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CCT356: Online Advertising and Marketing. Class 3: Pay per Click Advertising. Admin. At least three guest lectures confirmed to come in – Julie Tyios , either/both of Michael Cayley /Christina Wiggings , either/both of Keith MacDonald and Vivian Ip .

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CCT356: Online Advertising and Marketing


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    1. CCT356: Online Advertising and Marketing Class 3: Pay per Click Advertising

    2. Admin • At least three guest lectures confirmed to come in – Julie Tyios, either/both of Michael Cayley/Christina Wiggings, either/both of Keith MacDonald and Vivian Ip. • We will move things about some to accommodate as required

    3. The core of online ads • PPC – pay per click • CPM still exists and is supported by many (including FB) and still is core of traditional media advertising (e.g., million-dollar spots in Super Bowl) • Limitations are clear though

    4. Case: Google • Adwords– buying based on contextual information • Right words = right placement • Auction-based system for placement and payment on clickthrough • Sponsored links – changes nature of search • But also democratized ads – you and I can easily advertise if we so choose • Obviously successful – Google and FB revenue models largely based on PPC

    5. Initial controversy • Early days of search – concerns about placement – similar to issues of net neutrality • Do people who pay more deserve better/consistent placement? • How can search engines operate without a revenue stream? • What about situations like Wikispaces?

    6. Basic structure of Adwords • Heading • Two lines of text • URL • Can be difficult to smash everything you need to say in such limited space • Various rules

    7. Keywords and match types • Broad • Phrase • Exact • Negative • All based on standard search techniques/technologies • The more precise you are, the more likely you get what you want – and the less likely you get random but helpful connections

    8. Broad • Allows for variations and synonymous terms (e.g., “sneaker” vs. “shoes” – obviously the same thing) • Allows for common misspellings (e.g., “did you mean X?” will show ads for X.)

    9. Phrase • “tennis shoes” = only search phrases that include that specific phrase (but can include other words) • Advantages/drawbacks?

    10. Exact • [tennis shoes] = this and only this will trigger ad • Advantages/drawbacks?

    11. Negatives • (-) X = if people are searching for something that has an imprecise meaning you can exclude common misinterpretations • Examples?

    12. Ad placement – a delicate balance • A complex mechanism – unlike traditional ads • Bidding based on price points, min/max PPC • Placement based also on relevance (signal/noise) : relevance of keyword, search term, ad copy, landing page, previous CTR history • Advertisers want attention • Search engines want relevant attention

    13. CTR, PPC, CPA, ROI • Click through rates (CTR) dependent highly on position • If you’re aiming to be result #1 on Google, great – why? • CPA = cost per acquisition. • What are you acquiring? • ROI should be based on that.

    14. Long Tail • Internet has democratized access to content – everyone technically equal • Allows for niche products to stand out – at least more so that in standard practice • That noted, people are still pretty predictable and follow patterns – there’s just so many more patterns to follow

    15. Steps to effective PPC • Research • Define Goals • Define Budget, CPA • Keyword research • Write ads • Place bids • Optimization

    16. An effective landing page • You only get one chance to make a first impression • Should represent value of product or service • Avoid annoying Flash intros – pointless, no value add, and inaccessible for most mobile devices

    17. Keyword guessing • Part art, part science • Many tools provided in text – when planning campaign, best to make an educated guess on words that will be inevitably used

    18. A note on PPC fraud • Not a new phenomenon – 1-800-USA-ARMY example • Mischievous behaviour continues • More control to combat this – if you pay attention • Monitoring is key – you have access to the best stats available, and it’s your problem if you choose to ignore them

    19. Overall benefits • Very low cost barrier – again, we can all advertise online right now, if we’d like • Tracking of costs - micro level stats exist – use them • Filters allow for very precise targeting • Contextual ads = appreciative audience – they’re often quite interesting

    20. SEO/SEM • A very lucrative field • Not “hacking” as much as using the tools available to the best of your ability • Be wary to keep a certain moral compass around – people who violate basic rules poison the water for everyone

    21. Next couple of weeks… • More on SEO/SEM and affiliate marketing – foundation of social media marketing