Not Your Father's SEM

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Not Your Father’s SEM

Jonathan Beeston Director, New Product Innovation, EMEA

@searchbeest


@AdobeAds 2

§  Search marketing since 2002

§  Some of the SEM campaigns I’ve worked on

About me

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 3

Why is someone from Adobe speaking about Search Marketing?


Why Adobe?

4

Optimising Flash web sites?

Getting your PDFs indexed by Google?

Building SEO friendly sites with Dreamweaver?


Major Digital Marketing Acquisitions

5

2009 2010 2011 2012 2013

DAY CQ Q3, 2010 Web Experience Management Content Management Personalization

AUDITUDE Q4, 2011 Video Advertising Monetization & Management

OMNITURE Q3, 2009 Site Analytics Multi-Channel Analytics Content Optimization

EFFICIENT FRONTIER Q1, 2012 Search, Display and Social Advertising Management and Optimization

DEMDEX Q1, 2011 Audience Management

NEOLANE Q3, 2013 Marketing Automation & Campaign Management Email Campaigns

SATELLITE Q3, 2013 Tag Management Platform


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Let’s go back to 2002


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Las Ketchup sweeps across the world

Spain

Italy

Germany


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PPC in 2002


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PPC in 2002

Target rank

Gap surfing

Bid jamming


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PPC in 2002

AdWords switches to cost-per-click


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But there’s a twist…

AdRank = Bid CPC x CTR


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And the rest is history

0

5000

10000

15000

20000

25000

30000

35000

40000

45000

50000

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Goo

gle

adve

rtisin

g re

venu

es ($

m)

Source: Google


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3 big themes for 2014

Ads, ads, ads Mobile What is search?


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Ads, ads, ads Source: http://en.wikipedia.org/wiki/User:BillyH / CC-BY-SA-3.0


1998

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It could be argued from the consumer point of view that the better the search engine is, the fewer advertisements will be needed for the consumer to find what they want.

“

”


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2013

Source: blog.tutorspree.com


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Google Product Listing Ads


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Google’s PLAs nearly equal Bing/Yahoo

11%

14%

75%

US retail spend Q4 2012

Google PLA

Bing/Yahoo

Google non PLA

Source: Adobe


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PLAs vs Standard Text Ads

88%

104%

134%

105% 97%

0%

20%

40%

60%

80%

100%

120%

140%

AOV ROI CTR Conv rate CPC

Inde

xed

Goo

gle

non-

PLA=

100%

Source: Adobe


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Google is expanding PLAs further

Source: Searchengineland


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Even taking priority over brand ads

Source: @danbarker


Granularity Exposes Competitive Advantages

Dresses

BCBG DKNY

ID 5

ID 6

ID 7

ID 8

Shoes

ECCO Johnston

& Murphy

ID 1

ID 2

ID 3

ID 4

All Products

All Products

All Products

Product_type=

Brand=

Id=

PLA Attribute


Control What You Can Control

Sharp image

Accurate Data

Target Structure

Competitive bid

Google Ad Type and Location

Google Algorithmic

Changes

Competition


@AdobeAds 24

PLA takeaways

§  Always play both hands, PLAs and text ads. Spend can be shifted between the two ad types depending on relative performance, but never put all your eggs in one basket.

§  Only push spend on PLAs when you see an increase in impressions and clicks. Bidding up beyond that point will only result in unnecessary CPC inflation with very little incremental volume.

§ Don’t apply the same set of rules or ROI goals to both PLAs and text ads. Scalablility differences mean that the point where their performance converges is not always the most efficient.


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Lots of new comparison formats are coming


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Flights


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Hotels


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Credit cards


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Credit cards… and beyond


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“There will be no banner ads on the Google homepage or web search results pages”


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Mobile


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Explosion in smartphone and tablet devices

0

200

400

600

800

1000

1200

1400

1600

1800

2000

2012 2013 2014 2015 2016 2017

Glo

bal s

hipm

ents

(m)

Smartphones PCs Tablets Source: IDC, Strategy Analytics


Smartphone & mobile internet penetration

33

27% GLOBAL smartphone penetration

By 2017

35% European smartphone penetration

2012

@AdobeAds


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Adobe is forecasting a mobile Christmas

20.4%

9.5% 10.6% 10.5%

14.4%

0%

5%

10%

15%

20%

25%

UK France Germany Netherlands US

Mobile + Tablet share of online sales

Source: Adobe


Mobile ad spend

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$8.9B was spent on mobile ads in 2012 globally

According to the IAB


Google Enhanced Campaigns timeline

36

Q1 Q2 Q3 Q4

Google announces Enhanced

Campaigns

July 22nd cutover for all

campaigns

Adobe support for Enhanced

Campaigns

Adobe MBA suggestions at

campaign level

Ad group MBAs

Adobe MBA suggestions at ad group level


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Capture all ‘revenue’ to calcuate MBA

MBA = Mobile RPC / (Desktop & Tablet RPC – 1)

Include all ‘revenue’ events, e.g.

§  Calls

§  Downloads

§  Registrations

§  Leads

§  Newsletter signups

§  App installs


@AdobeAds 38

Difference in Bid-to-CPC ratio

MBA Device Bid CPC Bid to CPC ratio

0% Desktop/Tablet €1 €0.80 80%

Mobile €1 €0.40 40%

100% Desktop/Tablet €1 €0.80 80%

Mobile €2 €0.80 40%

The same bid on Desktop/Tablet may not yield the same CPC on Mobile You may have to bid higher on Mobile to get the same CPC


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What is Search?


@AdobeAds 40

Google may dominate in Western Europe, but…


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Social players getting into search


Populate your meta-data!

42

Check ins + Likes + Recommendations = Results


Populate your meta-data!

43

Encourage offline customers to connect on mobile


Facebook also becoming a huge player on mobile

@AdobeAds 44


Twitter

@AdobeAds 45

“Twitter is the best way to connect with people, express yourself and discover what's happening.”


What’s the biggest search engine in Retail?

@AdobeAds 46


@AdobeAds 47

3 big themes for 2014

Ads, ads, ads Mobile What is search?

§  The search landscape has more ads and formats than ever – it’s not traditional SEM

§  The world is going mobile – get ahead of the trend

§  Biggest challengers to Google aren’t search engines


Dank!

@AdobeAds 48

@AdobeAds | @searchbeest

facebook.com/AdobeMarketingCloud

http://www.adobe.com/solutions/media-optimization.html


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