffic to their sites.

Outside the few well-known directories (e.g., Yahoo,Business.com, DMOZ), how do you determine which of theother general directories and the thousands of business andvertical directories are worth your time and money? Here arethe vital details you need to consider:

� Evaluating a new directoryIf your main goal is to aid your search engine rankings, ask thefollowing questions:• Are links search engine-friendly (not in JavaScript, not buried

behind form fields, not behind no-follow tags)?• What is the directory home page Google PageRank?• What is the home page SEOmoz Page Strength?• What is the quality of the sites in the directory? (If you find

only spam, it’s not worth your time.)

� Selecting the right categoryWhen evaluating a large directory such as Business.com, you willoften find multiple categories that could be a perfect match. Whenthis happens, choose the most accurate category and consider:• Pagination and where you think you will be placed within the

pagination (the closer to the category main page, the more valuepassed to your site).

• Total links on the page (thefewer the better).• Number of clicks from the

home page (the fewer the better).• The category that scores the

highest across these elements isthe one to choose.

� Submitting your siteBefore submitting, read the termsof service and guidelines thor-oughly. They will specify itemssuch as what can be included in

the link text and whether you can be listed in multiple categories.Write your description to match the writing style used in otherlistings for your chosen category.When you are ready to submit your site, use a corporate credit

card and generic e-mail address so that the information is tied tothe company and not to an individual who may leave the positionor the company.

� Tracking the vital detailsWhen submitting to directories, log all information, includingsubmitter’s name, phone number, e-mail address, name on thecredit card and last four digits of the credit card number.

Jessica Bowman is director of search engine optimization at Business.com,Santa Monica, CA. Reach her at [email protected].

Directory submission vitals

Jessica BowmanBusiness.com

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BYMARK HARPER

Advertisers pay for clicks, and publishers make commis-sion on each click that their traffic source provides. Yetthe very model of pay-per-click advertising opens itself tofraudulent activity, putting advertisers at risk of paying com-missions to publishers with poor-quality and artificial traffic.As a result of click fraud, advertisers suffer decreased return oninvestment, and subsequently the entire industry is jeopardized.Advertisers may drop their bids or pull out of PPC-marketingprograms altogether. Legitimate publishers are left with reducedcommissions. And the result is that both sides of PPC networkslanguish. The entire industry is threatened.Detecting and preventing click fraud is the only solution to thispervasive and dynamic force that has tainted the PPC-advertis-ing industry to the detriment of advertisers, legitimate publishersand PPC search engines. This task rests in the hands of PPCengines themselves.

And while no one organizationwill ever be able to say theyhave completely eliminated clickfraud from their networks,recently there have been consid-erable strides taken to combatclick fraud, with many second-and third-tier PPC searchengines dropping significant por-tions of their syndication net-works because of some blatantfraudulent activity.PPC engines need to have thecapacity to understand the value

of their traffic and be able to distinguish high-quality traffic frompoor-quality sources. The development of proprietary tools toanalyze traffic data for advertisers is the best way to deliver solidROI consistently. Nothing speaks louder than hard data thatshow conversions with traffic sources (a real profit based onwhat an advertiser spends) and the revenue this spend generates.As an example, GenieKnows.com employs a traffic-analysisteam and the proprietary technology of the Genie Shield productto deliver conversion tracking, which eliminates automated click-ing detects and removes paid-to-click traffic. It also analyzes clickpatterns based on user activity and micro-manages traffic sourceson a per-URL or per-IP basis.With proactive measures in place, PPC engines are able tostrengthen relationships with advertisers, optimizing their cam-paigns to ensure that their ROI continues to grow.Naturally, if an advertiser is making a profit on their PPC cam-paigns, they will certainly want to reinvest.There is a wealth of potential waiting to be realized in onlineadvertising and within PPC advertising specifically. While bil-lions of dollars are currently spent annually, billions more arestill waiting to be invested, provided that advertisers’ spends aremet with profitable conversions.

Mark Harper is vice president of strategic relations at GenieKnows.com,Halifax, Nova Scotia, Canada. Reach him at [email protected].

Convert to stop click fraud

BYJALALI HARTMAN

Worldwide, advertisers last year spent $15 billion in pay-per-click advertisements. Pay-per-click helps companies of

all sizes reach a national audience with a small initial investment.However, click fraud also happens.Whether it’s a competitor using the latest software to drain youradvertising budget or an affiliate employing foreign “clickers” toincrease monthly compensation, research indicates at least 30 per-cent of all clicks are fraudulent.While major search engines promise to monitor and refundfraudulent clicks, it doesn’t take a genius to realize that Google,Yahoo and others have a significant financial interest in avoidingclick-fraud refunds.Experience shows it is more cost-effective for marketers to moni-tor PPC campaigns using basic planning and tracking methodsthat prevent marketers from being a potential target and help

them identify fraudulent clickswhen they happen. Here areseven tips to help your companyminimize click fraud:

� Stick with high-traffic searchengines like Yahoo, Google, Askand MSN. Unknown engines arehungry for revenue and filterclick fraud less.

� Increase your keyword bank toinclude the most specific and rele-vant terms that apply to your

company, product or service. High-traffic, expensive keywords aretargets for click fraud.

� Consider investing in a tracking solution to identify suspicioustraffic by comparing originating domains to fraudulent ones.

� Don’t bid simply to be No. 1. Marketers mistake the top pageposition for the best conversion or ROI. This misunderstandingusually results in nothing more than unqualified traffic.

� Target regions where your services and products are available. Ifyour market is the U.S., don’t waste clicks on merchants in India.

� Track click charges frequently. This practice will make youaware of abnormal increases or decreases in traffic.

Be sure to stop all advertising and contact the search engine ifyou believe you’re a victim of click fraud. Whether your annualPPC budget is in the thousands or millions, you’re not interestedin losing financial resources to fraudulent clicks or impressions.With careful planning and tracking, it is possible to protect theintegrity and the ROI of your pay-per-click campaigns.

Jalali Hartman is director of strategy at MarketingExperiments.com, AtlanticBeach, FL. Reach him at [email protected].

Click Fraud 101: the basicsof prevention and detection

Mark HarperGenieKnows.com

Jalali HartmanMarketingExperiments.com

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BYJULIE MASON

Vertical search engines, as deemed by e-marketing andsearch-engine pundits, are the “hottest trend in search.”As VSEs diversify, they become more attractive to users andadvertisers alike. Here’s how to integrate VSE advertising intoyour next marketing campaign.

What are VSEs?Unlike general search engines like Yahoo and Google, whichcrawl the entire Web for content, VSEs crawl only within specificindustries. While general search engines may return the mostinformation, VSEs return the most relevant information.Plugging “combine” into a general search engine will returninformation about software, games and merging words together,which is fine, unless you’re a farmer searching a $250,000 piece ofequipment. VSEs are more likely to know just what users wantand point them, ideally, to your company, service or product.

Why advertise with VSEs?The specificity and industry know-how that characterize VSEsalso create a fruitful advertising opportunity. Since VSE users lookfor precise information or are closer to buying, they’re classified asinterested consumers. Qualified leads aside, here are a few morebenefits of VSE advertising:

� More leads, less moneyFinding an ROI in the expensive,time consuming, keyword-heavyworld of general search enginemarketing is difficult. As market-ing moves online, it’s easier to getlost. VSEs, however, remainsmall enough to offer competitiverates while building the verticalindustry exposure necessary toattract potential clients.

� More visibility Some VSEs aredesigned and run by large conglomerates. By listing with oneVSE, advertisers get additional exposure in other online publica-tions. Furthermore, some VSEs will spend money on generalsearch engine keyword campaigns, increasing the likelihood thatpotential customers using those search engines will find the VSEand your products.

� More targetedWith VSEs, businesses can reach a specific audi-ence that doesn’t want to fish for information on general searchengines. These audiences have been casting nets too wide for toolong. VSEs provide these companies a smaller net and a betterknowledge of the waters.

Julie Mason is general manager at Kellysearch.com. Reach her [email protected].

Julie MasonKellysearch.com

BYSTEVE HAAR

Goals are good. In fact,they are fundamental.Budgets, however, are bad.They limit our imagination,cause us to forsake opportuni-ties and ultimately drive down

performance. So, how can you move beyond your searchengine marketing budget?

� Finding gems By focusing on the margin per customer as ametric, you have a chance to get out of your safe zone. You canplay in the keywords that you know will work (this is wherebudget-based programs stop) and experiment with keywords,targeting and methods (we’ll touch on these later) that areunproven. This is where you will probably find the gems thatare often missed by those budget-based programs.

� Acknowledging value Traditionally, marketing budgets areline items on the expense side of the ledger where accountants,faced with making draconian budget cuts, can easily makedecreases without sensing an inherent loss of value. By building

the model around contributions per acquired customer, or othermonetized event, marketing efforts are properly seen on the rev-enue side of the ledger where value can be more accuratelyacknowledged outside of marketing.

� Making it happen If you work with the traditional budget-based model, transitioning to the revenue metric can be a chal-lenge. To be a change leader, you have go outside the searchbox and gain insight into ways your company makes money.

You then need to set three key metrics on the way to manag-ing by revenue: required margin per sale; close and conversionrates; and affordable CPC. These numbers can change dra-matically from day to day, so manage and adjust them.Managing a search engine marketing program to these met-rics requires tracking and reporting. So there are no real short-cuts here. It takes time and effort.Along with the proper inputs and tracking to the ultimatedisposition of the click, you will need reporting to allow youto assess the program performance and optimize it.To implement the needed tracking and reporting, you canbuild in-house systems or your can implement third-partysolutions.Through this process, you’ll “free up” margin, allowing youto take a risk and then optimize it.

Steve Haar is director of keyword advertising at Leapfrog Online,Evanston, IL. Reach him at [email protected].

A practical guide to verticalsearch advertising

What do youmean I have abudget?

Steve HaarLeapfrog Online

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Organic search-engine marketing is a leading strategy marketersuse to promote their products and services. Included in this sec-tion are articles by industry thought leaders about best practices

for organic search, tips for keeping organic-search rankings after a Website redesign, automating SEO with content-management systems andcommon mistakes in search engine optimization.

Organic Search

ORGANIC TOC

Page 20Extrememakeover, byLisa Young, Outrider

Page 22Your search engine optimizationcampaign, by Scott Buresh,Medium Blue

Managing natural search inlarge organizations, by CraigMacdonald, SEMDirector Inc.

Page 23To increase marketing ROI auto-mate SEO, by David Terry, HotBanana Software Inc.

Page 24Common SEOmistakes – and howto avoid them, by Matt McGee,Marchex Inc.

Natural rankings: the equalizer, byJeanette Kocsis, Harte-Hanks Inc.

Page 25Go for the pow over the wow, byAndrewWetzler, MoreVisibility

Extreme makeover:five tips for organicsearch rankingsafter a site redesign

BY LISAYOUNG

Your company anticipated the launch of anew and improved corporate Web site like

expectant parents. A team of “marketing doc-tors” worked on the project for almost a yearto ensure a successful delivery. Finally, thenew Web site was born, and shortly thereafterthe company’s outside SEO vendor noticed adrastic dip in search-engine traffic.Unfortunately, even small, overlooked

details can derail your organic search-engineresults. If your company is planning a Website redesign, don’t forget a strategy to pre-serve your organic search-engine positions.Here are five frequent mistakes companies

make when redesigning their Web sites andsolutions to keep your page rank and yourorganic results healthy.

� Lack of communication Often this is firstmistake that creates a domino effect of errors.Web site redesign should include your ITteam or developer, marketing department andsearch team. Leaving one in the dark couldlead to a preventable train wreck later. Engagethese teams early, communicate your goalsand apply their best practices to your strategy.

� A new domain Search algorithms favor olderdomains. Avoid changing your URL at allcosts. Your new domain will have no historyand will not have link popularity, which isessential to your organic strategy. If you mustchange domains, this step will save you: Setup a 301 redirect to tell the search enginesthat your content has permanently moved.

� Lost optimizationSearch marketers swaphorror stories abouthow optimization thatthey worked on foryears was wiped outovernight. Make it arequirement of yourdesign team to trans-fer over file names,titles, metatags, head-lines and body copywhen possible.

� Lost content Some of your search-engine suc-cess may be based on optimized pages rich withvaluable copy and relevant keywords. With aredesign, however, some content is eliminatedfrom one version to the next. Evaluate yoursearch-engine positions by page, and make surethat the content of your top-ranking pages is car-ried over to the new site, preserving the page’stitle, metatags and body content if at all possible.

� Orphaned pages In a redesign, inside pagesusually move or disappear and file names canchange, causing search traffic to land on deadpages with 404 errors. And just like sendingnotices to relatives when you move, you needto send a similar notice to the search enginesthrough redirects. Carefully map out the con-tent and structure of your new and old Websites. Give your IT department a spreadsheetshowing where the two match up, and askthem to plan 301 redirects from the old pagesto the new. Make sure there’s a custom 404error page to catch traffic from pages that nolonger exist. Even with good planning, you canexpect the changes to get sorted out in thesearch engines in 30 to 90 days.

Lisa Young is manager of organic search at Outrider,a GroupM company, St. Louis, MO. Reach her [email protected].

Lisa YoungOutrider

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BYSCOTTBURESHToo often, many companies begin working with a search engine

optimization firm and believe that the campaign will be a one-timeendeavor with a finite ending.Unfortunately, this approach often does not work in the long

term. Companies deprive themselves of the benefit of data collect-ed over time with this approach.A successful SEO campaign requires ongoing management to

continue to produce results over time. It is important to find anSEO firm that will continuously monitor and improve your cam-paign, even after the initial steps are complete. The ideal firmshould have a primary goal of bringing better results and anincreasing return on your investment.From a technical perspective, search engines take into consider-

ation the “freshness factor,”which means that sites withupdated content will consistentlyrank higher than sites with out-dated content. In addition, themajor search engines do occa-sional wholesale algorithm shifts.These factors can change a site’srankings overnight.Beyond the technical aspects,

however, consider your needs.In time, your business may havenew initiatives to promote thatyour original SEO campaign did

not address. What’s more, the way that people refer to yourindustry, your products and your services, as well as industry jar-gon, may all change over time. Your key phrases will need to beupdated continously with these changes in mind.A good SEO firm will take care of this general maintenance

and keep your rankings and traffic up. A great SEO firm will usereal data to continuously improve your search marketing returnon investment. This kind of vendor will carefully research whichsearch phrases are bringing visitors most likely to take the pri-mary point of action on your site — that is, what you want peopleto do that leads to a sale. This vendor will continuously refocusits efforts based on these findings.Then the firm can find additional key phrases similar to the

ones already identified as valuable and add them to the cam-paign. New content can be added to the site to target these phras-es and to increase the site’s freshness factor.Simply put, SEO is not a one-time job.All of these steps must be revisited and revised to keep a cam-

paign fresh, which is why it is important to hire a reputable firm.By targeting your key phrase portfolio, you’ll always be ahead

of the game. And your SEO firm will continue to work for youto bring you valuable results.

Scott Buresh is CEO of Medium Blue, Atlanta. Reach him [email protected].

Your search engineoptimization campaign:Set it and reinvent it

BYCRAIG MACDONALD

One of the major challengesfacing large advertisers

when integrating search marketing into the marketing mix ismanaging natural or “organic” search rankings. Maintaininghigh natural search rankings on key terms is an importantlead-generation mechanism.According to Marketing Sherpa research, the listings in the top

three natural results garner 61 percent of the total clicks on naturallistings for most searches. Managing natural rankings involvesmany points of contact within an organization. The IT departmentusually owns the Web site, and the marketing departments own thecontent and design. The coordination of these efforts is not trivial.Traditionally, natural search management has been outsourced to

search engine optimization consultants. These consultants develop alist of key terms around which the organization’s site should be opti-mized, designate landing pages for searchers using those terms anddevelop creative text for the site that drives rankings. However, oncethe SEO project is done, the natural rankings begin to degrade with-in 45-60 days because of competitive reaction, changes in the empha-sis weightings applied by the search engine algorithms or uncon-trolled changes to the site by the organization itself. Managing natu-ral rankings at scale can’t be done with consultants.To solve this problem, large advertisers have started using tech-

nologies that automate the process around managing naturalsearch rankings. An example of such technologies isSEMDirector: Organic Insight. This system, in use at a largeconsumer packaged goods organization, is provided to the brandmanagers responsible for the site by the IT department. The plat-form provides information for IT and marketing departments to:

� Pinpoint changes to the site that degrade performance quicklyand identify the magnitude of the performance degradation.

� Monitor changes to the site in pre-production so issues that neg-atively affect natural rankings are isolated before launch.

Since automating its search marketing data management processin 2006, this CPG organization has driven 4.5 million uniqueincremental visitors to its site, an increase of 83 percent. The com-pany’s SEO consultants now focus on creative development ratherthan data gathering, auditing and reporting. Automation technolo-gy enables it to manage natural rankings efficiently and at scale.Building an automated process for identifying SEO issues is

crucial for large advertisers as it is the most effective way to man-age natural search rankings.

Craig Macdonald is vice president of marketing and product management atSEMDirector Inc., San Diego. Reach him at [email protected].

Managingnaturalsearch inlargeorganizations

Scott BureshMedium Blue

Craig MacdonaldSEMDirector Inc.

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BYDAVID TERRY

Frequently regarded as a productivity tool, Web contentmanagement systems are often less than robust at generat-

ing Web pages that top the search engine rankings. The verything that saves time, namely the template system, tends to beread by engine crawlers as predictable and neglects to antici-pate subtle changes in popular search terms from end users.But a new generation of search enginge-friendly Web CMS tools

promises to change that. Serious efforts are under way to enlistWeb content management to simplify the SEO process.While maximizing your Web site for top search engine rank-

ings is a nuanced process, much of your success lies in thebasic blocking and tackling: title tags and URLs, targeted key-words, cross-links to related content and enabling spiders andbots to crawl deeply into your site. Taken seperately thesepeices are the very same elements that CMS tools are so goodat managing and keeping track of.Done right, an intelligently implemented Web CMS can

enable anyone in the marketing department to create a Webpage optimized for search engines and targeted keywords.An SEO-friendly Web CMS will help marketers optimize their

Web sites for search engines in the following ways:

� Producing quality W3C, XHTML and CSS code and main-taining consistent navigation so that spiders can find your content.

� Building search engine-friendly URLs and page titles, in plainEnglish, using your keywords. Ensuring that keywords alsoappear in the navigation titles and page names.

� Managing appropriate keywords and phrases in the mostimportant areas of your page, which will then enable searchengines to determine the relative importance of your content.

� Providing a keyword analyzer to view a page as a search enginewould. Analyzing keyword ratings such as density and weightcan help determine how well a page ranks for targeted keywords.

�Automating header tags and alt-tags, robot.txt files and metatags correctly to ensure bots are aware of how to index the pagesthey visit and how often they need to revisit for updated content.

� Generating XHTML compliant code. Maximizing CSS to separatethe visual elements from code, leaving only structure and content.

By adhering to these fundamental Web CMS best practices, thepages you create will provide a reliable gateway to the keywordsthat search engines — and your customers — will find.

David Terry is vice president of marketing at Hot Banana Software Inc.,Ontario, Canada. Reach him at [email protected].

To increase marketing ROI,automate SEO with yourWeb content management

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BY MATT MCGEE

Companies of all sizes oftenstruggle with the mostfundamental search-engineoptimization tactics. Is yoursone of them?Here’s a list of common SEOmistakes and specific steps tomake sure you avoid them:

Poor crawlabilitySearch engines can’t rank apage they can’t crawl.

� Fix it Eliminate complex JavaScript and DHTML navigation.Put session IDs in a cookie rather than your page URLs. Don’tuse Flash for important links and content. Use a spider simulatorsuch as Delorie to see your site as a crawler does. Learn aboutrobots.txt formatting at Robotstxt.org.

Ignoring keyword researchPoor keyword research will derail nearly everything else youdo to optimize your site.

� Fix it Use keyword research tools such as KeywordDiscoveryto learn the actual terms searchers use.

Poor page titlesThe page title or “title tag” is the most important on-page SEO factor.

� Fix it Every page title should be unique. The primary keywordshould be at the beginning; put your company name at the end.

Poor contentA page can’t rank for “green widgets” if the search engine can’tfigure out the page is about green widgets.

� Fix it Develop quality content. Consider user manuals, newslet-ters, how-to articles, FAQs or a blog. Write naturally for humans,but use your primary keywords when appropriate.

Unnatural link buildingQuality is more important than quantity with link building. Manywebmasters try unusual tactics to increase link quantity, includingreciprocal link trades, three-way trades and “link farms.”

� Fix it Acquire quality links from relevant sites. Avoid schemesthat get links from poor-quality, unrelated sites. Reciprocal linkswith relevant sites are generally fine as long as these links don’tmake up a majority of your site’s inbound links.

Matt McGee is SEO manger for Marchex Inc., Seattle, WA. Reach him [email protected].

Common SEO mistakes— and how to avoid them

Mark McGeeMarchex Inc.

BY JEANNETTE KOCSIS

When performing an onlinesearch on just about any

given subject, a person is likelyto see a variety of sources for results, including listings ofFortune 100 companies and postings of small organizations. Sodo search engines favor one site over another, or one companyover another, when determining how to return results?The playing field is still fairly equal, though variations do existbetween engines. Success hinges on relevant content and anunderstanding of natural search-optimization techniques. Applyingbest practices can help influence the result.One good practice is to consider optimization for phrasesrather than single terms. For example, searching for “flowers”delivers results that include types of flowers and gardeningtips. However, if the intent is to buy a flower arrangement,searching for “buy flowers online” or “buy flowers inWashington DC” returns more relevant results. A site opti-mized this way is more likely to appear among the top resultsbecause it targets a phrase rather than a single word, whichtypically means less competition and greater relevance for thesearcher, making conversion or purchase more likely.Remember also to optimize for phrases used in direct mail andother offline campaigns. People may remember campaignheadlines and taglines and conduct a search using these terms.Also consider leveraging social search. Increasingly, user-gen-erated content and reviews are interspersed in search-engineresults. For example, Google Co-Op results are displayed forcertain categories, such as health, destinations and auto. GoogleCo-Op is a platform that enables people to customize theirsearch experience by subscribing to other links or by creatingtheir own link subscription. A search on Google for a term suchas “diabetes,” for example, will include options above the natu-ral results for narrowing the search, such as “treatment,” “symp-toms,” “for patients” and “causes/risk factors.” Google is display-ing these options to all Google users based on reviews fromcontributing editors such as the Mayo Clinic, Health on the NetFoundation and Centers for Disease Control and Prevention.Social search will continue to develop as consumers becomemore aware of sites such as Del.icio.us, Digg.com and othersthat allow users to provide ratings and feedback and assignkeywords to a site themselves through shared bookmarks.Most of these social mechanisms are free.Following some simple rules for natural search can bring asmall site results just as high as a large one receives. The keyis to provide relevant content and the kind of user experiencethat is likely to generate good reviews.

Jeannette Kocsis is vice president of digital marketing at Harte-Hanks Inc.,San Antonio. Reach her at [email protected].

Naturalrankings:the equalizer

Jeannette KocsisHarte-Hanks Inc.

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BYANDREWWETZLER

Iprobably won’t receive muchfavorable feedback from the

more artistic corners of theWeb design community, but Ithink it’s important for mar-keters to stay extremelyfocused on their very specificgoals for any Web site, as thereis a dangerous tendency toplace an emphasis on style oversubstance, sizzle over steak.Although this article is about

improving on the user experi-ence rather than the search-engine optimization crawler experi-ence, the parallels are significant.Sites that are content driven and don’t rely too heavily on tech-

niques like Flash to communicate a message are more favorablyinterpreted by the bots from the engines, while also creating aclearer path for a visitor from a conversion standpoint.When reviewing a site to weigh the pow versus the wow, there

are two important questions to consider:

� What are the expectations of the typical site visitor?This is a bit of a trick question in that I believe there is often a

disconnect between what searchers want and what marketersthink they want. Lately I am seeing this quite frequently with realestate development Web sites.The real estate developer is caught up in the aura of the project

and in setting the appropriate tone with site visitors. While theseare important objectives and painting the right picture in the eyesof prospect is important, it shouldn’t come at the expense of aslow-to-load, difficult-to-navigate Web site that has little or nochance of doing well in the natural search results.

� What is the primary objective of the site?This question should be the driving force in the development of

the site. Is the goal to be a glossy brochure site promoting oradvertising a product or service? Or is the goal to accomplish aparticular objective, such as cultivating a new sales lead or con-summating a sale with an interested buyer?If the answer is that an action step needs to occur, then the site

should be conceived from that perspective. The site still needs toestablish credibility, but a lot of fluff can often be removed thatgets in the way of conversion activity.This is not to suggest that all creativity should be thrown out

the window, but priorities need to be recognized and clearlycommunicated to the Web designer. For situations where thereis not an opportunity to start from scratch, it is often possible tomodify a site to increase its effectiveness.Driving qualified traffic to any Web site in a cost-effective man-

ner is challenging. Creating a site that makes a compelling case forthe visitor to take the desired action step is imperative.

Andrew Wetzler is president of More Visibility, Boca Raton, FL. Reach himat [email protected].

Go for pow over wow

Andrew WetzlerMore Visibility

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BY TANYA LEWIS

WhenGoTo.com introduced paidsearch engine advertising almost adecade ago, the idea of auctioningrank in keyword search results

and attaching text advertisements was controver-sial. “People felt search results should be pure,”said Ellen Siminoff, president/CEO EfficientFrontier Inc. “[Other] concerns were: Could youget enough relevant advertising with search? Is itclear[ly] advertising? Will [people] click?”The answer was ‘yes’ to each of those questions.GoTo.com went public, renamed itself OvertureServices and was bought by Yahoo.MarketingSherpa’s “Search MarketingBenchmark Guide 2007” reported paid search gen-erated nearly $8 billion last year. EMarketer proj-ects ad spend for paid search will surpass $10 bil-lion in 2008. Yahoo and Google are preducted topocket 90 percent of this year’s spend.

An industry of client service“An industry formed to help marketers navigate thecomplexity of search engine marketing [SEM],” Ms.Siminoff said. “We strategically think about [client]business goals, appropriate keywords, ad copy, bid-ding, performance, [and] return. We do everythingfrom creative to analytics. Small marketers can testit [for a few hundred dollars]. Some clients spendtens of millions of dollars on search. It’s effectiveand leads to high ROI. That’s why people do it.”

John Rodkin, vice presdient and general managerof digital solutions for WebTrends Inc., saidagency expertise and scale leads to better perform-ance. “I spend more time buying search than anyclient because I buy for all clients,” he said. “Wecan build sophisticated software that helps ads per-form better. You couldn’t justify the investment[without] a lot of clients.”David Berkowitz, director of emerging media andclient stregy at 360i LLC, explained that SEMagencies have “segmented” into three categories.“A handful work with major brands and areequipped to do so,” he said. “[The] middle tier, byand large, [is] better equipped for small and mid-size businesses. An array of companies are goingafter small business and are either very smallthemselves or best-equipped to help mom-and-pop style businesses.”Advertisers bid on keywords (cost ranges from 1cent to $100) to get high placement in searchresults, and they pay per click.“You want to bridge the gap between click [cost]and result,” Ms. Siminoff said. “The search engine[determines] quality of [an] ad, [which is] usually inpart based on click-through rate. You look at resultsand [determine] if you bid the right amount; if yougot the placement wanted; and [if] it yielded thereturn wanted. Then you bid again.”Efficient Frontier, WebTrends and 360i offerautomated services. Automation has expeditedthe process.

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An inside look at the search industryThe Business o

Now, the mostreputable digital

ad agencies offer SEO.

Ron BelangerYahoo Inc.

“An industryformed to help

marketers navigate thecomplexity of searchengine marketing.

Ellen SiminoffEfficent Frontier Inc.

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“It runs 24/7/365,” Mr. Rodkin said. “It canlook at keyword No. 10,000 as intensely as itlooks at keyword No. 1.”Early in the industry’s history, there was some

tension between SEM service providers and searchengines. But as SEM providers grew, proved legiti-macy and value, relationships became cooperative.“Two kernels started separate and merged,” said

Ron Belanger, vice presdient of agency develop-ment at Yahoo. “The agency piece grew out ofsearch engine optimization [SEO]. Eight or nineyears ago [people were] working out of garages toget Web sites ranked better [in natural searchresults]. Some were legitimate. Some were spam-ming. [SEO] quickly legitimized. [There were also]early digital ad agencies selling banner ads, and itwas easy to add keywords. SEO and paid searchmet probably six years ago. Now, the most rep-utable digital ad agencies offer SEO.”Mr. Berkowitz said paranoia was common dur-

ing the early days.“Engines have been more welcoming to SEMs,”

he said. “SEMs keep doing more to prove value,and engines have a lot of respect. SEMs bring agood chunk of business.”

Agencies make good partners in searchFrom Yahoo’s perspective, agencies are valuablepartners.“Yahoo has historically taken a long and positive

view of agencies,” Mr. Belanger said. “Most treat usless like a vendor and more like a partner. Thatspirit of partnership helps us scale, [and] the spiritof intimacy with clients is not lost. We see them as

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Marketing Tactics’ ROITop Ratings by Marketer Type

SEO:68.7% productmarketers:69.7% lead generation

marketers:House email marketing:56.4% productmarketers64.2% lead generation

marketers:Paid searchmarketing:52.5% productmarketers64.1% lead generation

marketersPR:41.9% productmarketers:55.4% lead generation

marketersDirect Postal Mail:41.1% productmarketers33.3% lead generation

marketersOnline advertising(banners, etc):31.2% productmarketers19.0% lead generation

marketers:

Source: “MarketingSherpa SearchMarketing Benchmark Guide 2006.”2006 on the source. You have 200.Source: “MarketingSherpa SearchMarketing Benchmark Guide 2006.”copyright MarketingSherpa Inc. 2006

s of Searchevangelists and resellers. We have more feet in thestreet thinking digital [and] advocating new market-ing channels to clients. It’s more brainpower.”Google agreed.“Service providers are valuable because of their

commitment to understanding our systems, educat-ing advertisers and optimizing advertiser cam-paigns,” said John Diorio, senior product marketingmanager at Google.Mr. Berkowitz said that agencies are also “inher-

ently publisher agnostic,” which lends credibility.“There’s no reason an SEM will favor one

engine,” he said. “If we find more effective waysto spend, our recommendations carry a lot ofweight. It is good for the engines and does favorengines that keep agencies aware of what they’redoing. More and more, engines appreciate theimportance of that.”SEM agencies provide both engines and clients

valuable market insight.“Agencies have a broad spectrum of customers

and may have access to trends across the industry,”Mr. Belanger said. “For example, if there is anincrease in traffic or conversion rates acrossengines, that adds weight to their insight.”Though WebTrends doesn’t share specific client

data with engines, Mr. Rodkin said it can providegeneral information, such as which types of adsclients favor and why.A “significant” number of Yahoo advertisers use

agencies, which Mr. Belanger said alleviates“staffing expertise pressure” for advertisers. Enginesand agencies run in the same professional circles,thus benefiting from insight, expertise, and relation-ships that are difficult for individual clients to get.“Generally, [SEM agencies] are better suited to

train, develop, and build a staff of digital experts,”Mr. Belanger said. “If you’re spending $20 millionplus a year it probably makes sense to have in-house expertise because it’s a critical part of yourbusiness. Some of our largest clients, [such as]Amazon and Ebay, invest in search expertise. Forthe middle, it may make sense to outsource.”As the industry matures, Mr. Berkowitz said com-

petition among agencies is less intense. 360i com-petes with fewer than 10 agencies and is likely tomeet only five in head-to-head competition. Healso said the agency proliferation benefits advertis-ers and the industry. �

“Engines havebeen more wel-

coming to SEMs

David Berkowitz360i LLC

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BY JOHN ELLIS

Pay-per-click advertising is, at its basic level,paying for ad placement in search engines.The concept is simple. When a user searchesfor a keyword a paid ad will appear. These ads

are usually listed at the top or right side of the searchengine results page and are identified as Sponsored Links,Featured Listings or Sponsored Listings.That is PPC for the basic user. Unfortunately, most PPC adver-

tisers are basic users. PPC is much more then paid advertising.Not only is PPC the best return on investment available, but it is,or should be, at the heart of all marketing campaigns.PPC can provide customer analytics through ad testing, geo-tar-

geting, match types and discovering SEO targets. PPC advertisingprovides an instant view into the mind of the customer at anextremely low-price.

Ad testingGoogle and now Yahoo, with the new Sponsored Search, allowadvertisers to run multiple ads for the same keyword. With vari-ous messages reaching potential customers, advertisers are able tosee which ads attract the most visitors and more importantlywhich ads attract higher revenue.Ad rotation gives the advertiser great insight into the mind of

the customer. For instance, do customers click more on ads thatoffer “Free Shipping” or “Free Item with Purchase?” Anotherexample, do discount mentions convert better than guarantees?To get accurate measurements on ads, it is important not to let the

search engines optimize the rotation of the advertiser’s ads. Bydefault, search engines will serve the better performing ads moreoften. However, the problem is search engines measure “better per-forming” as ads with higher clickthrough rates and quality scores.By delivering all ads evenly within a given time, advertisers

should be able to define which ads generated a higher conversion.With knowledge from strong ad testing, off-line campaigns can betailored to meet those discoveries. Thus, PPC becomes a testingground for all marketing campaigns.

Solid geo-targeting statistics can help off-line campaignsPPC geo-targeting lets advertisers target ads to specific countries,

regions and languages. Geo-targeting especially benefits companieswith smaller budgets, by allowing product promotion strictly with-in the majority of customers’ region.Geo-targeting resolves any geographic uncertainty about cus-

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tomers. For example, more customers from Region A mayclick on ads. However, more customers from Region B may

actually convert and purchase.By combining geo-targeting with ad variations, advertis-

ers discover which messages convert best regionally.

Learn the customer’s language with exact keyword matchingOften advertisers get caught up in internal jargon. Within the

industry it may be an acceptable form of communication.However, it is the customer that pays the bills.To obtain accurate results from PPC, having various match types

is essential. By bidding on all variations of keywords advertisers areable to see which keywords customers are typing into a searchquery. Google, as an example has four different keyword match-ing options (broad, phrase, exact, negative), each with their ownadvantages and disadvantages. For example Broad Match, thedefault setting, includes all variations of the keyword in the query.However, Exact Match is the most targeted option available. It

only shows ads when the exact phrase is used. Exact Match willprovide instant feedback into the language of the customer. It isnot to say there is not a place for other match types. Ideally, allvariations should be tested. In fact, Exact Matching will inevitablybring in fewer visitors than other forms of matching. However,Exact Matching is a great way to gather instant customer analytics.

Discover highly targeted keywords for organic search rankingsSearch engine optimization is often compared to rocket science.

Of course the advantage of rocket science is that there are alwaysconstants, SEO does not have that luxury.With PPC reporting advertisers are able to know what the cus-

tomer is typing in search engines. By reviewing periodic reporting,they are able to tell which keywords bring in the most clicks andmost importantly which keywords bring in the most revenue.Instead of creating search engine optimization initiatives to tackle

hundreds of keywords, the top converted pay-per-click keywordsare targets. Site content, link building, and various other searchengine optimization techniques can push these elite keywords.Advertisers do not have to waste time trying to get rankings onkeywords that do not convert. The numbers are provided; it doesnot matter where the competition is ranked. By following the pay-per-click keyword statistics advertisers are able to get instant cus-tomer analytics to use for search engine optimization efforts.With PPC, there is very little guesswork in marketing.

However, the trouble arises when traditional advertisers do notunderstand or believe in the power of pay-per-click marketing.Many companies still see it as separate advertising model and failto tie the relationship back to traditional off-line campaigns. By ana-lyzing PPC reports advertisers can pull dramatic customer analyt-ics. With that knowledge all marketing campaigns can benefit, thuseliminating traditional guesswork from traditional advertising. �

John Ellis is the online marketing manager at GaylordEntertainment/ResortQuest.com, Nashville, TN. Reach him [email protected]

Pay-per-click is customer analytics

PPC advertising providesan instant view into themind of the customer at

an extremely low price.”John EllisGaylord Entertainment/ResortQuest.com

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Paid search, the placing of ads for products or services on searchengines and content sites on the Internet, continues to be a lead-ing technique for search-engine marketers. Sharing their expertise

on this important topic, several thought leaders have offered articleshere discussing best practices for running pay-per-click campaigns,using segmentation in paid-search campaigns and retargeting.

Paid SearchPAID TOC

Page 30Search + segmentation = profitsby Dave Pasternack,Did-it Search Marketing

Page 32Retargeting: not letting those cus-tomers get away, by Chris Polos,Tacoda Inc.

Page 34Microsoft adCenter:search tools of tomorrow,by James Colborn, MicrosoftadCenter

The biggest threat toyour PPC campaigns?Complacency,by Mary O’Brien, PPC Summit

Page 36Now that we have Panama, let’stalk about best practices,by Darren Kuhn, Resolution Media

Marketing in the Google era,by Kraig Swensrud,Salesforce.com Inc.

Page 38Screen audience for bestprospects, conversions,by Toby Gabriner, [x+1]

Tell others all your long tales,by Daniel Todd, Zango, Inc.

Page 39Good search arbitrage: buy low,sell high, add value, by Joe Chin,Guidester Inc.

Brands can benefit from affiliatemarketing, by Janel Landis,SendTec Inc.

Page 40PPC ads should always leadyour online-sales efforts,by Tim Schaden, Fluency Media

Click fraud dominates the traf-fic-quality debate,by Mike Bernier,SearchMarketingTools.com

Search +segmentation =profits

BYDAVE PASTERNACK

Segmentation is a tried-and-true direct mar-keting strategy that provides great efficien-

cies in paid-search campaigns.The first step in executing a segmented

search strategy is to gather authoritative datadescribing who your best customers are. It’slikely that this information can be mined fromdata that already exist, such as historical cus-tomer-relationship management data.These data can illuminate a variety of specific

characteristics of your best customers, your“power segment,” including their location, demo-graphics (e.g., age, gender, income) and data per-taining to behavioral or psychographic character-istics. In most cases, this type of research willyield multiple segments for each of your prod-ucts or services.

Next stepsOnce you’ve arrived at a set of segment pro-

files, the next step is to create a set of searchcampaigns using targeting mechanisms provid-ed by the search engines. The big three,Google, Yahoo and MSN, each provide geo-tar-geting and dayparting capabilities for searchresults, but MSN is currently the leader interms of providing demographic targeting tools.Google and Yahoo limit the applicability ofsuch tools to their contextual networks.Use dayparting to limit the number of non-

converting clickers for your products and serv-ices. For example, if you are a firm sellinghigh-end luxury goods, you may want to deac-tivate campaigns after 3:00 p.m. to limit thenumber of unqualified, underage searcherssearching on these terms. Conversely, qualifiedinterest in certain personal services, such as

dating and relation-ship services, peaksafter 9 p.m., makingthis a good time toactivate a campaign.Limiting your cam-paign’s appearance totimes of day in whichconversions are mostlikely gives you morespending power todominate listings atthe time when your

target segment is likely to accept an offer.

Geographical segmentationBeyond dayparting, segmentation, which

offers the ability to determine what geographi-cal area you’re Web traffic is originating from,lets you bid more aggressively against yourtarget segment in particular demographic orgeographical segments and serve up cus-tomized user experiences for each segmentthat is most relevant.Geographical segmentation provides a fur-

ther benefit: Because your ads appear only infront of users from particular regions, yourcompetitors may not even be aware thatyou’re dominating the search engine resultspage in local zones.

Lower overall click volumeKeep in mind that segmented strategies,

because they are designed to weed out non-converting searchers, will result in lower over-all click volume, which means that it may takeyou longer to develop statistically valid datato run multivariate tests against. Don’t makeimportant changes to your campaign untilyou’re sure that you have enough data to jus-tify such changes.

Dave Pasternack is president of Did-it SearchMarketing, New York. Reach him at [email protected].

Dave PasternackDid-it Search Marketing

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For nearly a dozen years, we’ve been building businesses and relationships.

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BY CHRIS POLOS

Regardless of your experience level with online advertisingor however great your online presence is, odds are that

your customer won’t be ready to pull the trigger and make apurchase the moment your ad appears. They might want toshop further; they might get distracted by a phone call. That’swhy 98 percent of users who click on online ads don’t convert.With this in mind, how can you ensure you stay top-of-mindwith your qualified customers?In a traditional consumer-marketing model, your goal would be

to lead your customer target through the following steps.

� Attention Break through the advertising and search clutter bydelivering a message that piques curiosity.

� Interest Get their attention so they’ll take the time to exploreand learn more about the product or service you’re offering.

� DesireGive them a reason for wanting your products or services.Be sure to differenciate your option from the rest.

� Action The trigger has been pulled; you’ve got yourself acustomer. This is the most important step to your botom line.

Is there an easier way?Yes. And it’s called retargeting.Retargeting technology places a

cookie on your target’s Webbrowser that identifies them whenthey land on your site.If the target does not take thedesired action and then leaves theadvertiser’s Web site, the retarget-ing service kicks in, serving displayads to them as they surf on otherparts of the network. These adskeep displaying until the targetreturns to the advertiser’s Web site

and takes the desired action. It’s relentless and highly effective.By using display ad retargeting across a network of publishers,

you will ensure you stay top-of-mind with those customers whohave previously shown interest in what you have to offer.Retargeting services will continue to re-message your display ad tothose users until they take your desired action (e.g., open theirwallet or fill out an information-request form).But retargeting is only as good as the online advertising network.

Without scale and reach through a diverse and large number ofquality publishers, you risk not getting back in front of your coreaudience enough times to make the retargeting service effective.

Chris Polos is vice president of account management at Tacoda Inc., New York.Reach him at [email protected].

Retargeting: not lettingthose customers get away

Chris PolosTacoda Inc.

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• Website Development— Enhance the shopping experience for your customers including design, internal search and navigation to maximize revenue.

• Consumer Research— Customized online surveys provide valuable insight, feedback and opinionsfrom your customer base.

• Online Acquisition Services— Find alternative ways to reach your target audience online:Co-Registration Network, Email List Brokerage, Banner Advertising.

Let us create an Online Marketing Programto meet your sales goals.

Contact Lynn Anne BadurinaPhone: 201-488-5656 Ext. 222 or Email: [email protected]

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BYJAMES COLBORN

The major pillars in search engine marketing or, to bemore specific, pay-per-click advertising, are wellestablished.Customers are able to buy keywords, tailor their ads totheir audiences and bid according to parameters that stretchfrom an ROI metric to the cost of driving traffic.But what’s next on the horizon? What should advertisersbe thinking about for the future?In 2006, Microsoft introduced the Microsoft adCenter Labs, apartnership between the company’s adCenter team andMicrosoft Research. The adCenter Labs – which are comprisedof researchers, analysts, and developers that cultivate technolo-gies in the areas of paid search, behavioral targeting, contextualadvertising, social network analysis, and image/video mining –were created to help empower advertisers to learn more abouttheir audiences before making decisions.In the past 12 months, the team has doubled and is workingon more than 60 tools, many of which are being created specifi-cally based on customer feedback. The main reason for thisstrategy is to be better informed before making online-advertis-ing decisions.This year we saw PPC networks adopt the same model. Nolonger is bid price the only determinant of position. Now theeffectiveness of your creative and the relevance of your landingpage are taken into account. This means that advertisers needto know more about their audience to ensure they get the bestperformance. But beyond the norm of keyword research, whatoptions are available?For example: How would keyword selection be undertaken ifthere was a tool that determined the commercial intent of thesearch, the keyword, when they searched? What if the advertis-er could see the trends of searching patterns on keywords fromthe past 12 months and predict where the traffic trends werehappening the next quarter?These are are just a couple of the tools that the adCenterLabs team has built to provide the search industry with tools tobetter arm itself in the complicated arena of search.The adCenter Labs tools, all of which have real data and areavailable at http://adlab.microsoft.com, are not only a demon-stration of how Microsoft is thinking about the future ofsearch, adCenter and the online industry as a whole, but also away to solicit feedback from the online marketing communityat large on which tools are either “market ready” or viable foradding to the adCenter of tomorrow.The adCenterWeb site receives thousands of visitors a day,some of whom are adCenter customers and some of whomare not.The users take advantage of these features to better decide apath or course of action to improve their use of search andhow their campaigns apply to the core pillars of PPC.

James Colborn is product manager at Microsoft adCenter, Redmond, WA.Reach him at [email protected].

Microsoft adCenter:search tools of tomorrow

BYMARYO’BRIEN

Breathe easy. You have thosepay-per-click campaigns setup. They’re performing nicely,you’re getting a decent ROI

and your client is pleased. You’re done, right? Wrong!This is where complacency sets in. Pay-per-click campaigns arelike Old English Sheepdogs. If you don’t groom them often theystart looking like scruffy rugs instead of Kennel Club winners.If you take your eye off the ball for a few months you can restassured that the competitive landscape for your campaigns willhave changed, the search engines will have adjusted the way theyrank your ads and other distribution tactics will now be availablethat you are not using to your advantage.Set up a regular time to run reports. Analyze them to see whichcampaigns are performing well. Act on items that need adjusting.Focus on these areas to optimize your campaigns:

� Your product Do you have new items to add or out-of-stock itemsto remove? Paying for keywords for items you don’t sell anymoremakes no sense. You could be promoting items you do sell.

� Keywords Look at the top performers and expand on them.Look at the low performers and add negative keywords to makethem more targeted. Move keywords around between ad groups tomake the copy more relevant.

�Adcopy Test multiple versions of ad copy across all three majorsearch engines. Sometimes small copy change creates a lift in ROI.Ensure your keywords are in all your titles and descriptions. If you’rein a seasonal business make sure your campaigns are updated. Copytouting Christmas gifts isn’t going to work for Mother’s Day.

� Landing pages Test different pages and every element on thepage. Test colors, calls to action, navigation, form length, text,fonts, trust certifications. Test your display URLs. Make sure thecopy on your landing pages matches the copy in your ads.

� Campaign settingsHave you tried dayparting, geo-targeting,demographic targeting? If you are selling locally, does it makesense for your company to expand internationally?

� DistributionExpand beyond the big three search engines. Checkout the contextual ad products. Try pay-per-call, mobile, image adsand pay-per-post. Successful pay-per-click advertisers are constantlytesting and reworking their campaigns. Now that you’re No. 1 it’sgoing to take work to stay that way.

Mary O’Brien is chairwoman and content creator of PPC Summit, a division ofAlteract Marketing, Port Townsend,WA.Reach her at [email protected].

The biggestthreat toyour PPCcampaigns?Complacency

Mary O’BrienPPC Summit

34 PAID SEARCH » DMNews • Essential Guide to Search 2007

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BYDARREN KUHN

With its release of Panama, Yahoo brings us a step closer to amore consistent, competitive and innovative search land-

scape. Using a platform similar to Google’s, marketers can gaininsight and apply best practices across the top two search engines.

Under Yahoo’s old ranking scheme, how an ad looked or whereit directed the user didn’t matter as much as the pure dollars bid-ding up the rank. Now that there are other factors influencing theranking, including proven relevance and better quality ads, resultswill continue to improve. As much as anything else, that’s sup-posed to be the beauty of search: It truly creates a win-win forconsumers, advertisers and publishers alike.

So how can marketers get the most out of Panama?

� Set up Ad Groups based on specific granular themes BeforePanama, marketers could associate individual keywords on Yahoosearch with a unique creative. With Panama, creatives are assignedat the Ad Group level. As such, multiple keywords are associatedwith one creative. Therefore, marketers should develop creativesbased on narrow or granular themes by using the keyword-inser-tion tool to customize popular keywords within an Ad Group.

� Runmultiple creatives within each Ad Group Because multiplekeywords are now associated with single creatives, some click-

through rates will trend down-ward. To increase impressionsand CTRs, advertisers shouldrun more than one creative with-in each Ad Group.

� Test and be patient GivePanama time to normalize andauto-optimize your accountbefore making any judgmentregarding the efficacy of the newYahoo system or making drasticchanges to your account. We sug-

gest waiting at least four weeks before conducting a thoroughanalysis. And make sure to evaluate at least seven days of dataagainst seven days of data from the same account before conver-sion to Panama. This will allow you to filter out any external fac-tors that might be causing fluctuations (e.g., weekend traffic).Marketers should also test the effect of bid position on CTR and,ultimately, ROI. Once you find the optimal position, refresh cre-ative every so often to maintain your CTR.

If you find that CTR has not improved, we suggest isolating high-volume keywords and moving them to their own Ad Group withcustomized creative. It is possible one or two keywords are draggingdown the entire group. After about four weeks, repeat the steps.

Darren Kuhn is vice president of project management and analytics atResolution Media, Chicago. Reach him at [email protected].

BYKRAIG SWENSRUD

The world of marketing haschanged in the past decade,

and many of the techniques thatwe as marketers used to pro-duce results for our businessesare now obsolete. The Internethas caused a fundamental shiftin the way we work and live,and marketers have had todevelop new tactics to respond.At Salesforce.com, we havedeveloped a number of tech-niques for effectively marketing in this so-called Google era.

Historically, marketers focused on broadcasting their message tothe mass market, buying ad spots and communicating their mes-sages without regard to measuring responses or ROI. But market-ing in the Google era requires a different mind-set. No longer isthe focus on getting your message in front of as many eyeballs aspossible. Now marketers need to focus on targeted messages andmessage relevancy.

Paid-search advertising is a leading cost-effective form of market-ing because it allows marketers to place highly relevant messagesin front of a target audience at the exact moment they expressinterest in a particular product or service. Many companies begintheir online advertising journey with the search marketing leader,

Google AdWords. Google AdWords allows companies of all sizesto get started quickly and with minimal investment. When a com-pany is comfortable placing ads, the next step is to optimizeGoogle AdWords through the following tactics:

� Keyword selection Understanding which keywords generatetraffic, leads and sales opportunities.

� Compelling creative Developing enticing ad copy and Web sitelanding pages that resonate with your audience and convert visitors.

� A/B split testingTesting different versions of a message to seewhich one results in higher click-through rates.

� Geo-targeting Develop your messages and ads based on specificregional targeting.

However, these tactics are useless if you can’t properly measure theresults. We have integrated Google AdWords search-marketing cam-paigns with Salesforce CRM. This enables us to understand thesource of all inbound Google AdWords leads. Once those leads arepulled from our Web site into Salesforce.com, we track them throughthe pipeline lifecycle, from keyword to close. By integratingSalesforce CRM with Google AdWords, we have a clear picture ofROI. We don’t have to guess what campaigns and keywords aredelivering new business. We know.

Kraig Swensrud is senior director of marketing products at Salesforce.com Inc.,San Francisco. Reach him at [email protected].

Now that we have Panama,let’s talk about best practices

Marketing in the Google era

Darren KuhnResolution Media

Kraig SwensrudSalesforce.com Inc.

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BY TOBY GABRINER

Media planning has become a complex science and onethat has seen growth and increased discipline over the

past few years through the introduction of new technology.The technology has morphed from audience segmentation toaudience profiling, but the most recent wave of technology toaffect media planning is based on audience screening, whichcan be defined as the opportunity to purchase an actual audi-ence online rather than impressions.Audience screening incorporates a number of different technolo-

gies including behavioral targeting, progressive optimization andthe more advanced audience-profiling engines. Audience screeningallows the advertiser to identify the audience represented from animpression on a network or a portal and determine if that audi-ence member is more or less likely to act in response to an adver-tisement than the general audience. If the audience member isregarded as highly desirable, then the ads are exposed. If the audi-

ence member is not deemed high-ly desirable, then they are notexposed to the ad and the nextsequential audience member isevaluated for desirability andmatch to the potential customerbase for the advertiser. Thisprocess happens in fractions of asecond and can be used to allowadvertisers to reach only thosemost likely to convert as well asthe publisher to generate a highercost basis for their inventory.The technology behind audi-

ence screening is not new, but itdoes represent the evolution of traditional behavioral targeting,which allows the publisher to identify and bucket groups ofimpressions together based on the audience profile and past trafficexperience. Once an advertiser identifies the audience they arelooking to reach, publishers can sell this inventory accurately. Theproblem with this model is it is not as fluid and flexible as theWeb appears to be. The experiences and profiles of the audiencechange quickly and are reactive to the environment around them,so the past behavior of an audience is still flawed. The audiencescreening model actually identifies this information in real timeand can be updated faster and with more detailed accuracy.Audience screening takes into account audience profile data,

preferably in conjunction with industry reliable sources, suchas Claritas or Simmons, and merges those data with data refer-ring to the page where the ad is shown, the category of the siteand more recent events (e.g., news).The technology for audience screening is beneficial to the pub-

lishers because it allows them to further segment their audiencewithout the weight of customer surveys and deeper analytics pack-ages being overloaded in their existing inventory.

Toby Gabriner is CEO of [x+1], New York. Reach him [email protected].

38 PAID SEARCH» DM News • Essential Guide to Search 2007

Screen audience for bestprospects, conversions BY DANIEL TODD

Long-tail theory suggests anexpansive search-referral

cache exists in the unbrandedkeyword universe. These lowdemand keywords can collec-tively make up a market sharethat equals the highest-volumebranded keywords.According to recent data from

Hitwise, 139,091 unique termswere used to search for gamesonline. The most popular search,“games,” represented 1.45 percent

of all searches, and you have to get to just No. 20, “online games,”to be down to 0.21 percent of searches. These seem like massivenumbers once you reach No. 490, “family feud,” which is lessthan 0.01 percent of all searches. The remaining 138,601 searchterms represent 71 percent of the category’s search traffic.

Maintaining the long tailThe challenge is effectively managing this long tail of search

terms. We spend most of the day trying to improve primarybranded terms that drive the highest volume of traffic. However,we ask, is this effective, or should we also be considering whatexists beyond the realm of branded keywords? We understand weneed to manage the long tail, but is it worth it?The long tail is key to a profitable search portfolio. Though

lower in volume, many long-tail keywords meet or exceed budgetgoals. However, while we can identify hundreds of these words aday, if we have 25,000 keywords per campaign, limited time and40 other campaigns to complete, we probably aren’t benefitting.What’s the answer? Meticulous ROI performance tracking and,

of course, automated tools for pricing. Trying to manage andchange pricing in a dynamic marketplace with hundreds of thou-sands of keywords is a Sisyphean task at best.

Tools will helpNever fear: There are numerous tools to help manage the long

tail. However, we have found that many of those tools really onlywork on strict business rules that determine which of our key-words are exceeding target and then turns them off. We can’t turnthose keywords off because they define our business. What we’rereally looking for is a technology that maintains high-volume tar-gets but then uses long-tail words to make up the difference. Weneed a technology that tips the scale, balances our portfolio andprotects branded keywords that define our marketplace.Effective, automated technologies are out there. When searching

for a solution, look for total automation and protection of the brandkeywords. Do your research and challenge any company that does-n’t provide solid ROI support for whatever they’re targeting. Onceyou have automated your portfolio, you can reflect on the days ofmind-numbing keyword management and tell your tale of the longtail to others who are bewildered by the very same challenge.

Daniel Todd is co-founder and president of Zango Inc., Bellevue, WA. Reachhim at [email protected].

Tell others all your long tales

Toby Gabriner[x+1]

Daniel ToddZango Inc.

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BY JOE CHIN

Defined as the practice of taking advantage of inherent pricedifferentials in markets, arbitrage is often frowned upon as

a sketchy, even duplicitous, business. While most often associ-ated with financial institutions, investment banks and even casi-nos, this practice has found its way into the world of search.And its entry for the most part has not been well received.But is there such a thing as good search arbitrage? Most would

answer this question with a resounding “no,” citing the multitudeof sponsored-link-only sites whose sole function is to enticeincoming purchased traffic into clicking forward to the next high-er-bidding site. However, there do exist a few companies thatprovide value-added utility to their visitors and therefore bothearn their premium and contribute to a more positive onlineexperience. These sites, most of which are e-commerce con-cerns, deserve to be held in a more formidable light and shouldbe commended for practicing good search arbitrage.Despite all the negative buzz, there have emerged an increasing

number of sites that engage in search arbitrage and are focused onadding value to the user experience. I refer to the many shoppingsites, such as Nextag or Pricegrabber, often seen next to Googleresults as millions type generic terms like “digital camera” intoGoogle and realize that, as great as Google search is, it does notprovide a functional shopping experience.

Ironically, the opportunity forthese sites to build a sustainable— if not substantial — businessbased on search arbitrage startsfrom Google’s drop-off of shop-ping-minded searchers. And bydrop-off I mean both the declinein utility that happens whenshoppers try to use Google’ssearch engine as a shopping tool,which it just was not designedfor, and the drop-off of shoppersinto the warm and waiting arms

of the value-added shopping arbitrageurs.In any case, there always have and will be sites that take advan-

tage of the Google drop-off to practice their own form of value-addarbitrage. By designing sites that enhance the shopping-valueproposition, with such benefits as price comparison, product dataor customer reviews, these companies advance the buying cycleand gently nudge the shopper closer to the point of purchase.So the next time someone mentions search arbitrage, instead of

imagining the SLO sites we all love to hate, perhaps we shouldremember that there are arbitrageurs who increase the overallquality of the Web while making money on your traffic, a noblegoal toward which we should all aspire.

Joe Chin is CEO of Guidester Inc., New York. Reach him [email protected].

BY JANEL LANDIS

Affiliate-marketing programsare commonly used by

large and small companies as alow-risk means of obtainingnew customers. However, someaffiliate marketers have beenplaguing search-engine mar-keters for years. Google willserve only one ad per displayURL, and the display URLmust match the destination. Sowhat happens when affiliatemarketers pick up your offer

and start using search to drive acquisition for you? Well, if thetraffic is going directly to your site and they are complyingwith Google’s guidelines, then their ads are competing againstyours for each and every impression.Google’s position on affiliate activity has been that it is the

advertiser’s decision to employ an affiliate program, so the respon-sibility to police affiliate activity falls on the advertiser. This raisesan interesting question: With Google’s acquisition of DoubleClick,parent company of Performics, should and will Google changetheir position on this subject?

Why is this relevant? When your ad is competing against anaffiliate ad, the one with the higher quality score wins, so a bid-ding war begins for visibility. As a result, costs per click increaseand the advertiser is the loser. Typically, affiliates who use searchfocus their attack on brand terms and have been known to usedevious tactics to fly under the advertiser’s radar. Common tacticsinclude mimicking the direct advertiser’s ad text, running geo-tar-geted campaigns in states outside of the advertiser’s locale anddayparting ads to show during non-business hours.Sounds terrible, right? The fact of the matter is that most affiliates

operate great campaigns driving quality new business for advertisers.It will be interesting to see how Google handles this acquisition

and what it means for advertisers, search-engine marketing agen-cies, Google users and Google itself. This is a great opportunityfor Google to help their advertisers properly use multiple chan-nels. While average costs per click may decline in some cases, aproperly regulated program would allow all parties to win out.What can advertisers do in the meantime? Do not be afraid of

affiliate programs. Enact an Affiliate Rules of Engagement thatprohibits using paid search as a channel. Watch impression vol-ume on your brand terms. If you see a decline, start investigating.Pause your brand terms in your search campaign, and see if asponsored link that is not yours shows for your Web site. If yousee an affiliate violating your rules of engagement, warn themonce. Assure them one more offense will be the last.

Janel Landis is director of search marketing at SendTec Inc., St. Petersburg,FL. Reach her at [email protected].

Good search arbitrage: Buylow, sell high, add value

Brands can benefit fromaffiliate marketing

Joe ChinGuidester Inc.

Janel LandisSendTec Inc.

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BYTIM SCHADEN

All good marketers beginsearch-engine efforts by

identifying online-business goalsand vetting a set of high-volumekey phrases that best match thegoals. Frankly, we guess whatterms we think will work.Next we usually apply our

knowledge to work these termsinto the structure of the Web siteto start driving free traffic andrise in the ranks of organic

search listings. This often comes with an assumption that we’lldecide later whether paid search is even necessary. However,once you stop to explore the strategic differences between paidand organic search, the opposite approach begins to intrigue.First, organic optimization involves friction. Rewriting exist-

ing site copy based on the chosen key phrase set and makingthe required changes to site code usually involves severalsteps. There are IT copywriters, management and legal depart-ment approvals that make it more difficult to change if the ini-tial effort doesn’t perform.Then you wait for search-engine spiders to find the site and post

new listings. It can take weeks or months to see the results acrossthe entire set of key phrases. Eventually the site earns several list-ings with titles and descriptions culled by the spiders that may ormay not best represent the business value you’d hoped for.Industry knowledge indicates that a mid-sized company would

do well to earn listings on the first page in major search enginesfor 20 to 30 terms. So performance knowledge builds at a rate ofabout 25 terms per month. Not too bad for “free.”Now imagine that you could be actively listed in a couple days

using 200 to 3,000 terms. You can try general-industry terms,every variation of your brand message and services as well ascompetitor terms, without the red tape of department approvals.You also control the titles, ad descriptions and listing positions

every day side by side while monitoring and reworking the strate-gy based on profit performance, according to a well-structuredtesting matrix. This allows for even more data insight.In a month you’ll have more valuable data than a year’s worth

of organic search alone. At the end of a quarter you can evenknow the market size and costs with some degree of accuracy.Only pay-per-click delivers this immediacy, breadth, knowledgeand control for each campaign it is used for.Making your organic-search investment second allows for a

much more accurate and powerful “free traffic” play. Once youknow what phrases, titles and ad copy resonates to the point ofprofit with your customers, you’ll want to use that information toempower all your marketing initiatives.

Tim Schaden is president/CEO of Fluency Media, Ann Arbor, MI. Reachhim at [email protected].

40 PAID SEARCH» DMNews • Essential Guide to Search 2007

PPC ads should always leadyour online-sales efforts

Tim SchadenFluency Media

ESSENTIAL GUIDE

BYMIKE BERNIER

Click fraud has long been trumpeted as a major issue formarketers working with paid search. However, the

click-fraud debate has taken away from the bigger picture:overall traffic quality. Click fraud, clicking on advertisers’ads to drive revenue to a paid-search partner or simplyincrease advertisers’ costs, is one of four components ofpoor traffic quality thatplagues paid-search channels.

� NormalizationNormalizationis the mapping of a keywordsearch to another term. Yahoouses normalization to map theplural instance of a term to itssingular form. This use of nor-malization is widely accepted;however, some search enginesand their partners use normal-ization very liberally. Let’s saya search partner sees that “carprices” bids are very high. That partner then normalizes allsearches within its network containing “car” or “auto” to “carprices” before the search results are pulled from the searchengine. This specific use of normalization will likely result inlower-quality traffic for your Web site.

� Classification Generally speaking paid search is made up ofmany types of traffic. Let’s focus on search and content. How isthe traffic classified and why does it matter? It’s widely acceptedthat search traffic is more valuable then content traffic. Withthat said, it makes sense that search traffic demands a premiumclick price versus content. So, if you are a publisher you, ofcourse want to display search ads versus content ads. The linesare pretty clear what traffic comes from an actual search andwhat doesn’t. But that is not always how search engines classifya partner. With search engines fighting tooth and nail for pub-lisher traffic, sometimes a content site finds itself negotiating anice deal to display search results.

� Partner quality How a search engine selects and polices its part-ners goes a long way in determining traffic quality. Partner sitesusing liberal normalization, who may be misclassified or just donot have quality traffic, are abundant. By simply checking referrerdata on a specific search campaign, poor partners can be isolatedand steps can be taken to have those partners blocked.

Click fraud has soaked up quite a lot of press over the past fewyears. But with this focus search engines have identified a signifi-cant amount of this traffic. Now the focus should be expanded toother aspects of paid search that contribute to poor click quality.

Mike Bernier is vice president of business development atSearchMarketingTools.com. Reach him at [email protected].

Click fraud dominates thetraffic-quality debate

Mike BernierSearchMarketingTools.com

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consider Webmasters our partners and a reallyimportant part of what makes Google what it is.

DMNews: Since you are out talking to these folks,what are some trends you are seeing?

AL: One of the things I’ve been seeing that is reallyexciting is that search engine marketers and theWebmasters they work with are becoming muchmore involved in conversations online and offline.

If we look at the history of the Web, initially a lotof Webmasters and search engine marketers werefocusing purely on broadcasting. They wanted toknow how they could get what they have to say outto as many people as possible.

But there is a whole lot of competition out there

42 FEATURE» DM News • Essential Guide to Search 2007

BY MELISSA CAMPANELLI

Perhaps the best way to lean about searchengine making is to go the search leaderitself — Google. This is exactly what DMNews did recently. We spoke to Adam

Lasnik, the first person to be a search evangelist atGoogle. He joined the company in 2006. Mr. Lasnikshared his take on a variety of search-related topics,including tools to improve a site’s visibility. Here aresome highlights from the discussion:

DMNews: Your title at Google is “search evangelist”Can you explain what that means?

Adam Lasnik: I focus on Webmaster communica-tions. The key components of that are helping toinform Webmasters, help them to understand whatbest practices are, what different events and aspectsof Google mean to them, and to learn fromWebmasters. I go out there to conferences and goonline and get the feedback from them about whatthey would like to know about. Because I sit directlywith engineers, I am able to directly take the feed-back I get from webmasters and turn it into action-able items, such as new tools or refined tools, orenhanced or refined documentation. My job is reallya lot of communicating and a lot of listening. We

ESSENTIAL GUIDE

A conversationwith Adam Lasnik,

Google’s searchevangelist

We considerWebmasters ourpartners and a really important

part of what makes Google what it is.”Adam LasnikSearch evangelist, Google“

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now. There are multiple sites that will help you findairline flights, and tons of sites that will help youfind real estate. So how do you stand out in thatmassive fray?So, what search engine marketers have been learn-

ing is that they really need to be not just speaking topeople, but speaking with people that are on theWeb. They understand that they need to be engag-ing with customers on those Web sites as well asreaching out to other sites around the Web such associal media sites. Participating in those conversa-tions, answering questions and offering informationhas increased both awareness and interest in a lot ofcompanies around the Web.

DMNews: Any other trends?

AL: Another trend that I wanted to mention is afocus on less deception and more of a user-centricfocus. In the early days, sometimes we saw searchengine marketers, particularly the less savvy ones,work with the Webmasters to try and, frankly, trickpeople and trick search engines. They would dothings such as keyword stuffing, for instance, whichoccurs when a Web page is loaded with keywords inthe content. This doesn’t serve your users, and ifthey see this, they might be put off or annoyed. Sowe’ve seen a transition from what I would frame asdeceptive practices to a user-centric focus.We do have, for instance, a couple of documents

in our “Help Center” called “Google WebmasterGuidelines” and “Creating a Google-Friendly Site.”The great things about these are that they are areflection of user-friendly practices.We’ve seen a greater attention to not only the

user-centric focus but also to these Google guide-lines that reflect what is involved in making pagesthat users like and users respect. When users appre-ciate these pages, they are more likely to come back,to visit the site, and share these pages with theirfriends on soil media sites like Digg and de.licio.us.All of that drives traffic and drives conversion.

DMNews: What tips can you offer SEO/SEMmarketers?

AL: Here is duo tip that I regularly offer toWebmasters — especially Webmasters that are alsosmall business owners: Focus on your title tags andfocus on your meta description tags. Those are bothwithin the HTML of each document.By doing this, two things are likely to happen. It

helps Google to better understand what the page isabout and it helps us to more effectively list the pagein our search results.

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By having titles that are specific, descriptive andalso concise, you will not only oftentimes improveyour listing within Google, but it will also encouragemore people to click on it because they have anunderstanding of what your site is about.Similarly, the meta description tags are often,

although they are not always, used to help us createwhat is called the snippet. That’s the couple of linesof text underneath the title on the search results thatgives a little more information about that page.

In general, we try to show a snippet that is sur-rounding what the exact search term the personsearched for. But, when that is not always clear, weoften fall back on that meta description. So makingit in plain English, making it a few concise thought-ful descriptive phrases – that helps everyone.

DMNews: Any more tips for SEO/SEM marketers?

AL:The second piece of advice I often give to searchengine marketers and Webmasters is to focus onbrains over beauty and function over form. Weoften see sometimes people getting carried awaywith their Web designers to make a site beautiful.But what we’ve seen historically is that users arelooking to land on page, get information or do anaction and then get out.Although it’s nice to make it look somewhat pretty

and not terribly stark – functionality and contentalways trumps. We encourage Webmasters to reallyfocus on the usability and user interface.Webmasters should understand how their users

currently use their Web site. What do they look at?Where do they go? What do they access on that site?We also offer a really outstanding free tool that

has just been updated called Google Analytics. Thefunction of this tool is to help Webmasters under-stand those key points: Who is coming to their site?What they are doing? What are they looking for?And, do they convert into sales?Whether or not the SEMs or Webmasters want

to use that tool from us or want to use a thirdparty analysis tool, that’s fine. But you don’t wantto go blind. You want to understand what yourusers are looking for and where they go. And bycatering to your users, you are naturally going tobe better in Google. � ”

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Conversion is an important consideration in search-enginemarketing. In this section, there are articles about conver-sion strategies, including search-relationship marketing,

increasing conversion rates for business-to-business campaigns,landing-page targeting and testing, and tips for paid-keyword cam-paigns, all of which were written by the field’s thought leaders.

Conversion

CONVERSION TOC

Page 44Search is where it’s at, by DaveTomlinson, Rapp Collins Retail

Page 45IInnccrreeaassiinngg ccoonnvveerrssiioonn rraatteess ffoorr BBTTBB sseeaarrcchh mmaarrkkeettiinngg,, by PatriciaHursh, SmartSearch Marketing

A formula for keyword success, by Michael Stebbins, ClickTracks

Page 46How to experience 50 percentdrop in CPA with the right keyword strategy, by Brian Lewis,Engine Ready Inc.

Boost ROI with the vertical advertising option, by Chrysi Philalithes, Miva

Page 47Paid versus natural search: strik-ing a balance, by John Squire,Coremetrics Inc.

Essential metrics in paid keyword campaigns, by OlivierSilvestre, Visual Sciences Inc.

Search is where it’s atBY DAVE TOMLINSON

Total search-related ad spending soared in2006 to $9.4 billion, up from $5.7 billion

in 2005, according to a study by the SearchEngine Marketing Professional Association.More than 85 percent of that spending wasfor paid-search listings. Businesses are recog-nizing that search, like direct marketing, canbe measured, tracked and held accountable.Enterprise marketing budgets are reflectingthis heightened awareness, with search-mar-keting budgets beginning to encroach uponprint, television, newspaper and other chan-nels. But as more businesses begin to under-stand and profit from the higher ROI provid-ed by search, it is becoming harder to main-tain an edge over the competition.The next big thing on the search frontier,search-relationship marketing, moves beyond“point-of-query” tactics, such as organic opti-mization or paid placement/inclusion. In itsmost advanced form, SRM allows businesses todramatically extend the reach of search-relatedad spending, effectively “remarketing” morepersonalized content to Web users through aunique mix of search-marketing strategies, affili-ate Web partnerships, shared cookie technolo-gies and dynamic ad-serving tactics. So, regard-ing search-marketing aspects of SRM, how canmarketers use existing customer data to offermore personalized content for searchers?

Segmenting searchersApplying the strategies traditionally associatedwith direct marketing, including segmentation,targeting and personalization, will increase theconversion rates on your search-related market-ing efforts. If you haven’t done so already, per-form a segmentation analysis on your currentcustomer base. Use the results to determine

which groups are dis-tinct enough in theirdemographics, psycho-graphics and behaviorto target with anenhanced pay-per-clickcampaign. Next, writedifferent versions ofpaid-search ads, appeal-ing to each segment’sknown or impliedattributes. Finally, cre-ate a personalized land-

ing page for each segment, featuring content oroffers focused on unique needs and desires. A key to the success of your campaign is the

correct mapping of keyword clusters to customersegments. Data-modeling techniques, such ascluster analysis, can provide insight into whichsegments map to which products and keywords.You may want to consult a search-marketing pro-fessional to identify the appropriate keywords foryour campaign as this can be a complex process.Next, associate your pay-per-click creativewith each segment’s keywords. Links shouldroute searchers to the personalized landingpage that speaks to their needs. If multiple seg-ments are mapped to the same keyword, usepost-click-segmentation tactics to identify visi-tors and route them appropriately. Set cookieson a user’s system during the first visit and, ifpossible, append incoming search terms withsite behavior data to serve up more relevantoffers on future “non-search” site visits.The key with SRM is to start simply. Useexisting channels and current customer data toimprove your current pay-per-click ROI. Thenstart looking at other partnerships, technologiesor tactics that could offer your potential cus-tomers more personalized brand interactions.

Dave Tomlinson is management supervisor at RappCollins Retail, Dallas, TX. Reach him [email protected].

Dave TomlinsonRapp Collins Retail

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BY PATRICIA HURSH

Ask business-to-business marketers their top marketing chal-lenges and you’ll hear “generating leads” and “improving

lead quality.” One way marketers generate leads online is by run-ning pay-per-click ad campaigns that link searchers to landing pageswith registration forms. Visitors register to receive, for instance,white papers, industry research, software downloads, e-mailnewsletters and webcasts. To improve conversion rates and boostregistrations, marketers can also follow these tips:

� Understand visitors’ needs Identify and analyze the various typesof visitors who frequent your Web site. Create a persona for eachvisitor type. Think about their problems and pain points and howtheir needs change as they move through the buying process.

� Create downloadable assets Analyze what you can offer eachtype of visitor. Map their specific needs to your assets. For exam-ple, if you have a compelling success story, create a downloadablecase study. If you’re giving a presentation, turn it into a webcast.

� Offer action options Differenttypes of visitors have differentneeds at different times. So it’simportant to offer acion optionson your landing pages. Early inthe buying cycle, visitors are inter-ested in general market research.Toward the middle, they wantproduct, service and vendor com-parisons. Only later will visitorsbe interested in a sales presenta-tion or price quote.

� Test landing pages Rigorouslytest, measure and improve all aspects of landing pages, includinglayout, images, benefit statements, triggers, and the names anddescriptions associated with your conversions. Do more peoplewant to “View Product Information” or “Take a Virtual Tour”?

� Simplify registration forms An important aspect of the landingpage is the registration form. Test at least three versions: short,medium and complex. Test various fields and form lengths.

Lead volume must be balanced with lead quality. Improving thequality of leads can be accomplished with tighter ad distribution,more precise keywords, ad copy and landing pages that pre-qualifyvisitors.The challenge for BTB marketers is to strike a balance and find

the online registration process that delivers the most leads at anacceptable qualification level.Follow these practical steps, and your Web site conversion rate

will improve.

Patricia Hursh is president/founder of SmartSearch Marketing, Boulder, CO.Reach her at [email protected].

Increasing conversion ratesfor BTB search marketing

BY MICHAEL STEBBINSWhen it comes to guaranteeingkeyword success, braggingrights go to marketers whoassess keyword value based onmultiple metrics, including visi-tor volume, revenue, conver-

sion and metric time on site. Let’s look at the criteria and limi-tations of some of the most common metrics.

� Volume isn’t enough As you’re putting marketing dollars intokeywords, you need to measure the volume of engaged visitors,not of all visitors. Marketers love high volume, but in the onlineworld it has little value if there isn’t interest in your site’s content.

� Revenue isn’t enough While revenue is the measurement ofyour marketing, Web site and product value, it really shouldn’tbe the sole indicator of keyword value. Why?• A Web analytics tool cannot account for all revenue.• A sales cycle may disassociate revenue from valuable visitors.• Neither of the above factors consider visitors who almost buy.

� Look to conversions It’s a good bet that more visitors convertthan buy, so by counting converted visitors per keyword we getcloser to a measurement of keywords that bring engaged visitors.

� Time on site is your MVP Time on site measures your Web site’sability to successfully retain each visitor’s interest. It’s also a goodindicator of the synergy between the expectations visitors hadbefore clicking to your site and how pleased they were with whatthey found once they arrived.

� Combining volume, ROI, conversion and time But don’t look attime-on-site numbers in a vacuum. Take a holistic look at metrics,including ROI, conversion and volume to ensure you have anaccurate picture of the value of each keyword and you aren’twasting pay-per-click and SEO dollars.

� PPC and natural search Even savvy marketers can inadvertentlybuy inappropriate keywords, over-promise in their ad messagingand under-deliver on their landing page. Measure PPC ad effec-tiveness for each keyword separately from natural search listings.

A good Web analytics tool will show these metrics side by sidefor all measurements. It’s a sign of effective PPC advertising ifyour PPC ads deliver visitors with more time on site than yournatural search engine listings deliver.Keyword success isn’t determined by one factor alone, so use a

combination of metrics to increase your keyword success, yourcompany’s ROI and your bragging rights.

Michael Stebbins is vice president of marketing at ClickTracks, Santa Cruz,CA. Reach him at [email protected].

A formulafor keywordsuccess

Patricia HurshSmartSearch Marketing

Michael StebbinsClickTracks

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BY BRIAN LEWIS

Perhaps the most crucial part of any pay-per-click campaignis the implementation of a sound keyword strategy. Thinkof your keyword strategy as the foundation that supports all ofthe other elements of your pay-per-click campaigns.Many online marketers focus on building out their keyword listwith every possible combination of words that might relate to theirservice or product.That’s a great start, of course, but to really ensure your cam-paigns will perform to their most profitable potential, it’s impor-

tant to focus on creating the most“exact match” keywords andensure that your ads don’t appearfor terms not related to yourproducts or services by utilizingnegative keywords.

A case studyPENSRUS Corp., a leadingprovider of personalized andlogo-branded pens, pencils andpromotional products, experi-enced strong growth during the

early and middle parts of the 2000s from its Google AdWordsand Yahoo Search Marketing campaigns.Early on, due to lack of competition in PPC, simpler bidchanges and account management, it was easy for PENSRUSto manage the optimization of their campaigns in-house.However, with increasingly competitive pressures on bid pricesand the added complexity of ad testing, day-parting and geo-tar-geting, it was becoming more difficult for PENSRUS to do aneffective job of keeping its PPC campaigns profitable.PENSRUS hired Engine Ready in late 2005 to completely over-haul its existing search marketing campaigns and optimize theaccounts to improve ROI. At the time, the average cost per acqui-sition was just under $150.One of the largest areas of opportunity that was quickly identi-fied was improving the keyword strategy. And the most compre-hensive source of information for directing Engine Ready’s key-word strategy was the Web analytics data available from the PEN-SRUS site activity. PENSRUS was using a marketing Web ana-lytics application called Conversion Analyst to track click costsand online revenues by campaign source and keyword. Its searchphrases report shows the exact phrases visitors searched that dis-played the PENSRUS paid ad.Within 3 months after implementing exact match and negativekeyword strategies, CPA dropped almost 50 percent from $150 to$80, while conversion rate increased 65 percent.

Brian Lewis is vcie president of marketing for Engine Ready Inc., San Diego.Reach him at [email protected].

BY CHRYSI PHILALITHES

As the pay-per-click market continues to mature, a combina-tion of vertical and horizontal networks have emerged.

Understanding the differences and benefits of vertical advertis-ing options can help generate a higher return on investmentfrom online ad spend. Direct response advertisers have twomain options when leveraging vertical advertising trends.

Vertical search enginesThe first option is advertising on a vertical search engine. Theseproviders deal with specific business categories or verticals, such asautomotive, health, employment or travel.Vertical search engines let advertisers fine-tune distribution to theirtarget audience, as searchers are only looking for relevant productsand services. Additionally, many vertical search engines offer moreflexibility, such as a combination of display and PPC advertising.A drawback, however, is that ad distribution is focused on only themain vertical search engine with only a small (or non-existent) con-textual network. Since search accounts for only a small percentageof users’ time spent online – as noted in a recent study by theOnline Publishers’ Association which found that that 45 percent ofpeople’s time online is spent on content sites compared to just 4.7percent spent actually conducting searches – advertisers could missout on potential visitors.

Vertical PPC ad networksA second option is vertical PPCad networks. Many PPC advertis-ers have divided their networksby vertical. This provides moretargeted ad distribution.Vertical PPC ad networks tend tohave more developed contextualnetworks than vertical searchengines. This allows then to offeradvertisers exposure on a widerrange of content sites in the specif-ic verticals they are targeting.It’s important to note that some

PPC ad networks may be stronger in some verticals than others,depending on the types of Web sites they have distribution agree-ments with. It’s always best to run a test campaign and see howthe network measures up for your specific vertical.

2 for 1 vertical adsWhether you’re advertising on a vertical search engine, verticalPPC ad network or both depends on the specific objectives ofyour campaign. Running ads across a vertical search engine and avertical ad netowrk can get you closer to 100 percent online cover-age for your individual vertical.

Chrysi Philalithes is vice president of global marketing and communications atMiva, New York. Reach her at [email protected].

How to experience a 50 per-cent drop in CPA with theright keyword strategy

Boost ROI with the verticaladvertising option

Brian LewisEngine Ready Inc.

Chrysi PhilalithesMiva

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BYOLIVIER SILVESTRE

Peter Drucker, a management specialist, once said: “If you can’tmeasure it, you can’t manage it.” This nugget of wisdom alsoapplies perfectly to today’s search-engine marketing activities.It is important to remember that measurement is relevant only if itis “actionable.” If no decision, no action or no change can be madebased on your SEMmetrics, then those metrics are considered to beineffective. Metrics that can be acted upon — and therefore optimized— are effective metrics, and they are metrics you need to consider.Here are three key tips for actionable elements that make up SEM:

� Optimize landing pages This is a function of the landing-page and ad-text-copywriting mix. Based on the product a

company sells or service a com-pany provides for its clients,dedicated landing pages shouldbe well planned and welldesigned for their respectiveand associated ad copy. Thekey measurement for theselanding pages is the SingleAccess Visit ratio, or the per-centage of visitors landing onthese pages and leaving the sitewithout browsing on any otherpages. If the ad copy is relevantto what a company offers, and

the landing page is consistent with the ad copy message, thenthe SAV should stay low as long as the landing page is not afinal destination in itself, which is not recommended.

� Optimize ad copyThis is a function of ad-text copywriting andkeyword purchase. Depending on what product or service a compa-ny plans to advertise, it should decide what will be featured on thelanding page. As explained above, it is important that the ad copy-writing be fine tuned and in line with the landing page value propo-sition (hence the SAV ratio). While maintaining a low SAV, theobjective is to acquire as much traffic as possible at the lowest cost.Click-through rate and ROAI are the two key metrics to be awareof when optimizing ad copy. Assessing your SEM campaigns basedon sales alone could lead a company to make unsuccessful online-campaign decisions as sales transaction is not the sole criterion.

� Optimize purchased keywordsWhen starting a new SEMcampaign, an effective strategy is to purchase broad keywordsor keyword phrases in broad match at low cost. Doing sohelps search-engine marketers discover the keywords that peo-ple type in when they search by looking at Web analyticsreports. Measurement will further help to understand whichtyped keywords perform the best, based on CTR and ROAI,triggering the purchase of these discovered keywords in phrasematch or exact match searches and efficiency.

Olivier Silvestre is director of optimization consulting at Visual Sciences Inc.,San Diego. Reach him at [email protected].

Essential metrics inpaid-keyword campaigns

Olivier SilvestreVisual Sciences Inc.

BYJOHN SQUIRE

Getting the balance between paid search and natural searchright can be a delicate operation. Get it wrong and you can

waste precious marketing dollars. Get it right and you’ll reapmaximum rewards in terms ofconversion and sales. Keep itright and you’ll be the envy ofthe marketing organization.There are several commonmisconceptions about whichtool is more effective as part ofan online campaign, and hereI’ll try to clear those up, whileoffering some solutions onstriking the correct balance.The first thing to consider isthat, unfortunately, there is nosingle magic bullet. Depending

on the situation, on the product, on consumer behavior andon the campaign, there are reasons why paid search might bepreferable to natural search at one time and vice versa. Orwhy a combination of the two might always be the best bet.But first, let’s clear up the myths surrounding search market-ing. The first is that that you don’t need paid search if you’realready in the top 10 for natural search. Well, remember thatSEO is a long-term proposition. It takes time for a site’s key-word optimization and other SEO features to begin lifting asite’s position on the search engines; and it can be a fickle mis-tress. Traffic is less reliable than with paid search.You also can’t control the message, timing or geographic target-ing of natural search. Effectively, it is the “word of mouth” fromthe “spider.” Paid-search campaigns, conversely, have immediateeffect. A site launched yesterday can attract traffic today with pay-per-click advertising. Paid search is timely and excellent for time-sensitive, high-impact campaigns, and it fills in gaps left by SEO.Turning that on its head, let us look at the second commonassumption: As a marketer, you do not need to bother withnatural search because you can pay to get the top listings youneed. Well, consider this: Numerous research studies onsearch-engine user behavior have found that users preferorganic listings to sponsored listings, clicking on natural list-ings 70 percent to 80 percent of the time.So it seems obvious that a blended approach of both paid andnatural search is the way to go. But how can a marketer makeconclusive decisions based on these assumptions and balance theirsearch budget in the way that makes sense?The smart marketer will look to analysis to find the insight theyneed. Using Web analytics, you can easily find out how you’redoing in terms of visitors drawn from natural search. Look for abehavioral analytics solution that can help you benchmark againstcompetitors. This gives you a clearer picture of how you should re-balance your budget to bring you up to speed with the competition.

John Squire is senior vice president of product strategy at CoremetricsInc., San Mateo, CA. Reach him at [email protected].

Paid versus natural search:striking a balance

John SquireCoremetrics Inc.

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Local search, which lets consumers easily find “where infor-mation,” such as street addresses, city names, postal codesand geographic coordinates for local businesses, is a growing

area in the search arena. This section includes articles about localsearch from thought leaders covering Internet yellow pages andobstacles and opportunities for advertisers in the space.

Local Search

LOCAL TOC

Page 48Meeting customer needs withlocal search, by Robyn Rose,Superpages.com

Page 49Local search evolves painfully butshows promise, by Dana Todd,SiteLab International Inc.

The online advertisers’ task list,by David Reeve, WebVisible Inc.

Meeting customerneeds with localsearchBYROBYN ROSE

Historically, Internet yellow pagesproviders have been category-based

providers of local listings, while searchengines return mass Web results. Today, weare at an intersection where consumers aresearching for more local content, regardless ofwhether it’s through an IYP or search engine.According to Forrester Research, Google might

dominate Internet search from both the consumerand advertising perspectives, but it’s far frombeing a leader in the highly fragmented local-search market, where different players are emerg-ing as leaders for different types of local searchand at various points in the buying process.A search engine will provide results of business-

es that have a Web site, whereas as an IYP willdeliver results for all local small businesses with orwithout a Web site. Search engines have started tobe more inclusive with the results they are provid-ing, but they still lack the local sales force and thecomprehensive business listings that IYPs offer.The goal is to determine how IYPs and local

search providers can meet consumers’ needs.Current consumer needs fall at the intersectionof IYPs and local search, and the winners inlocal search will find a way to adapt to thoseneeds. But how can providers offer a locallyfocused site that has rich content, where theconsumer experience is personalized withoutexpecting the user to login, also provide resultsrelevant to them? Some examples of how IYPsand online providers are starting to addressthose needs, include user-generated contentand mass personalization.User reviews are the vehicles on Web sites such

as Yelp.com and Angie’s List that enable users tocomment on products, services and experiences. In

2005, 76 percent of Webshoppers said they usedproduct reviews whenthey shopped online.Superpages.com beganoffering user reviews in2005 to enhance localcontent surrounding serv-ice-based businesses.User reviews are anextension of word-of-mouth marketing and,when read by con-

sumers, help drive a consumer’s buying decision.Personalization features provide consumers the

opportunity to tailor the local site to their tastesand preferences. It simply means localizing thehome page to the user’s home location or remem-bering their last viewed theaters, apartments andbridal shops, where localized sites can then offermovies, movers and florists, respectively, upon areturn visit. Customizing the content provides theuser with a more personalized experience and areason to come back to the site.Consumers are not always motivated to per-

sonalize sites they visit. Less than 10 percent ofonline consumers personalized non-portal sites,according to Forrester. Registration also posesproblems for collecting content. When writingreviews, a portion of reviewers do not completethe task when asked to register or login. Masspersonalization enables a site to tailor results toconsumers without requiring registration.Consumers are searching for more local con-

tent from online providers, and bringingtogether user-generated content and personal-ization helps meet their needs and make buyingdecisions easier. At the intersection of IYP andlocal search, traditional players are constantlyevolving, adapting and innovating.

Robyn Rose is vice president of marketing at IdearcMedia Group’s Superpages.com, Dallas. Reach her [email protected].

Robyn RoseSuperpages.com

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BYDANATODD

Local search seems to be forever poised on the edge of great-ness despite being touted as The Next Big Thing in terms

of growth and spending.Kelsey Group estimates local online ad spending to hit $11.1billion by 2011. SEMPO announced in 2006 that more thanhalf of advertisers reported positive results with locally target-ed search ads. And with the promise of mobile advertising asthe local search “killer app,” we’re promised a surge in localadvertiser investment. Yet both publishers and advertisersstruggle with the buy as many express frustration in gettingthe “last mile” fully monetized and optimized.So what are the obstacles and opportunities for advertisers?

� Local search is underdevelopedUsers are still finding localsearch to be a frustrating experience. For local advertisers, con-trolling ad spend is limited to the effectiveness of the searchengines’ ability to properly target for us. Given the relativelylow volume of most local campaigns, targeting is inexact andmany local search ads go un-shown and un-clicked.

� National/global advertisers ignore local search Nationalbrands often overlook their local opportunities, assuming thattheir national and global buys are sufficient. But there are many

reasons to spend time andmoney on enhancing a localpresence, such as attracting localjob applicants, supportingnational ad campaigns at aretail/local level and gettingaccess to mobile queries.

� SMBs are too busy to dealwith PPC auctions Small tomid-size businesses are general-ly understaffed and don’t havea dedicated interactive market-

ing staff. CPA buys would seem to be the answer. Local adver-tisers can pay per call or per lead. But even this approach haslimitations. For one thing, most small companies don’t haveadequate site tracking or lifetime-customer value tracking (orevent rudimentary CRM), so they can’t properly value whatto pay per action. And because more than half of local cus-tomers will “convert” offline or cross-channel, CPA vendorsare leaving money on the table.All concerns aside, it appears that local search is close to hit-ting its stride. There is a bevy of users seeking local informa-tion, with more than 100 million queries a month having localintent, according to comScore.

Dana Todd is co-founder and principal at SiteLab International Inc.,San Diego. Reach her at [email protected].

BYDAVID REEVE

In 2006, WebVisible hiredNielsen//NetRatings for abenchmark survey examiningInternet consumers’ use ofsearch engines to find local busi-nesses, particularly those in theservice industry, such as dentists,plumbers and carpet cleaners.The insightful results explainedhow consumers behave today andhow local businesses can positionthemselves to succeed online.I’ve packaged the data belowfor you as an “Online Advertiser’sTask List” for an easy cut-and-paste into your Outlook Tasks.As consumers change the way they shop, it’s vital to yourbusiness to change with them.

� Enable myWeb site visitors to contact meConsumers use up to four different methods to contact you.Presumably, your Web site should be ready to handle these differ-ent methods in contact. How does your Web site stack up to theseconsumer behaviors?

• 68 percent use the phone number on a site to contact a vendor.

• 16 percent contact a vendor by the e-mail address on a site.• 11 percent contact the vendor via a form on a site.

�Advertise myWeb siteHaving a Web site is not enough. Just like your business, you mustadvertise your Web site to reach consumers. There are many waysto do this, and I advise you to use them all. They include pay-per-click, banner advertisements, search-engine optimization and busi-ness-profile landing pages.

• 70 percent report using search engines to find a local service.• 90 percent are happy when using engines to find local businesses.

�Trackmy off-line conversionsMany small businesses don’t make a connection between theirWeb site’s visitors and those that call or visit the business. Themajority of consumers find your business online, then make a pur-chase off-line. You may not know it. It is important to connect thesebehaviors in order to better understand the customer’s experience.

• 35 percent saved the phone number after visiting the site.

Using these three simple tasks will drastically improve the waycustomers find you, contact you and measure the effectiveness ofyour advertising efforts.

David Reeve is marketing manager at WebVisible Inc., Irvine, CA. Reachhim at [email protected].

Local search evolvespainfully but shows promise

Online advertiser’s task list

Dana ToddSiteLab International Inc.

David ReeveWebVisible Inc.

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Search 2.0 refers to the growing category of merging search-enginemarketing and search-engine optimization with blogs, RSS feedsand social networking. In this section, there are articles by thought

leaders on Web 2.0, social-media channels that bolster search presence,PPC in a Web 2.0 world, video search engines and “searchandising.”

Search 2.0

SEARCH 2.0 TOC

Page 50GGooiinngg WWeebb 22..00,by Robert Murray, iProspect

Page 51Four channels to bolster yoursearch presence, by DavidBerkowitz, 360i LLC

PPC in a Web 2.0 world, by BryanBrickley, Searchfeed.com

Page 52The e-mail newsletter: a keyweapon in your SEO arsenal, by Loren McDonald, J. L. Halsey

Five ways to optimize for videosearch engines,by Gary Baker, ClipBlast

Page 53Using ‘searchandising’ to satisfyand keep customers,by Shaun Ryan, SLI Systems

Putting mobile search trends in context, by Anne Baker, ActionEngine

Going Web 2.0:actionable advicefor marketersBY ROBERT MURRAY

Call it “social networking” or “socialsearch” or “Web 2.0.” Whatever you

call it, the bottom line is that it’s all aboutthe influence of online communities on yourbrands, products or services. Given the power of this medium, marketers

need guidance on moving forward. To succeed inthis space, there are certain rules you need to beaware of and follow carefully. Below is some advice derived from a recent

study on social networks sponsored byiProspect and conducted by JupiterResearch.

� Identify the community Social-networkingsites have communities of users who frequent-ly visit them, read the latest user-generatedcontent and perhaps add some content oftheir own in the form of comments, tags orrankings. To assess a site’s viability as a mar-keting channel, marketers should explore eachsocial-networking site individually to gain asense of the unique traits, temperament, likes,dislikes and culture of its community of users.Once you have a sense of the community’s

profile, determine how closely it matches the pro-file of the prospects targeted by your other mar-keting efforts.

� Learn the code of conduct Also unique to eachsite’s community is its attitude toward and toler-ance of brand/product participation within theircommunity. Some social networking sites allowthe placement of display, search or contextual adson the site; others don’t. Some allow the postingof links to commercial Web sites within theiruser-generated content; some don’t. Some closelymonitor their site for anything that smacks of

self-promotional con-tent; others are lessstrict. Before decidingon how you will partici-pate, spend enoughtime on the site to gainand understanding ofwhat is and isn’t tolerat-ed by its community.Once you understandthe code of conduct,it’s safe to proceed.

� Embrace the good with the bad Somewhereon the Internet, someone has undoubtedlyposted something negative about or yourbrand, product or service. When this happenson a Web site that allows you to engage in adialogue with its community, it provides agreat opportunity for you to redress the issueand to make a positive impression upon thatcommunity without being at all commercial oreven self-promotional. Just be sure to identifyyourself as a representative of your company(honesty and transparency are key), acknowl-edge the criticism and respond without beingdefensive. Also clearly explain the steps thatare being taken, or what facts exist, to remedythe object of the negative content. Finally — it should go without saying —

make sure you follow through on any of theactions that you promised. Or else you’ll pay the consequences. That

may include the community reacting evenmore negatively. These are some of the important first steps

to successful social marketing. Follow them, and you’ll be off to a good

start. You’ll find this new medium to be powerful

indeed.

Robert Murray is president of iProspect, Watertown,MA. Reach him at [email protected].

Robert MurrayiProspect

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BYDAVID BERKOWITZ

Search marketing and social media can reinforce each other’svalue when planned in conjunction with each other. Here is

how retailers can use four social media channels to improvetheir visibility in search engines.

� Blogs Search engines love blogs for several reasons: Blogs areusually frequently updated with content that’s relevant to specifictopics and queries; their architecture is full of the appropriateheaders and tags that are easily spidered; and blogs with any fol-lowing tend to constantly have new links pointing to them.Marketers can benefit from blogging, but they can reap addition-al rewards by reaching out to other blogs about seasonal promo-tions, new site features or other content that they may host ontheir site. One effective strategy is to offer bloggers your ownWeb widgets, lightly branded applications to share video, gamesor other content that can be posted to blogs, social network pro-files and sites.

� WikisThe model for Wikipedia can be replicated on a smallerscale on retail sites, where consumers all contribute contentaround a certain theme. Some consumer brands are already tak-ing part. T-Mobile and Motorola, for example, both have wikisthat create communities around particular products.

� Tagging By allowing consumersto tag existing content with pre-ferred keywords, retailers can offerdescriptors or meta data to prod-ucts and Web pages. And by mak-ing it easy for consumers to tagcontent with social-bookmarkingsites, you create more inboundlinks. Tagging builds a folksono-my, a consumer-generated taxono-my, and reviewing consumers’ tagsoffers revealing research.

� VideoCommercials or other video assets should be embedda-ble on other Web sites to encourage links back and deeperengagement. Retailers are increasingly resembling online pub-lishers, and there are countless ways for any retailer to offer rel-evant video content on thier sites. A clothing retailer can offerbehind-the-scenes footage of a fashion show, or an electronicsretailer can post entertaining product demos. Tying this backinto blog outreach, marketers can share these videos and contin-ue to spread the word they want to get out.These are four social media marketing strategies to consider.What all have in common is that they work best as an inte-

grated part of any campaign, like SEM itself.

David Berkowitz is director of emerging media and client strategy at 360iLLC, New York. Reach him at [email protected].

BYBRYAN BRICKLEY

The growth of user-generat-ed content is changing the

way brands interact and engagewith customers. Successful com-munications in today’s Web 2.0world are increasingly based onestablishing and maintaining atwo-way dialog. Building UGCelements into an online strategyis only one piece of the jigsaw,however. The key is to drivepeople to those pages to kick-start the dialog.Forward-thinking marketers are increasingly using pay-per-click

as a tool for achieving this, and it is one of the many ways thatmarketers are using pay-per-click beyond pure customer acquisi-tion. So what are the tips marketers should consider when usingPPC to help underpin Web 2.0 strategies?

� Use keywords and ad creative to highlight the Web 2.0 featureson your site. If you are a travel site, for example, bid on termssuch as “travel blog” or “travel reviews” to capture consumerinterest. Build those same elements into your ad creative as wellwith phrases such as “read vacation reviews” or “reviews from

other travelers.” This will help not only drive traffic but alsoincrease consumer engagement, a key component of Web 2.0.

� Monitor topics that are being raised through reviews or forumson your site. As themes emerge, start to tactically develop PPCads that relate directly to those themes. The aim is to leverage thehot-button topics that users themselves are defining to capture theinterest of other like-minded people. Your customers, in essence,help drive your communications strategy.

� Ensure ads are deep-linked, just as with any campaign. This isparticularly important for UGC areas of sites that will quicklybecome content rich and be hard to navigate as a result. Takingthe travel example again, if you are highlighting reviews of a par-ticular hotel in your pay-per-click ads, ensure you deep-link to thepage that includes reviews for that specific hotel rather than justyour review landing page.

� Consider ad placement by remembering that with Web 2.0 it isall about tapping into consumers’ desire to share their experiences.Reaching people when they are in that mind-set is often moreeffectively achieved on content sites when people are reading relat-ed articles and are therefore more likely to click through to yoursite to read more and to comment. As a result, the contextual net-works should be at the heart of Web 2.0 PPC strategies.

Bryan Brickley is general manager of Searchfeed.com in Bridgewater, NJ.Reach him at [email protected].

Four channels to bolsteryour search presence

PPC in a Web 2.0 world

David Berkowitz360i LLC

Bryan BrickleySearchfeed.com

DMNews • Essential Guide to Search 2007 « SEARCH 2.0 51

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BY LOREN MCDONALD

Content is still king. Optimize your online content and you arebound to see a significant increase in traffic and conversions

as a result of improved organic search rankings. And if you’re abusiness-to-business company or invested in building a brand, asimple but often overlooked way to increase your keyword rank-ings is to optimize the content of your e-mail newsletter.If you follow current best practices, you’re already posting your

full newsletter articles to your site, where recipients will clickthrough to read them, along with other content, over the few daysfollowing distribution of the e-newsletter. These posted, optimizedarticles will continue to generate significant traffic for years as aresult of organic searches.So, how to get started? Think about important keywords, phras-

es and crosslinks that would help with SEO and develop thenewsletter content and article titles around them. Initially, this canfeel a bit challenging as you try to balance using action wordsused to get readers to open your email or click a link and optimiz-ing headlines that target specific keyword phrases.

Consider these tips, too:� Use a teaser and optimize your titles and headlines for key-words Use motivating subject lines, titles and one to two para-graph “teasers” in the e-mail to motivate readers to click

through to a Web site versionoptimized with keywords in sub-heads or secondary titles follow-ing a colon or dash.

� Review your e-mail click-through rates, Web analyticsand internal search data todetermine topics and keywordsfor future articles.

� Target second- and third-tierkeywords Optimize articles and

pages specifically written around less competitive but importantphrases to return a higher ranking.

� Break up the newsletter Always post and optimize a completeWeb version of your newsletter, but also divide it up by placingall of the articles, tips and other content individually on the sitein a resource center or similar area.

� Follow SEO basics Optimize article URLs, title tags and linksto reflect your targeted keywords. Incorporate crosslinks torelated articles on your site, and link previous articles andnewsletters to your freshly posted content.

Loren McDonald is chief marketing officer of J.L. Halsey Corp., MenloPark, CA. Reach him at [email protected].

BY GARY BAKER

As the video Web rapidlyemerges as the largest

video-distribution platform inhistory, it is imperative thatsearch engines can find yourvideos as easily as they canfind your other Web content.Because video search is a com-

pletely different animal than tra-ditional text search, take thesefive steps to help video searchengines find your clips:

� Create quality metadata for each video you post Video-searchengines use metadata to index, categorize and rank video con-tent. The most important metadata are:• Title — accurately describe your video in 40 characters orless, using upper- and lowercase letters for optimal readability.• Description — explain exactly what users will see, emphasiz-ing the keywords and terms for which people might search.• Categories, tags or keywords — specify any and all relevantterms for which users are likely to search.• Image — include a visually descriptive thumbnail, typically

60-by-60, 80-by-80 or 100-by-100 pixels.• Publish date — typically the day you actually publish.• Link — spell out and include the URL where a video resides.

� Register your site with video search engines If you creategood metadata, any video search engine worth its salt shouldeventually index your content. However, you can speed thingsup by registering with specific video search engines.

� Create a media RSS feed RSS is the preferred way for mostvideo search engines to index and update your video content.The media RSS format uses standard fields to categorize con-tent, virtually ensuring quality metadata. When video searchengines have access to your RSS feed, they instantaneously getnew video content as soon as you add it.

� Have a robust library of video content Having a large libraryof video content, as apposed to just a clip or two, is one of theways you can set your site apart as a serious video contentprovider that ranks high in search results.

� Post several clips with related video content If you postmore than one video on a similar topic, video search engineswill leverage your other content to make “more like this” rec-ommendations. This will help to drive up your overall viewer-ship and bring in more traffic.

Gary Baker is founder and CEO of ClipBlast, Agoura Hills, CA.Reach him at [email protected].

The e-mail newsletter: a keyweapon in your SEO arsenal

Five ways to optimize forvideo search engines

Loren McDonaldJ.L. Halsey Corp.

Gary BakerClipBlast

52 SEARCH 2.0 » DM News • Essential Guide to Search 2007

ESSENTIAL GUIDE

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BY SHAUN RYAN

Customers have highexpectations in the online

world, and retailers are learn-ing that to be successful theyneed every advantage to dif-ferentiate themselves fromtheir competitors.

Clever marketing tactics candrive traffic to your site andentice people to click, but tac-tics alone are not enough.

Consumers expect to findwhat they are looking for quick-

ly, and providing relevant search results is imperative for thesuccess of an online business, for more reasons than you think.

Savvy marketers are discovering that in addition to making iteasier for people to quickly find the items they seek, a strongWeb site search solution can be an excellent source of informa-tion about customers. Taking a close look at your site searchdata not only allows you to improve the external search but alsoenables you to make suggestions for additional products thatmight be of interest to your customers.

By melding search data with merchandising techniques, alsoknown as “searchandising,” retailers can deliver search resultsthat are most likely to lead to sales and use customers’ searchactivity as a way to merchandise specific products.

In addition to getting customers the items they want asquickly as possible, retailers can cross-sell and up-sell otheritems that will likely interest them.

One company that has had great success with onlinesearchandising using our Learning Search product is EdwinWatts Golf, a leading golf merchandise and equipment retailer.

Analyzing the keywords searched on its site allowed them tobetter understand their customers’ thinking.

In one case, Edwin Watts Golf noticed that large numbers ofsite visitors were searching for golf head covers. At the timeneither the Web site nor the stores sold the covers. The buyerswere informed of that situation, and large purchase orderswere placed for the site and the stores.

They ending up selling every head cover they ordered.Because Learning Search users can refine their browsing by

manufacturer, category, price range and size, analytic reportsindicate what visitors are looking for, what visitors are and arenot finding, and category-based reporting providing insightsinto search behavior within specific sections of the Web site.

Without question, the quality of search results and user feed-back is directly related to the success or failure of an onlinebusiness. Next-generation search tools allow marketers to bemore targeted, deliver more appropriate results, better mer-chandise and promote products, increase sales and ultimatelyensure an online visitor becomes a regular customer.

Shaun Ryan is co-founder/CEO of SLI Systems, Cupertino, CA. Reachhim at [email protected].

Using ‘searchandising’to satisfy and keep customers

BY ANNE BAKER

We all love the concept ofmobile search. For

today’s busy mobile profession-al, it is reassuring and conven-ient to have all the information

the Internet can hold just a few mobile-phone clicks away.Unfortunately, the reality of mobile search is that to date it

has failed to live up to consumer expectations, primarilybecause vendors have forgotten the key when it comes to anykind of online search: relevance.

The good news is that most of the major search providers areembarking on new ways to grow beyond simple WAP-basedsearch engines to deliver a more contextually aware mobilesearch experience to the consumer.

Using Yahoo’s recent launch of the Yahoo Go mobile on-device portal service and their oneSearch service as a case study,we can highlight several new trends emerging in the mobilesearch market that offer a positive outlook for the consumer.

� Location, location, location The new Yahoo oneSearchservice is designed to take into account both the location ofthe phone and the context of the search request. It then pres-ents the results in a contextually sensitive manner that is tar-geted to meet the requested need of the consumer. By collect-ing and using the information available through the phone,including GPS data, contact information and user preferences,mobile search vendors can offer an experience that is both use-ful and personalized to the consumer.

� Advertising that adds value Advertisements in the Yahoo Goservice are contextually sensitive to the consumer’s query. Forexample, if a consumer is searching for pizza in New York, theycould conceivably find a link to call Famous Ray’s and placetheir order. Inserting ads where they are meaningful and rele-vant to what the consumer is looking for is going to be a criticaldesign feature of any mobile-search service going forward.

� Permanent branding on the phone By developing the YahoooneSearch service as a downloadable on-device application, thecompany is able to deliver much deeper search functionalitythan a simple mobile search Web site can offer. This makes iteasy for consumers to access and use the service and keeps theYahoo brand prominently displayed on the phones that theircustomers carry with them every day. It is a smart strategy toachieve premium brand awareness and to drive greater uptakefrom consumers.

I’m sure we will see more search providers deploying theirown on-device mobile search applications soon.

Anne Baker is vice president of marketing for Action Engine Corp.,Bellevue, WA. Reach her at [email protected].

Puttingmobile searchtrendsin context

Shaun RyanSLI Systems

Anne BakerAction Engine Corp.

ESSENTIAL GUIDE

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BY MELISSA CAMPANELLI

For a thorough understanding of the past, present, andfuture of search engine optimization and search enginemarketing, DM News turned to none other thanDanny Sullivan, widely considered the leading “search

engine guru.”For over a decade, Mr. Sullivan has been helping Webmasters,marketers and everyday Web users understand how searchengines work. He began covering search engines in late 1995,when he undertook a study of Web page indexing. The resultswere published online as “A Webmaster’s Guide to SearchEngines,” a pioneering effort to answer the many questions sitedesigners and Internet publicists had about search engines.Positive reaction led to the expansion of of the guide into Search

Engine Watch, Incisive Media’s Web site for search engine mar-keting news and information. Mr. Sullivan served as editor-in-chiefthere until November 2006, becoming the organizer of the SearchEngine Strategies series of conferences and exhibitions. In a con-troversial move late last year, he left the organization and nowheads up Search Engine Land as editor-in-chief.The following are some highlights form a discussion DM Newshad with Mr. Sullivan earlier this month.

DM News: Please describe your new endeavors. Where are youworking now? What are you focusing on?

Danny Sullivan: I’ve been keeping myself very busy building upSearch Engine Land (http://searchengineland.com) into what’sbecome a new, fresh, must-read site about search and search mar-keting. I’ve also just come back from our first associated confer-ence, Search Marketing Expo Advanced [June 4 marked the kick-off of Third Door Media’s first conference in Seattle as part of aseries of seven already announced through 2008 chaired by Mr.Sullivan and Chris Sherman, the former associate editor of SearchEngine Watch.]. Now we’re gearing up for other shows in theSMX series, such as Local & Mobile, Social Media and our firstinternational event in London. producing quality panels and ses-sions people expect from us. In addition, we’re especially puttingattention to ensure there’s a great networking and conference

54 FEATURE » DM News • Essential Guide to Search 2007

ESSENTIAL GUIDE

Q&ADM News:How would you describe Search 2.0? And, are we enter-ing the world of Search 3.0? If so, how would you describe it?

DS: I don’t know if there’s a Search 2.0 that corresponds to Web2.0 [which refers to refers to a perceived second generation of web-based communities and hosted services — such as social-networkingsites, wikis and folksonomies — which facilitate collaboration andsharing between users]. Search has already had two generations:the use of on the page criteria to rank, then the dependence onlinks. So we’re at Search 3.0, really — depending on user data tocreate personalized results (as Google is doing) or new interfaces,such as Google’s Universal Search or Ask’s dramatic Ask3D.

DM News: Advertisers, while thrilled by the click throughs, areworried about rising keyword prices and the incidence of clickfraud. Should they be?

DS:Click fraud continues to be a worry, yet we’ve come throughclass action lawsuits without the industry being crippled oradvertisers abandoning search. My gut is advertisers worryabout click fraud more than they need to, though that’s not tosay there is no click fraud or that they shouldn’t be diligent. It’sjust that it might be a bigger problem than they imagine. As forkeyword prices, as long as search delivers a high ROI, advertis-ers will pay — and pay more, robbing from other ad options thatdon’t perform as well.

DM News: What are some current and future search engine opti-mization and search engine marketing trends that advertisers andmarketers should be aware of?

DS: Vertical search is relatively new tier in the Internet searchindustry consisting of search engines that focus on specific busi-nesses] is a key trend to watch. Advertisers need to watch thevertical search results, both free and paid, because that’s wherethere’s often unmined opportunity. And social media sites arewhat I’ve called “kissing cousins” to search, in that they drivediscovery visits, which can be very powerful at least from trafficand branding perspective. �

A conversation with Danny Sullivan

Click fraud continues to be a worry, yet we’ve come throughclass action lawsuits without the industry being crippledor advertisers abandoning search.”

Danny SulivanSearch Engine Watch

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Our Clients are easier to spot.It’s a simple idea in the Search Industry that far too many overlook. Provide sound, quality strategies that get results. Commit to taking the lead in client satisfaction

succeed. It’s the value brings to every relationship. Our goal: help you substantially and consistently outsmart, outmaneuver and outperform the competition.

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recognized the agency for its “clear focus on helping clients improve their Paid Search and SEO results.” (The Forrester Wave: Search Marketing Agencies, Q4 2006, Forrester Research, Inc., November 2006)

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