Adchmey leverage existing_data_retail_ppc_feb2012

Six Strategies to
Leverage Existing
Data to Expand Retail
PPC Campaigns

A Search Marketing Now E-Book

Six Strategies to Leverage Existing
Data to Expand Retail PPC Campaigns

Introduction
Unlike any promotional channel in history, search engine marketing provides precise, attributable and actionable
performance data. With the advent of website analytics, online retailers can gain a world of insight into their
product catalog and profit margins, website audience, conversion rates, engagement levels, and the list goes
on and on. Retailers can track the actions and navigation patterns of every single visitor to their website; also
retailers can analyze the performance of every channel that drove traffic to their website. Needless to say, all of
this data can be extremely insightful – but also daunting at the sheer magnitude.

The ability to interpret complex performance trends driven by search engines such as Google and Bing is mission
critical when managing pay-per-click (PPC) campaigns covering diverse product catalogs. Advertisers have to be
able to take an ocean of data and boil it down to actionable analysis that will improve their PPC advertising efforts
and grow their business.

Retailers no longer have to guess which channel is generating sales and how users are responding to their
messaging. Advertisers can utilize existing data already generated by their campaigns in order to optimize their
performance as well as expand their PPC accounts to gain higher search query share and generate more sales.
The biggest challenge facing PPC managers is determining which statistics to analyze, how to interpret the data,
and what actions need to be taken.

This eBook covers many of the strategies that online retailers can implement in order to expand their PPC
campaigns by utilizing the data that resides in their Google AdWords, Microsoft adCenter and Google Analytics
accounts. The expansion tactics that are covered within this publication include:

• Search query analysis

• Organic traffic analysis

• On-site search analysis

• Visitor device analysis

• Impression share analysis

• Placement performance

2 © 2012 Third Door Media, Inc. http://searchmarketingnow.com • Email: whitepapers@searchmarketingnow.com • (203) 664-1350


Search Query Analysis
Search Query Evolution
According to a recent Experian Hitwise study1, approximately 48% of all search queries are two words or less. These
queries are often called, “head terms.” However, 52% of search queries are three words or longer. These longer
queries are often called, “long tail terms.” As indicated by the chart below, users are starting to use longer search
queries more frequently than before.

Longer search queries could be the result of a few factors:

• User evolution – People are now comfortable using search engines with more regularity. As people use search
engines more often they learn how to get the best information quickly. Search engine users are learning to
append modifiers to their search queries in order to specify their search query. Think about how your search
habits have evolved over time. The way you searched three or four years ago is probably very different from how
you search now.

• Search engine evolution – Search engines are aiding users to refine their search queries. With the introduction of
Google Instant and search suggest, users are automatically provided with variations of their intended search query.
Below is an example of the Google search engine results page (SERP). You can see that we started to search for
“organic vitamins” and Google provided a series of suggestions trying to anticipate what I’m actually looking for.

Search queries are not only getting longer, they are getting more varied. In fact, there are more than a billion
searches on Google every day; and 16% of these queries have never been seen before2. This means that Google
sees 160,000,000 new search queries every day.

What does lengthening of search queries mean? What is the importance of the ever-changing search query? More
importantly, what does this mean to online retailers and how can they take advantage of these trends?
1
http://www.marketingcharts.com/direct/longer-search-queries-increase-19101/
2
http://www.google.com/ads/answers/numbers.html



Online retailers advertising through paid search results can take advantage of lengthening search queries and search
query variation by expanding their keyword lists in order to increase traffic and sales. All of the keyword data that an
advertiser needs to expand their campaigns already resides within their search query performance.

First, we need to review the difference between a keyword and a search query. Advertisers load keywords into
their PPC campaigns and these keywords are matched to users’ search queries. A search query is the actual word
or set of words a user enters when searching on Google or Bing. A keyword is the word or set of words AdWords
advertisers create for a given ad group to target their ads to potential customers.

For example, if an advertiser loads the broad match keyword organic vitamins into their campaign, this term may
appear on search queries such as:
• Natural, herbal vitamin variations
• Prenatal vitamin variations
• Vitamin shops, store locations, drug store variations
• Vitamin brand name variation
Google’s matching algorithm can take many liberties when matching an advertiser’s keywords to searches.

How to Run Search Query Reports
Here are the step-by-step instructions to view the actual search queries that triggered your ads in AdWords:
1. Log into your AdWords account
2. Choose a campaign, and an ad group
3. Select the “Keywords” tab within any campaign or ad group
4. Within “Keywords” tab, click on the dropdown option for “See search terms…”
5. From the dropdown menu select the option for “All”
6. Download the information into Excel by clicking on “Download”

Here are the step-by-step instructions for viewing raw search query data within Microsoft adCenter:
1. Log into your adCenter account
2. Select the “Reports” tab within the main account navigation
3. Choose to “Create a new report”
4. From the Basic settings section of the report, choose “Search query performance” from the drop down menu
5. Select your unit of time
6. Select your date range for the report
7. Within the Advanced settings make sure to choose the right account
8. Make sure to add the conversion data columns to the report within the “Change columns and layout” section
9. Click on the “Create new report” button

How to Prioritize Search Query Analysis
A search query report can contain hundreds, maybe even thousands of search queries. Extracting actionable data
can be difficult. Prioritizing your analysis is the key to utilizing this report to its fullest potential in order to grow a
campaign. Following the steps the below will help you sort this report quickly:

1. Sort by match type: This report may contain all of your keyword match types. For the purpose of expediency,
focus your analysis on the search queries that were delivered by your broad match keywords.

2. Sort by impressions and/or clicks: Sort the data so that the search queries with the most traffic are at the top
of your report. There will be numerous search queries that have very few impressions, clicks and cost and those
should be excluded from your analysis. This will allow you to focus on the terms that are actually generating



visitors to your website.
3. Sort by conversions and CPA: Once you have determined the search queries that are generating the most
traffic then you should turn your attention to the terms that are driving the most conversions. Sort the report by
search queries with the most conversions and lowest cost-per-acquisition (CPA).

4. Add new targeted keywords: Through these sorting methods, you should have search queries that displayed
for your broad match keywords and that are generating the most traffic and conversions. As we mentioned
earlier, search queries are getting longer and many unique search queries appear every day. You may find
search queries such of these in your report, and they may be worth adding to your keyword list to expand your
campaign:
• Action/Purchase related (such as “buy,” “purchase,” or “find”)
• Product feature or benefit descriptions
• Elements/Ingredients/Components of your product or service
• Location based queries that mention specific locales

5. Add keywords to exclude: You should also sort your data to find search queries with impressions and clicks,
but no conversions. Consider adding these phrases as negative keywords. Negative keywords will stop your ads
from displaying on queries that don’t generate sales. Poor converting search queries frequently include words/
phrases such as:
• Free/Bargain/Discount/Cheap
• How to/What is
• Reviews/Comparison/Side effects
• Jobs/Career/Salary
• Definition/About/Sample
• News/Research/Tutorial

When analyzing this data, online retailers need to pay close attention to search queries that may describe benefits
or features of their products. You may find that certain broad match keywords are matching to closely related
queries that describe your products. These search queries can be valuable since someone may be searching for your
product, but they aren’t aware of your specific brand. When expanding your keyword list, think about how someone
may describe your product, or perhaps the results of your products, and make sure to target these keywords in your
campaign.

Upon completion of this process you will have new targeted keywords loaded into your campaign which help
enhance your visibility on the SERPs. Also, you will have improved the quality of your PPC traffic by removing your
ads from irrelevant search queries via your newly launched negative keywords.

Core metrics for PPC search query analysis:
• Total number of clicks
• Total number of impressions
• Click-through rate
• Cost-per-click
• Conversions
• Conversion rates
• Cost-per-acquisition



Organic Keyword Analysis
Another way to use existing data to expand your PPC campaign is to review the keywords that are generating traffic
to your website via organic listings on the search engines.

When analyzing organic traffic data in Google Analytics, you will notice a large amount of traffic is attributed to
search queries that are not provided. In October, 2011 Google announced 3that that SSL Search would become the
default experience for signed in users on Google.com. This means that, “when a signed-in user visits your site from
an organic Google search, all web analytics services, including Google Analytics, will continue to recognize the visit
as Google “organic” search, but will no longer report the query terms.” Even though many of your organic search
queries will not be available for analysis due to this change, mining your organic traffic is still a very good way to
expand your PPC keyword list.

Within Google Analytics, these are the step-by-step instructions to find your organic search query data:
1. Log into your Google Analytics
2. Choose the profile for the website you are analyzing
3. Select “Traffic Sources” from the main left-side navigation
4. Click on “Sources” and from this dropdown menu select “Search”
5. Within the Search section, choose the “Organic” option

Similar to running search query reports within AdWords and adCenter, there will be a wealth of data with hundreds
or maybe even thousands of search queries. You need to prioritize the data with a parallel method as discussed for
analyzing PPC search query data. Focus on the most important terms first:
• Search queries that are generating traffic to your website
• Search queries that are generating sales and revenue
• Search queries that drive sales for high-margin products

Once you have created a list of high-potential organic terms, then you should compare these terms to your PPC
account to see if any/all/none are missing from your campaigns.

Core metrics for organic search query analysis:
• Total number visitors
• Conversions
• Product profit margins

On-Site Search Analysis
Using Google Analytics you can analyze how users searched your website for content or products. This data can
inform you on how people are actually searching on your site and you may be able to utilize these on-site searches
within your PPC campaign. From these reports you can see:
• How many of your visitors use the search function on your site
• The search terms your visitors use
• How your visitors engaged with your site as a result of their searches

Here are the step-by-step instructions to access the Site Search reports within Google Analytics:
3. Select “Content” from the left-side main navigation
4. Choose “Site Search” from the dropdown menu
3
http://analytics.blogspot.com/2011/10/making-search-more-secure-accessing.html



This tactic can be especially helpful for online retailers. Retailers can use site search data to mine for new keywords,
as well as understand which products are being searched for. If there are numerous searches for products that you
don’t offer, then this is either an opportunity to expand your product offering for something your customers want or
this can serve as an indicator that traffic to your site may need to be more targeted.

Core metrics for on-site search term analysis:
• Total number of searches
• Time on site
• Average pages per visitor
• Conversions

Visitor Device Analysis
An eMarketer report 4 released in January, 2011 states a few interesting facts about the continued boom of mobile
device usage:
• Mobile internet users will reach 113.9 million in 2012, up 17.1% from 97.3 million in 2011
• Smartphone users will reach 106.7 million in 2012, up 18.4% from 2011
• In 2012, 94% of smartphones users will be mobile internet users
• Tablet users will reach 54.8 million in 2012, up 62.8% from 33.7 million in 2011

Not only is mobile adaptation growing, but so is the usage of comparison shopping via smartphones. Shoppers are
now looking for price and service comparisons while in specific locations – such as your competitors! This is another
reason being highly visible on mobile search will become increasing important in the near future. According to a
recent PewInternet study5 mobile usage during the 2011 holiday season was an all-time high:

• 38% of cell owners used their phone to call a friend while they were in a store for advice about a purchase they
were considering making

• 24% of cell owners used their phone to look up reviews of a product online while they were in a store

• 25% of adult cell owners used their phones to look up the price of a product online while they were in a store, to
see if they could get a better price somewhere else

If you are not currently targeting mobile devices via PPC, this can be a great opportunity for growth and expansion.
Advertisers can gain insight into current organic listing mobile visitors to their website via Google Analytics. Here
are the step-by-step instructions to access mobile usage on your website:
3. Select “Audience” from the left-side main navigation
4. Choose “Mobile” from the dropdown menu

From these reports you can gain an understanding of how many visitors your website has received via mobile
devices; and you can also view all of the devices that people used to visit your website. You can also view all of the
performance statistics such as time on site, bounce rate, and conversion rate.

You may find that there is already a steady stream of mobile traffic coming to your website via organic listings. If
this is the case, you should consider expanding your PPC campaign with a mobile-targeted campaign. On the other
hand, if visitors are not finding your website via mobile devices, but this is an area where your company wants to be
visible, then you may want to consider launching a mobile PPC campaign. In summary, mobile is a growing channel
and advertisers should determine a plan to take advantage of this growing sector.
4
http://www.emarketer.com/Products/Explore/ReportList.aspx
5
http://pewinternet.org/Reports/2012/In-store-mobile-commerce.aspx



Creating a mobile-targeted campaign within AdWords is a great way to get started. If you are building a new mobile
PPC campaign, or if you want to optimize your current mobile advertising effort, take these notes into consideration
regarding your keywords:
• Mobile queries use fewer keywords: Most people only use a couple words within their mobile search query. This
is due mostly to the size of the device, but also mobile searches tend to be conducted in a shorter amount of
time with a desire for faster results. Also, users rely on search suggest functions to save on typing time.
• Location influences search queries: A large number of mobile search queries are geared toward finding stores/
products/services within a user’s geographic location.
• Time of day varies for mobile users: Mobile search queries are at their peak during the evening and weekends.
This is because most people tend to use laptops during the day (while they are at work) and smart phones and
tablet PCs during personal time.

The reasons for differing user behavior between laptops/desktops, smart phones and tablet PCs is evident. A
presentation provided by Coherent Interactive 6displays a very helpful graphic that depicts the reasoning behind
why these devices have varying user habits:
Core metrics for user device analysis:
• Total number of mobile visitors
• Average time on site
• Bounce rate
• Conversions

6
http://www.slideshare.net/Coherentia/keys-to-mobile-user-behavior



Impression Share Analysis
The tactics reviewed thus far have focused on leveraging data to add
new content and device targeting to a PPC campaign. Online Retailers
Online Retailers can also
can also expand their PPC accounts by analyzing the impression share
performance of their campaigns. Impression share is the percentage
expand their PPC accounts
of impressions you received divided by the estimated number of by analyzing the impression
impressions you were eligible to receive.
share performance of their
Impression share statistics can be viewed at the campaign and ad group
level7. If you don’t see these stats within your campaign performance campaigns.
statistics, within AdWords you can click on, “Columns,” and you can
choose to add Competitive Metrics to your report.

There are a few impression share metrics that advertisers can analyze in order to determine where to expand the
reach of their campaigns.

• Lost IS (budget): The percentage of time that your ads weren’t shown due to insufficient budget. If you find that
campaigns that are missing impressions due to budget, you should consider increasing the daily budget. This
will help drive more impressions, clicks and sales.

• Lost IS (rank): The percentage of time that your ads weren’t shown due to poor Ad Rank. You may find
campaigns with poor impression share due to rankings. Keep in mind that achieving 100% impression share is
very difficult; but if your impression share is over 80% you’re doing well.

• Exact match IS: The percentage of impressions that you received for searches that exactly matched your
keyword divided by the estimated number of exact match impressions you were eligible to receive. Exact Match
Impression Share measures the percent of impressions you captured for search queries that matched your
keywords exactly. For example, a broad match keyword of “online conference software,” may display for related
search queries such as, “online meeting software.” Exact Match Impression Share displays how often your ad
appeared for your exact keyword, “online conference software” and not the related terms.

Core metrics for impression share analysis:
• Total number clicks and impressions
• Impression share
• Impression share lost due to budget
• Impressions share lost due to rank
• Exact match impression share

Placement Performance Analysis
US Advertisers spent $12.33 billion on display advertising in 2011. They are expected to spend $17.03 billion on
display advertising in 2012, and the trend is predicted to grow8 in the coming years. There are numerous display
side platforms (DSP) for advanced media buys. However, for many advertisers a fast, accessible entrance into the
expanding world of display advertising is via the Google Display Network.

Thus far we have focused on leveraging data to expand search network campaigns. Even if you’ve been running
ads on the Google Display Network (GDN) for a long time there is always opportunity for expansion. Analyzing
your Placement Performance Report on the Google Display Network is best way to determine which websites are
7
http://adwords.blogspot.com/2012/01/coming-soon-ad-group-impression-share.html
8
http://www.emarketer.com/Article.aspx?R=1008434



generating a positive ROI and those that are not. To view this
data, here the step-by-step instructions:
1. Log into your Google AdWords account
2. Choose a campaign targeted to the GDN
3. Click on the “Networks” tab within the top navigation
4. Select “Automatic placements” within the Display
Network section
5. Click the “Download” button to export your data into
Excel

Similar to a search query report via the Search Network, a
placement performance will provide a wealth of data. It is
up to the advertiser to take this report, prioritize the data,
and determine a set of actionable analysis. Here is a game to
analyze Google Display Network performance data:

Prioritize the data by conversions/revenue: Sort the
placement performance by conversions. This way you are
focusing on the websites/placements that are generating
the most conversions. When managing campaigns on
the GDN, advertisers should focus on the most important
optimization metrics which include conversions, conversion
rate, and cost-per-acquisition (CPA). As a result of focusing
on conversions advertisers will create a list of websites that may be worth targeting specifically with ads.

Site target high-conversion websites: Now that you have a list of websites that are generating traffic and
conversions on the GDN, you should consider creating a site-targeted campaign. You may want to create a
campaign and focus on one website per ad group. This will allow you to test ads more specifically geared toward
this website’s audience. With this method you can control bids with a higher level of exactitude.

Prioritize data by CPA: Sort the placement performance report by CPA. Also, make sure to find websites that are
generating clicks but no conversions. As a result of this type of sorting advertisers will have a list of websites that
are generating clicks but no conversions.

Exclude high CPA website: After you have sorted your placement performance report by CPA, then you’ll have a list
of websites that may need to be excluded at the campaign or ad group level. Also, be sure to look for placements
that are generating clicks but no conversions.

Core metrics for placement performance analysis:
• Total number clicks and impressions
• Click-through rate
• Cost-per-click
• Conversions, conversion rates and CPA

Conclusion
There is always room for expansion within any PPC campaign. One of the many benefits of managing PPC
campaigns is that there is a wealth of data that can inform, inspire and guide your account expansion efforts. Online
retailers can see what keywords and channels are generating traffic, how visitors are interacting with their website,
and which products from their catalog are selling with a positive ROI.



On the flip side of the coin, the amount of data available to a PPC manager can be overwhelming. Prioritization
and actionable analysis are mission critical when it comes to utilizing existing data to expand your PPC campaign –
otherwise, you will be lost in a sea of statistics and the shore will be nowhere in sight.

Highlighted strategies within this eBook to leverage data to expand your PPC campaign:
• Run search query reports to find new long tail keywords
• Run search query reports to add new negative keywords
• Review organic keywords to see if there are high-volume keywords missing in your PPC campaign
• Analyze on-site searches to see how people are searching on your site, and find additional keywords to add to
your account
• Review user device statistics to see if people are already visiting your website via smart phones or tablet PCs
• Increase budgets if campaigns are losing impression share due to daily budgets
• Increase keyword bids if campaigns are losing impression share due to ad rank
• Run placement performance reports to locate websites that you should target specifically
• Run placement performance reports to find websites that are generating clicks but no conversions, and exclude
them from your campaigns

About the Author
Joseph Kerschbaum is Vice President and Managing Partner for search and social advertising agency Clix
Marketing. Joseph is a regular speaker at search and advertising conferences such as SES and SMX. His writing on
the SEM industry appears in his regular Search Engine Watch column, and in his columns in Website Magazine and
Visibility Magazine. Joseph is co-author of the Wiley/Sybex book, “Pay-Per-Click SEM: One Hour a Day (2010).”

Foster City, California
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Adchemy offers advertisers the ability to leverage consumer intent to create more effective digital advertising
experiences. Adchemy IntentMapTM technology allows advertisers to radically simplify their paid search
campaigns, significantly improve ad relevance and effectively grow their business. Listed by The Wall Street Journal
as one of the top 50 venture-backed companies in the U.S. in 2010, Adchemy is a rapidly growing Silicon Valley
company, backed by Accenture, August Capital, Mayfield Fund, and Microsoft. For more information, please visit
www.adchemy.com

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