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SEM: Highest ROI since ….

SEM: Highest ROI since …. News from the world of Search Engine Marketing. Are you a player in the hottest marketing strategy since:. Bill Cosby yelled at us to ‘get out of that Jello Tree’ Farah Fawcett passed her shampoo to all her friends Some little old lady was looking for some protein.

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SEM: Highest ROI since ….

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  1. SEM: Highest ROI since …. News from the world of Search Engine Marketing WebMama.com Inc. 2005 Web Design World 2005

  2. Are you a player in the hottest marketing strategy since: Bill Cosby yelled at us to ‘get out of that Jello Tree’ Farah Fawcett passed her shampoo to all her friends Some little old lady was looking for some protein WebMama.com Inc. 2005 Web Design World 2005

  3. Why Search is HOT! • Pull Marketing • High ROI • Localization (yellowpages search) • Personalization (social network search) • More shoppers buying online via search – shopping engines • Google IPO • Revenue at Yahoo • MSN getting in the game WebMama.com Inc. 2005 Web Design World 2005

  4. Much to Talk About • State of the Industry • Smarter Searchers/Smarter Results? • What is Search Marketing? • Contextual – are they just banners? • What does Search Marketing have to do with Web Design???? • Where next? WebMama.com Inc. 2005 Web Design World 2005

  5. Search Evolution – text-based ads 4Natural/Organic 4 Impression Based 4 Paid Inclusion 4 Pay-per-Click WebMama.com Inc. 2005 Web Design World 2005

  6. WebMama.com Inc. 2005 Web Design World 2005

  7. WebMama.com Inc. 2005 Web Design World 2005

  8. WebMama.com Inc. 2005 Web Design World 2005

  9. Industry Update • 4000 visitors at SES Chicago • Carat Interactive largest buyer of PPC worldwide? • 42-47% of online marketing budgets spent on search • 2-5% of advertising dollars spent online WebMama.com Inc. 2005 Web Design World 2005

  10. Cost per Lead Across Various Direct Marketing Methods $12.00 $ 9.00 $ 6.00 $ 3.00 $ 0.00 $9.94 $2.00 $1.18 $.50 $.45 | | | | Search e-Mail Yellow Banner Direct Pages Ad Mail Source: U.S. Bancorp Piper Jaffray, The DMA WebMama.com Inc. 2005 Web Design World 2005

  11. Have we got all the Eyeballs already? Running out of search impressions, running out of english-speaking searchers. French speaking? Spanish speaking? WebMama.com Inc. 2005 Web Design World 2005

  12. Pieces of the Pie WebMama.com Inc. 2005 Web Design World 2005

  13. State of Media Providers • Yahoo • Google • MSN • Others WebMama.com Inc. 2005 Web Design World 2005

  14. Smarter? • Searches are 2-3 words now • Searchers are using search boxes to find things they already know where to find • ‘ebay’ #1 search term • Getting used to seeing ads and not clicking on them, kind of like banners • Better organic results? Spam Busters. • Better targeted local results -yes WebMama.com Inc. 2005 Web Design World 2005

  15. What is Search Engine Marketing? Text-based online advertising WebMama.com Inc. 2005 Web Design World 2005

  16. Google Adwords – Paid Search WebMama.com Inc. 2005 Web Design World 2005

  17. Organic/Natural Listings WebMama.com Inc. 2005 Web Design World 2005

  18. Content-Based Ads WebMama.com Inc. 2005 Web Design World 2005

  19. Search Engine OptimizationNatural and Organic Results Visibility • More important than ever • PPC prices going up • 60% of people click on organic • Big companies are playing now • But only 10% of large B2B companies are ‘doing’ SEO • Competition is heating up • Consultants can charge more money for SEO services • Monthly Retainer • Changes don’t happen as often • Should Web Designers add it to their repertoire? WebMama.com Inc. 2005 Web Design World 2005

  20. Fundamentals Don’t Change • Architecture • Linking • Technology • TITLE tags • Meta Tags • Content, Content, Content WebMama.com Inc. 2005 Web Design World 2005

  21. Keyword Selection Beware the CEO-ego!! WebMama.com Inc. 2005 Web Design World 2005

  22. Legacy Terms vs New Markets • Choose Keywords that searchers search for  • Hard choices • Look at PPC conversions • Look at referral traffic and how far they get into the site • Look at wordtracker • Look at PPC traffic estimates WebMama.com Inc. 2005 Web Design World 2005

  23. Challenges to Site Optimization IT Opinions and Processes • They are not marketers • They should not control the lead generation on the website or for the company WebMama.com Inc. 2005 Web Design World 2005

  24. FLASH www.hp.com/music WebMama.com Inc. 2005 Web Design World 2005

  25. Elements of Search Engine Marketing • Paid Inclusion • Pay-per-Click • Contextual • Behavioral • Shopping Engines • Local Search (IYPs, Guides) WebMama.com Inc. 2005 Web Design World 2005

  26. Paid Inclusion • A must do • Cheaper (.20-.30c/click) • Critical to Yahoo rankings • Example – ‘management’ • Leads to a more enticing result – better for lead generation • Makes Yahoo results more relevant WebMama.com Inc. 2005 Web Design World 2005

  27. PPC • High ROI - 10x banners? • Costs are dropping on generic words and increasing on 2-3 phrases • Broad match is default on Overture and Google now • Conversion analysis is changing the way people bid • Bid Management important if budget is a concern WebMama.com Inc. 2005 Web Design World 2005

  28. Branding • 12% uplift in Brand awareness with PPC ads – IAB report • Visitors are more likely to click another time • Lower Conversion rate • Different metrics for branding and awareness campaigns • Higher Cost for trademarks • Do you need to bid on your trademark? WebMama.com Inc. 2005 Web Design World 2005

  29. PPC/SEO advertising is PULL Marketing You aren’t beating people over the head to get them to click on your ad. They are looking for you! WebMama.com Inc. 2005 Web Design World 2005

  30. Contextual • Beating people over the head but softly • Shows up when content contains keywords in PPC campaigns • Does not convert as well • Prices will come down • B2B – does not seem to be useful • Aside: Syndication of Google results increases traffic by 60% but quality goes way down WebMama.com Inc. 2005 Web Design World 2005

  31. Behavioral Pay-per-click WebMama.com Inc. 2005 Web Design World 2005

  32. Shopping Engines • Google – froggle is free but not well used • Others are ppc / XML feeds primarily • Results show all competitors at same time • Examples WebMama.com Inc. 2005 Web Design World 2005

  33. Local Search • Natural Search Results looking for local information • www.kelseygroup.com/conferences \ • Amazon A9 example WebMama.com Inc. 2005 Web Design World 2005

  34. Challenges with Search • Changing all the time • Limited inventory of impressions • Relevancy (IMHO) is getting worse • Spammers are winning – we need another Florida update • Affiliate marketing in SEM needs to be managed WebMama.com Inc. 2005 Web Design World 2005

  35. Challenges of SEM/PPC • Lack of tools to make it easy for small business • Changing landscape • Hard to determine budget and spread out advertising at the same time • People aren’t using conversion tools • Large companies win at SEO • We are still in the pimple stage WebMama.com Inc. 2005 Web Design World 2005

  36. What’s Next? • Higher quality local • Better Spam Controls • Best Practices and Standards • Yahoo integration with Overture • MSN PPC, etc • More portal functions from Google • And the next search engine is ….. WebMama.com Inc. 2005 Web Design World 2005

  37. SEMPO Search Engine Marketing Professional Organization Established to educate marketing managers worldwide on the value of search engine marketing. Join us – www.sempo.org WebMama.com Inc. 2005 Web Design World 2005

  38. Resources for Learning and Selling SEM • www.searchenginewatch.com • www.sempo.org • www.webmama.com • www.highrankings.com • www.marketingsherpa.com • www.emarketer.com • www.clickz.com WebMama.com Inc. 2005 Web Design World 2005

  39. Thank you. Barbara Coll bcoll@webmama.com WebMama.com Inc. 2005 Web Design World 2005

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