1. PPC Marketing Process
Managing your pay per click business performance requires these activities:
Strategy and planning to drive clicks, conversion and lead generation:
Keyword or market segment selection
Proper ad copy
Presentation of value proposition for targeted markets
Best costumer acquisition or contact practices
Monitoring and reporting on progress of campaign
1. Achieving Business Objectives
Why are you initiating this type of advertising program? Is it clear what your objectives are,
how to achieve those business objectives and what success looks like? Clarity on these
questions will help to limit risk and ensure the chances of achieving business success.
Determining Business Objectives for Pay per click search engine advertising
Search engine advertising or more specifically pay-per click (PPC) advertising can drive
targeted traffic to your web site on through a pay-for performance model. Pay per click
search engine advertising can fulfill three major objectives:
1. Driving targeted visitors to your web site
a. Defined campaigns – The ability to purchase traffic and translate that into
leads with little start-up costs makes PPC search engines the perfect means
to use on short run campaigns. Other benefits include:
• the ability to turn the traffic off once a particular campaign is finished,
• calculating return-on-investment through defined reporting
mechanisms
• generating traffic without substantial web site modification, if any
b. Potential market trials – If you are unsure about some potential market
segments and want to investigate the ability to generate leads out of that
market at low cost then pay per click advertising may be a good web
marketing initiative to experiment with. Remember, that you are targeting a
particular keyword or market segment, but you can also target within the
market segment by tailoring your ad (title and description)… it’s advertising
after all. Summary benefits include:
• Low cost targeted advertising trial
• Many customer targeting options
• Ability to decide term and cost of advertising
c. Visitor Gap or Supplementary traffic generation - Your web site attracts a
defined visitor demographic or profile and is based on the content you have
in your web site. Your visitor demographic may or may not be meeting your
current web or business objectives. Pay per click may provide a means of
fulfilling those objectives by providing the means of attracting a different
demographic or visitor.
d. Stop Gap Traffic Generation – You have committed to a natural web
2. positioning initiative, however implementation and search engine registration
are months away from completion. To many companies, this waiting period is
unacceptable for business development. Pay per click advertising may
provide a stop gap means for traffic generation in the interim.
2. Market research for customer conversion
Pay per click is a cost effective means of limiting risk through evaluation market
segment conversion (simply, it is a means of determining how significant extraneous
or new markets are for your organization).
The business success equation:
Business Success = Market Demand x Market Conversion – Competition
To achieve business success we must know market demand. Information on market
demand can be gathered from various online sources including our own proprietary
database of search engine searches. These databases constitute the business
intelligence of consumer behavior and can be used to gauge Market Demand.
However, it is not enough to be armed with Market Demand information, since an
educated guess about how to distribute marketing budgets across each market
segment must still be made.
Market conversion data can be derived from pay per click search engine
advertising. Of course, proper management of the search engine advertising
campaign must be done to achieve a maximum # of impressions to normalize
across each market segment category. Furthermore, conversion parameters should
be defined to determine the criteria for campaign success
Lastly, a competitive analysis will help to gauge the relative difficulty of penetrating a
particular market segment.
3. Branding
Besides lead generation, an added benefit to pay per click (PPC) is branding. Since
the premise of PPC advertising initiatives is to pay for the visitor conversion, the
impressions are therefore a freebie. With every impression your brand realizes the
benefit of brand impression. For example, you can position your company with
larger well known brands and even though you don’t get a click, your brand will still
be noticed – brand impression. If you get a click then you benefit from brand
association to the product or service that was being searched for (ie. A search
engine visitor searches for car and clicks on the Ford web site, therefore, Ford =
car; a complete brand association).
3. 2. Choosing the Right Keywords (Market segmentation)
Should I use “market segmentation” or “market segmentation software”…. “fashion” or
“leather jacket” … “furniture” or “chaise lounge chair” … “marketing service” or “marketing
services”? Once your business objectives are defined, choosing the right keywords will set
the foundation for the search engine advertising program. It’s all about market
segmentation. Market segmentation is the selection of groups of people who will be most
receptive to a product and be most likely to purchase or inquire about your offering.
Pay per Click Keyword Selection (Market Segmentation)
One of the keys to successful pay per click marketing begins with the keywords you use.
Starting with our Keyword Market Research, identify the right keywords which resonate
with your target markets.
Not only is this a matter of choosing the right keywords, but it is critical that you
understand market segmentation and appropriately target the keywords. There is a fine
balance to be established between developing a PPC campaign that is too broad and too
narrowly focused:
Too broad: You’ll pay for lots of clicks with very little conversion of visitors to
customers – little or no ROI
Too narrow: You’ll miss potential customers and convertible visitors. You won’t pay
much, but you’ll risk being dropped (i.e. Google AdWords).
Internet users are becoming more experienced at searching and now tend to use longer,
more specific search strings. You can use this to your advantage as well because the more
specific the string, the lower the bid price is likely to be. This will also reduce your
expenses for clicks and result in a higher qualified visitor, increasing your conversion
chances.
Understand the similarities and differences in the way different pay-per-click search
engines qualify and establish keyword placements and rankings. Ideally a good PPC
program takes advantage of several providers (i.e. Google and Overture) to maximize
user/visitor conversion, playing the strengths and weaknesses of each against each other.
This results in maximum ROI for your campaign.
4. 3. Customer Sales Cycle Conversion
Now that you have a potential customer’s attention and have brought that individual into
your sphere of influence, can you now turn that person into a paying customer?
Remember any visitor driven from a pay per click advertising campaign is no longer an
anonymous visitor. This visitor now has a profile, having searched for a particular product
or service based on an associated keyword, clicked on a compelling ad or proposition and
now is in your web site. Are you providing the proper value propositions based on their
customer profile to generate a lead? Is your web site contextualized to every customer
segment that you are targeting?
Sales Cycle Conversion or Lead Generation
Getting a search engine user to click on your pay per click link is just the start of the battle
to gain a customer. As the saying goes, “That and 50 cents will buy you a cup of coffee.”
You have just paid for a targeted search engine referral to your web site. Will you be able
to maintain their interest and finally convert the visitor into a customer? Does your web
site address their specific needs? How much investment does that visitor have to make in
your web site before finding the information they are looking for?
First, where does that click take them? Does it go to your home page or does it take them
to product information or does it take them to an inquiry or form page to capture
information for a call back, or a page supported by an analytics program that can track
visitor data or start visitor interaction? Most web sites are built to address the general
needs of their customers or potential customers. However, web personalization can serve
to increase the conversion rate of web visitors by decreasing their time investment of
searching for the information they need, and by emulating that 1-1 relationship required to
influence their buying decision.
There are numerous online selling systems that help to identify the anonymous web visitor
and help to personalize any page that a visitor may land on. These customer relationship
management systems work on business rules and general customer behavior patterning,
but can be costly. An alternative solution, at least for search engine advertising, where you
can control where you drive visitor traffic is to create landing or ghost pages. Landing
pages can be tailored to contain your value proposition, additional information and links
pertaining to the search engine ad they originated from and various ways that a visitor can
contact your company. A pay-per-click interaction should be so powerful that the visitor and
that page are the only two things that matter at the moment of the click.
5. 4. PPC Campaign Management
Campaign management is an ongoing process that is dependant on competition and on
the pay per click process itself, which is based on a bidding system. Bids can fluctuate on
a minute, hourly or daily interval and therefore the position or visibility of your advertising.
It is important to manage and optimize against these fluctuations to maintain a solid
campaign plan.
Pay per click campaigns are not something you can simply set up and forget until your
budget runs out.
A PPC campaign is conducted in a highly competitive auction environment. Remember the
reason you’re here – you know certain keywords are valuable and you want to be among
the first choices for users. You’re not alone and you can pretty well be assured that
whatever you’re willing to pay for a click, someone will be willing to pay more.
Each day there are competitors appearing in the auction and others packing it in. Where
the bid price you set might have been too low yesterday, it might be too high tomorrow
depending on the competition.
Daily management and sometimes even constant management may be required to ensure
that you are able to achieve a Top Three listing placement and to manage your bids. One
way this can be done is bid price monitoring.
For example, your two main competitors are already running pay-per-click campaigns for
the same keywords you want. Competitor One is willing to pay 75 cents for the first listing
position and Competitor Two is willing to pay 45 cents which gives him second position.
With proper monitoring, you can identify the opportunity to slip into second place, paying a
slight premium over Competitor Two, but without having to spend as much as Competitor
One to achieve virtually the same visibility. Maintaining this position requires ongoing
monitoring and the agility to respond to changes in your competitors’ tactics.
Pay per click (PPC) Comparisons
You have determined you want a pay per click or cost-per-click campaign; you have
determined how much of your marketing budget to devote to it; and you have an idea of
the keywords you want to use and know the target user/visitor you are trying to reach.
Where to go depends on many things including the process, reach and target search
engines. To get an idea of some considerations, here’s a look at the three top dogs –
Google AdWords, Overture Pay-for-Performance and LookSmart:
6. 5. PPC Reporting
Tracking your PPC click-through rate and conversion rates are required for measuring the
efficacy of your PPC marketing initiatives. This will also help to determine the return on
investment of the marketing campaign and whether to maintain, augment or cancel the
initiative. Furthermore, as an added value, the information gathered can help to determine
the relative value of customer conversion for each market segment for the purpose of
natural positioning.
Knowing how your pay-per-click campaign is performing is crucial not only to its success
but to your entire marketing strategy.
Over time, we’ll determine your conversion rate – visitor/lead/customer – of your program
and make the appropriate modifications to maintain or increase the conversion rate.
We can also compare your lead generation and click-through data to modify natural/free
search engine positioning submissions to increase your overall search engine optimization
efforts.
Furthermore, the data gathered on the pay-per-click campaign can be used to improve the
success of traditional marketing programs to make sure they resonate with potential
customers (i.e. mail campaigns, advertising, in-store displays, etc.
Contributor: www.piyush.info
Google AdWords
Speed& Ease of Set-Up
Start-UpCost $5& then you're billed monthly after the clickshave been delivered.
Type of Listing
ClickCost
Partners AOL(USA) & Sympatico.ca. You can opt-out of appearingon the sponsor pages.
Accept Affiliate Links? Yes, but you must identify yourself asan affiliate in your ad.
EasytoChange Details?All automated online. Changesare in effect within minutes
Instant. You set up your account online and within minutes, your ad appearsin
the search results.
You appear asaSponsor listingon the right-hand side of search results. Your
ad isranked based on the price you bid & your click through rate (CTR- the
number of timesyour ad isclicked divided by the number of timesyour ad is
shown).
You specify amaximum bid for each keyword and you are never charged more
than apenny more than the next bidder.