Search Marketing InsiderPay Per Click, Social Media and SEO Strategies – An Internet Marketing Institute Publication

By Mary O’Brien, Founder/Director, PPC Summit  

A couple of weeks ago I had the opportunity to attend SES San Jose. I hadn’t been in a couple of years, and I was really curious to see what an SES conference looks like now, given the recessionary state of the marketing Industry.

The good news is – Search Engine Marketing is obviously alive and kicking with no chance of decline in the foreseeable future, so if you are thinking of learning a marketing skill to complement your resume and make your career recession proof, Pay-Per-Click, SEO and Social Media will definitely make you more marketable.

Although attendance was down a little bit the conference was still vibrant and focused as usual on the future and big picture of Search Engine Marketing. What was interesting this year was that attendees were actually paying attention, and using the conference to its best advantage. In years past when I attended SES it seemed like all anyone was focused on were the cool tchotchkys that were being given away at various booths. This year folks were actually attending sessions and networking with each other, with the intent of making themselves more interesting to future employers, or even better, going out on their own and getting clients.

Maybe it was the lack of a Google Dance that caused this shift.  In previous years it seemed like the Search Engines went out of their way to compete with each other on who could hold the biggest, craziest party, but this year, it was a much more focused event, totally in keeping with every Search Marketers need to do more with less budget.

So why does learning Search Engine Marketing make you more marketable as a marketer?

From SEMPO’s State of Search Engine Marketing Report and Survey, released in February 2009:
• The North American Search Engine Marketing industry grew from $9.4 billion in 2006 to $13.5 billion in 2008
• North American Search Engine Marketing spending is now projected to grow to $26.1 billion in 2013, up significantly from the $18.6 billion forecast in 2007.
• Pay-Per-Click captured 88.4 percent of 2008 spending, up 1% from 2007; organic SEO captured 10.6 percent
• Budgets are shifting to Pay-Per-Click. About a third of respondents said their funding for Pay-Per-Click came from a mix of new and existing marketing funds. Another third reported using entirely newly allocated budgets

Reuters also reported that while online advertising isn’t growing at the rate that print advertising is declining it IS still growing even as the economy all around us is shrinking. Basically, Search Engine Marketing is pretty recession proof. Advertising dollars are still available but they appear to be moving online, and over 85% percent of that is for Pay-Per-Click.

This is important for two reasons:
1. This will give more companies the incentive to advertise online in case their competitors beat them to the punch.
2. Those companies will need knowledgeable, talented and properly-trained people to execute a great Search Engine Marketing campaign.

When times are not so good, more businesses are willing to push budgets online. When times get better, do you think that is going to change?

The numbers from SEMPO show that nowadays a larger number of businesses get the importance of not only having a Web presence, but are working hard to maintain their visibility. Now that the economy is slow, budgets are being pulled from other sources and moved online.

What does that mean for the future of Search Engine Marketing?  Basically, as a marketer, a large percentage of your time should be focused on SEM. You should be doing it, researching it, learning it and staying current with all the nuances and changes.  You don’t necessarily have to be an expert at every part of it, but you should know who the experts are, the best tools to use and also how to get access to info when you have a question.

So even in a recession continue your Search Engine Marketing education. Go to conferences, training and seminars that can help you to learn, network and improve your marketability. You’ll meet amateur and professional Search Engine Marketers and business owners, create great peer relationships, and learn more skills. If your current company has cut their training budget, considering paying for training yourself.  That way you’ll truly make yourself recession proof along with Search Engine Marketing. It doesn’t necessarily need to be a huge expensive conference, as long as it meets your specific education needs. Go where you can learn the most about the skill that will make you the most marketable right now. This is a great time to invest some marketing dollars in yourself.

by Heather Schwartz, Account Executive at Anvil Media, Inc.

It’s never too early to start getting ready for the holidays whether it’s shopping if you’re a customer or prepping your strategy if you’re a marketer.  Here are some things to start thinking about the upcoming 2009 holiday season for your online marketing efforts, specifically for Pay Per Click (PPC) advertising.  First let’s look into last year’s holiday season and expectations for this year to get a good understanding of the 2009 holiday landscape.

Holiday Season 2008
According to comScore, e-shopping sales in 2008 were over $130 million, a 6% increase in sales from the 2007 holiday season, and among the top 500 internet retailer’s sales in 2008 increased 12%.  From this we can conclude that more people were shopping online in 2008 compared to 2007 and that larger retailer sales are growing at a faster rate.  In a study done by Coremetrics, department stores and gifting sites saw an increase in conversion rate over the 2008 holiday season, while luxury goods retailers saw a decrease in conversion rate.  Why you ask?  Because the department stores and gifting sites adapted to the economy, they offered early discounting, they changed their merchandising to feature value items at lower prices and they added buying incentives for customers, like free shipping.   The retailers who continue to change and adapt to their customers needs and wants (within reason) are the ones that will prosper.

2009 Holiday Forecast
In order to properly prepare for this year’s holiday season, some research needs to be done first.  Below are Coremetrics’ forecasts for the 2009 holiday season:
• Shoppers will be shopping earlier this year and buying value orientated, incentive driven items.
• Potential for increase in cost/order, because customers will be shopping in more sessions therefore clicking on more marketing programs.
• Targeted email and display ads will play a bigger role this holiday season.

So, here is your friendly reminder – get ready for the 2009 holiday season, consider offering more promotions, like free shipping and feature products that aren’t necessarily the most expensive on your site.  (Keep in mind you don’t want these promotions to negatively affect your bottom line, be smart about your offerings.)  Also if you’re already running PPC on the Search Network, consider running on the Content Network on sites that directly target your customers.  So, how should you get started for the holiday season?

PPC Ad Text for Holiday 2009
1. Look at your campaign history.  If you included holiday messaging in your campaigns last year, what types of ads had the highest CTR and conversion rates? For those top performing ads can you translate the messaging for this year?
2. Continually test ad text.  There are several options when it comes to A/B testing ad copy.  For the holidays, test what type of promotion increases CTR or conversion rate.  Test the headline on your ad, for example, one that includes pricing v. one that doesn’t.  Once you have collected enough data, pause the non-performing ad, copy the ad that performed better and slightly tweak the messaging to continue testing.
3. Competitive research.  Don’t forget to do some holiday recon, look at what your direct competitors are saying in their ad text.  What type of offers/promotions are your competitors offering?
4. Create a schedule for the launch of your new ads, paying close attention to the following dates:
      a. Black Friday, November 27th – only 28 shopping days until Christmas this year.  Last year’s holiday season was the start of the shorter time period between Black Friday and Christmas Day.  In 2007, this period was 32 days, which is over a 12% decrease in the number of shopping days from 2007 to 2009.  This decrease in the shopping period is influencing customer’s buying behaviors to start shopping earlier.
     b. Cyber Monday, November 30th – this day continues to be a bigger day each year, with more people shopping online.
     c. Christmas Day, December 25th – continues to be a big shopping day for people doing returns or exchanges, customers buying complementary goods, using their gift cards, buying additional gifts online and buying products that were forgotten.

PPC Keywords for Holiday 2009
1. What keywords performed well last holiday season?  Instead of setting bidding strategies based on last month’s performance, take some time to review last year’s performance and make decisions based on last year’s holiday season.  Was there a specific keyword category that did particularly well in terms of sales, will this be the same for this year?  Look to popular trends to help determine “top sellers” and manage budget accordingly. 

2.  Revisit your negative keyword list.  Are there any particular holiday related negative keywords you could consider adding to your campaigns?

3.  If you are bidding on holiday related keywords, keep an extra close eye on the CPA and ROI at the keyword level, often times these keywords are expensive and don’t show goal return.

PPC Landing Pages for Holiday 2009
1.  If your ad text has holiday messaging be sure this gets translated to your landing page.  Same goes for promotions.
2.  Imagery.  Update any relevant images on your landing page with holiday related imagery.
3.  Revisit the conversion funnel on your site; make sure the appropriate merchandising is holiday related for cross selling and recommendation opportunities.  Do you have any gifting options on your site?  Also, make sure your internal search engine delivers gifting related results to relevant inquiries.

In summary, today is not too early to start planning your PPC campaigns for the holiday season.  Before it’s too late, determine your key benchmarks and goals for the holidays.  Start testing different verbiage or promotions now so you have a leg up on the competition before the holidays hit, and if something is working in one medium try to translate that across all your marketing efforts if applicable.

I hope the above takeaways regarding ad text, keywords and landing pages get you excited for the 2009 Holiday Season and jumpstart your PPC strategy.

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Heather Schwartz is an Account Executive at Anvil Media, Inc.  Heather  graduated from the University of Oregon with a BS in Marketing and a minor in Communication studies.  Heather has been working with Anvil Media in Portland since 2008 specializing in B2C ecommerce clients such as lucy activewear, Tea Collection and Ellington Leather, developing SEO, Social Media and PPC campaigns to increase clients online visibility and ROI.

By Kelly Larsen, Director of Marketing PPC Summit

Advertisers continue to shine a bright light on Paid Search marketing. In fact, the Internet Advertising industry was recently named the only advertising medium that is expected to grow this year, according to Zenith Optimedia.

As more and more companies leverage the search engines and Paid Search to grow their business, it’s no surprise that Internet ad spend is expected to grow 10.1% globally this year, and Paid Search boasts an even stronger 20.0% growth projection*. Paid Search has literally stomped on the other advertising mediums, and has become the fastest growing advertising channel because it delivers more targeted traffic, greater budget control, more accountability and can generate immediate revenue–of course, when done right.

If you take a look at the Search Marketing industry advertising spend in the last 12 months, you’ll see advertisers are getting more creative with their Paid Search spending. The Marketing Sherpa chart below shows recent results for a search marketing ad spend study where nearly 70% of respondents use Google search ads, 32.6% use Google contextual ads, 27.6% use Yahoo search ads and Facebook advertising is now becoming a valid option with over 3% of advertisers now using it. The industry is now being fueled with advertising through new publishers and social sites that offer display ads on a CPM basis or Pay Per Click.

Zenith Optimedia reports the search advertising increases are attributed to Microsoft’s new Bing search engine, “…a welcome competition to Google and should spur further innovation in search.” Bing is worth watching and is surprisingly competitive with Google. The report also adds that new search technologies are reducing entry costs, providing a lot of new competition for established advertisers. The competition to attract search engine users–and your potential customers, will only get more intense. Savvy Marketers will spend their ad dollars on Search to ensure higher ROAS (Return on Advertising Spend).

Staying current on industry trends and innovations is a must in order to compete in the over maximized online advertising space. Even though there are many online resources that Internet Marketers can access (BtoB Online , MarketingProfs , Search Engine Watch , iMedia Connection , eMarketer , Marketing Experiments and Search Engine Land), many of us simply don’t have the time or resources it takes to do the necessary research.

If you don’t have enough time in the day, training may be a better option. And it can also be worth its weight in gold when you learn those little nuggets that turn under performing campaigns into profits. Whether it’s online or in-person training, justifying training costs becomes easier when it means the difference between successful or failing campaigns.

We’re getting ready for upcoming Pay Per Click Summit’s in Los Angeles and Chicago where Search Marketing’s brightest and most experienced will teach cutting-edge Search Advertising techniques that focus on how to do more with less.

We hope to see you there!

Kelly Larsen
Director of Marketing, PPC Summit

*Source: Zenith Optimedia, July  2009 Ad Spend Projections.