Guide
to PPC Advertising & SEM


Google’s Adword
Google’s Adwords is part of the renowned
Google and along with Yahoo ! Search Engine (Overture)
occupies prominent position among PPC Search Engines.
Although, it entered the fray a little later than Overture
but it lost no time in becoming a major player. In recent
times, it has given Overture a stiff competition and
a run for its money.
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An estimated 200 million searches a day.
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The
google network reaches more than 80 per cent of internet
users.
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Minimum
amount deposited to open an account $5 and minimum
bid per keyword listing is $0.05.
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Rank
is determined by combination of Cost Per Click (CPC)
and click through rate (CTR)
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AdWords
provide the tool to target ads to prospective customers
by city, region, or geographical area.
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Advertisements
can be targeted to over 225 countries and provide
support in more than 30 languages.
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Businesses
can pay for AdWords in more than 40 currencies.
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Google
has easy to learn tools.
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Google offers excellent reporting
capabilities to help track your PPC campaigns
The Brand
Saloon Review for Adwords
Google is the largest and the most popular
search engines online and its Pay Per Click service is
known as Adwords. Adwords along with Yahoo search marketing
(formerly known as Overture) are the first rung and the
most prominent PPC search engines. Adwords PPC ads appear
along side or above the results on Google.com search results
pages and it claims that its network reaches more than
80 percent of internet users.
Adwords provide easy to use interface
to create ads and it has inbuilt keyword tool to search
relevant keywords for your website’s campaign. It gives
you real time reports on number of clicks, average cost
per click, total cost, conversion rate, conversion cost.
The minimum deposit required for Google’s
Adwords is $ 5 and the minimum bid amount is 0.1 cents.
Adwords charges you only a cent more than the second-highest
bidder and unlike Yahoo! Search Marketing, it does not
have a compulsory minimum spend.
The position on Adwords depends on the
number of clicks received and on the Quality Score. It
is the latest change made by Adwords to improve keywords
performance and position. Now ad position on Adwords depends
on the maximum bid amount and quality score. According
to its website, “the higher the Quality Score, the lower
the CPC required to trigger ads, and vice versa.” The
other change made is regarding making keywords active
or inactive depending on its performance, rather than
changing it from normal to trial, on hold and disabled
status.
It provides the option of regional and
customized targeting that helps advertisers who want to
reach customers in specific geographic areas. Site-targeted
campaign option is the latest offering of Google’s AdWords.
It allows advertisers to choose individual sites in the
Google’s content network where they would like their ads
to appear. Site targeted campaigns give advertisers the
flexibility of choosing their target customers, big or
small.
It provides its listing to the major
websites, America online, Netscape, Earthlink, Compuserve,
shopping.com, AT&T Worldnet, thus driving quality
traffic to the website.
PPC Tools
Pay Per Click advertising is the fastest
growing medium of online advertising. There are various
tools available online for better bid management and for
searching optimal keywords, tracking traffic and conversions.
Every Pay Per Click (PPC) search engine provide their
own tools for easier and better management of PPC. PPC
Search Engine’s tools are free, quick, and easy to use.
Google’s Adwords, Yahoo Search Marketing,
Miva, Searchfeed, Askjeeves, and most of the other PPC
search engines provide keyword tools. Keyword tools help
in researching relevant keywords, which will generate
quality traffic, and provides an estimate of the number
of clicks that will be received. PPC Search Engines have
inbuilt tool available for bid management, the user can
decrease or increase, as per his/her assessment. The inbuilt
tools also lets you know, the total number of click received,
position of the particular keyword’s ad, average cost
per click, and total cost. Yahoo Search Marketing (Overture)
offers a ROI calculator, a CPM calculator.
Certain PPC search engines like Overture,
Adwords and Miva have conversion tracking tool, that lets
advertisers track the number of conversions, through a
particular campaign, cost per conversion and other related
details. There are websites, which exclusively provide
keyword tools, like keyword anaylyzer and worktracker.
There are certain websites that offer bid management services,
Atlasonepoint, Maximizer and others.
How does PPC work?
Pay Per Click Search Engines allows marketer/advertiser
to bid for top positions on the sponsored listings or
PPC search engines. The advertiser only pays when a user
clicks on the ad; the amount charged is equivalent to
the bid amount placed on a keyword that led searcher to
your listing.
A persistent online bidding process determines
the position of your website’s ad on PPC Search Engines.
Managing and handling a PPC search engine’s campaign is
different from other promotional medium, before starting
to manage a PPC campaign one should be aware about the
techniques and the elements of PPC advertising.
- First you need to open an account with a PPC search
engine that you are planning to use.
- At the time of opening of an account, you might
have to deposit a sum to activate your account.
- After you have opened an account, take your time
to go through the different tools and aspects of that
particular search engine
- learn how to use the PPC tools to your benefit
- You need to research and select optimal keywords
for submission and after you have a list of good keywords
submit them.
- You create and develop ad’s Title and Description
and submit them along with the website’s URL.
- You have to place bid amount on your submitted keywords.
- Your position is determined by the bid amount placed
on a keyword or search phrases.
- When a searcher uses a keyword to find sites like
yours, if you have submitted that keyword, your ad
will appear for that keyword and
- your ad’s position will depend on the bid amount.
- Every time a searcher clicks on your ad, amount
equal to the bid placed on that keyword is deducted
from your deposited sum.
The position of the ad often depends
on the bid amount, however, google’s adwords uses a slightly
different yardstick to give position to your ads. Adwords
uses both cost per click and click through rates to determine
your ad’s position.
Google: Your click through
rates and Cost per Click (CPC) determines your ad’s position
on sponsored listings. If the ad does not get the required
number of clicks, you might lose your top positions for
that keyword. In the same way, if your ads are getting
good percentage of click throughs, your ads will be better
positioned at no extra cost to you. Google AdWords charges
a one-time $5.00 setup fee and after that, you pay only
for delivered traffic.
Yahoo! Search Marketing (Overture):
Yahoo! Search Marketing considers only your bid amount
to determine your ad’s position on its listings. The more
you pay, the higher you’ll be ranked on its search pages.
Overture requires a minimum charge of $25/month deposited
regardless of whether or not your click through has accumulated
to that total. Its minimum bid amount is 0.10 cents, the
highest compared to other PPC search engines.
PPC Campaign planning
Define your objective: It is important
to decide on an objective beforehand before embarking
on a PPC campaign. The objective of a PPC campaign should
be quantitatively defined; as it is easier to measure
the results. The campaign’s objective might be to generate
leads, subscription, sign ups, revenue or orders. Each
dollar spent on a click should give you appropriate returns,
otherwise, your whole campaign’s effort nullifies.
Determine your target:
After you have identified your PPC’s objective, you need
to determine your target customer. Not every one who clicks
on your ad is your prospective customer. You should determine
your target customer depending upon the product or service
your website is offering. It not only helps in finding
out the right keywords and search terms for the campaign
but also helps in developing ad’s copy that generates
high quality clicks.
Set your budget: Do
not over indulge or be constraining in your PPC spending,
set your budget depending upon your company’s resources
and PPC’s objective. It is a different medium of advertising,
so you need to use slightly different yardstick while
deciding on your budget. At the time of deciding on a
budget, you should keep in mind that cost per click varies
depending on the bid amount on key phrases and the number
of clicks you are receiving.
Building keyword pool:
Build your keywords’ pool by doing comprehensive research
for the optimal keywords/search terms. The research can
start from your own website and move on to competitors’
website and customers, and other sources. After a proper
analysis of your products or services, your target customers
search habits, competitors’ keywords; you will have a
list of important keywords that hold the key to your PPC
campaign’s success.
However, it is imperative that the keyword/search
term should be relevant to your website’s content and
offers. You also need to consider that it is unlikely
to apply to any other product or services. In a highly
competitive market, you may often find that the top bid
for a search term is far higher than your own margins
allow. Often you can attain far better value by choosing
keywords that are more specific. You can consider using
search terms that are more likely to be used by people
searching for your kind of products or services.
On a regular basis, you need to monitor
the performance of each keywords/search terms by tracking
the number of click through rates and conversions. It
might happen that some keywords/search terms will generate
more visitors but will be low on conversion and certain
keywords will give you high percentage of conversions.
The variation may happen because certain prospective customers
may be only researching a potential purchase, while those
who are ready to buy will use slightly different keyword/search
terms.
Developing your title and description:
Title is generally the five-word sentence shown
as the main link in your ad’s display. It works like the
headline of your advertisement. Be precise and to the
point while creating your PPC ad’s title. Do not be vague
or use unrelated words; otherwise, you may end up paying
a lot for unnecessary click throughs without any returns.
You should use the advantage of creating ad’s titles sensibly
and keeping in mind the product or service offers of your
website.
Description: Description
is a little longer sentence than the title, however still
with character limit imposed. The description should be
one or two punch line sentences that should highlight
on how clicking will solve a prospects search query. Be
precise like the title and stress on the website’s USP.
URL: It is important to have your URL
link working and problem free. The URL should take your
visitors to the page that is the most relevant to search
term/ keyword used by them.
Bidding process: It
is imperative determine your expected ROI and PPC’s objective,
before deciding the absolute maximum bid per click for
each keyword without diminishing profit per sale. You
should keep a close watch on your competitors’ bids and
yours to manage bids skillfully. If you sleep on your
bids, you are most likely to lose your premium positions,
so it is better to make necessary changes to bid amounts
on regular basis to maintain your position. However, never
be drawn into overbidding that would diminish your profit
margins and you spend more than your budget.
Dealing with competition:
If you are in the business, you will always be having
competitors for company. Sooner or later, you have to
consider your competitors’ websites and their bids on
keywords to chalk out your PPC campaign strategy. You
may find that certain keywords are highly competitive
and costing a fortune for top position. This is where
your keyword research and bid management skills come into
play. You need to research keywords that not only drive
quality traffic to your website but also give your ads
good position on PPC search engines’ listings.
It is important that you regularly review
your bids, your competitors’ bids, and your ads position.
As competitors will never tell you when they are going
to outbid you, so, it is important that you review your
campaigns regularly and make required changes to maintain
positions.
Tracking: By tracking
each click on your PPC ads, you can tweak the PPC campaign
to get the most out of it. Monitor your campaign every
day and at regular intervals. Tracking will help you in
finding keywords that are generating results and that
are of no value.
Regular monitoring of campaigns also
let you know when the competitor ceases to compete for
a certain keyword; this may enable you to drop the amount
of your own bids considerably without loss of position.
Remember you only need to be 1 cent higher than the next
highest bid. Anything more means that you are throwing
away profit.
Evaluation: Evaluate
how the campaign is doing in comparison to expected ROI
and PPC’s objectives propose by you. Assess keyword/search
terms that satisfies your PPC objective and giving the
preferred return on investment. You did not spend your
hard-earned dollars on a PPC campaign just to attract
visitors but your ultimate goal is to gain profit from
every click. After evaluation, drop those keywords/search
terms that did not serve your purpose, add new keywords
which may serve you better or only concentrate on those
that are sure shots.
TIPS for
creating an advantageous campaign
- Try to know your market
- Learn from PPC experts success and failure
- Know your business short and long term objective
- Determine your target customer depending upon your
website’s content
- Develop a budget and calculate the maximum price
you can pay and still increase profits.
- Keywords are your key to profit chamber, each keyword
should be relevant to your website’s content and product
or service offers.
- Also, regularly monitor keywords’ bids.
- Do not waste few words of your title and description,
be specific, and highlight on your website’s offers
to the potential customer.
- Keep track of your campaign and adjust your bids
on keywords regularly.
Bidding
for Positions
The greatest advantage of PPC advertising
is getting the preferred position on search engines, depending
upon your bid amount. If you have the back up of a good
PPC advertising budget, you can spend highly and bid for
premium positions.
Premium positions are the first page
top positions on PPC search engines. It generates maximum
click throughs from potential customers. However, it may
also result in lots of window-shopping click throughs,
this may increase your costs, and it might happen that
Return on Investment (ROI) will decrease drastically.
Premium positions suits those advertisers
who have good budget and are often getting good conversions,
and a few unnecessary clicks are acceptable in the long
run. It will also suit you if you have good profit margins
per sale, your objective is brand awareness rather than
ROI, and your website is getting good number of return
customers.
If your bid amount is little less than
the premium positions bid, you might end up in the middle
position. Though you are on the first page, the click
throughs may not be as good compared to premium positions.
However, there will be fewer windows shopping click throughs
and you will be getting quality traffic. For highly competitive
search terms, the bid amount will vary considerably for
premium and middle positions.
Middle position can be to your advantage,
if you do not want lots of clicks that might increase
your expenditure, your website offer does not require
high conversions, you do not have exorbitant budget to
attain top positions, or you have just started managing
a PPC account.
The second page positions are low rung
positions. The click through is very low compared to high-level
positions. However, you will not be getting too many windows
shopping click throughs. Most of the people who view or
clicks on low position ads are researching the keywords,
comparing products and service offers, or looking for
your kind of products or services.
Low position are best for those advertisers
who are low on advertising budget but still want to make
their presence felt, have low conversion rate or have
low profit margins per sales.
The position of your ads depends on the
keywords and the bid amount placed on them. If your PPC
advertising is supported by a good budget you can bid
for top slots, however second and third position ads receive
almost the same number of clicks.
Choosing the Right Keyword
The key to positioning on PPC search engines is the keyword,
also called the search term or search phrases. The position
of your website on search engines depend upon your keywords’
bid amount. It is very important to identify the right
keywords/ search terms for the success of any PPC campaign.
How to choose the right keyword?
Know your website: Your
keyword should be relevant to the website’s service or
products that you intend to promote. As an advertiser,
you should have thorough knowledge about your website,
its features, and offers.
If you are well aware of your website,
you can then develop a pool of keywords that is relevant
to your website.
Think like the searcher:
If you are thinking like a promoter, you might often end
up missing the important keywords. Put on the searchers’
cap and think from their viewpoint to develop your keywords’
list.
Often you need to think like a searcher
and identify the search terms or keywords they likely
to use. Develop a combination of search terms/keywords
that they may try out and the keywords that they might
omit to find your website. If you think like your prospects,
you might end up hitting the bull’s eye and generate quality
traffic to your website.
Include specific keyword- keyword
phrases: Some common keywords might be falling
under highly competent category, resulting in exorbitant
bid amount for top positions. It is better to find specific
keywords, for example- if your website is selling shoes,
it will give good result if you go in for specific terms
like: ladies shoes, black shoes. The price tag for premium
positions might be less for these keywords. Using of specific
phrases and keyword often targets specific customers,
thus you end up getting higher quality traffic and good
ROI.
If you are targeting a particular geographic
location, use keywords pertaining to that specific location.
It always pays rich dividend, if you are specific rather
than general. Try using different combinations for general
words related to your website.
Have a look at your competitor:
Go through the keywords and find which competitor is available
for that particular keyword. Have a look at their site
and then think on the keywords they might have used, only
if the service or product offered by them is similar.
Try using synonyms, plurals and misspelling:
Try using synonyms of the important keywords and include
plurals in your keyword pool. Often we end up typing the
wrong spelling, think like your searcher and try out possible
spelling mistakes that they often make while searching
for your kind of website. Also, you can use different
terminology used by different community.
Ask from your near ones:
Ask your neighbors, relatives, family members, friends
about the search terms or words that they will use while
looking for your kind of service. Note down their feedback,
it will give you a valuable insight into the kind of keywords
you need to include in your keywords’ pool.
PPC
Major Players
Yahoo! Search Marketing! (Overture) and Google’s
adwords
There are hundreds of PPC search engines
online, however, Yahoo! Search Marketing (Overture) and
Google’s Adwords are the first rung search engines and
most of the advertisers set up their accounts with them
to get quality traffic. However, there are noticeable
differences in the techniques of Overture and Adwords
functioning.
Position: Often, your
ad’s position in the PPC search engine is determined by
the bid amount on a particular keyword. Higher the bid,
higher is your position. However, there is a slight difference
in obtaining of position with Overture and Google’s Adwords.
While Overture policy is higher the bid amount, higher
is your ads’s position, Google considers the click through
rate (CTR) along with bid amount to determine the ad’s
position. While Overture deactivates advertisements with
low click through rates, with adwords your position might
slip if you are not getting the requisite clicks.
Description and Title field:
In contrast to Google’s Adwords, Overture provides
more characters to use in the ad’s copy. Overture title
field allows 40 characters and description characters
can be up to 190. Google title field allows 25 characters
for title and for description 35+35 in two lines that
is 70 characters in total to describe your offers.
Budget: Google’s Adwords
allows you to set your campaign’s budget on a daily basis,
while Overture follows monthly budgeting technique. Adwords
provide the option to keep the ads’ active or pause them
all day long, so that you do not exceed the set daily
budget. In overture, if your budget gets over before the
scheduled date, your ads will stop showing for the left
number of days.
Landing Pages
You might have enticed a potential customer to your site
but have you been able to sell your products or services
to the customer. The responsibility of a PPC campaign
success depends upon many factors, the factors are not
limited to effective title, description and conversion
tracking or how well you have chosen your keywords and
managed your bids. Visitors to your site should not be
disappointed when they land on your page, there should
be something to hold their interest, and the website should
provide what it has promised via PPC ads.
PPC Ads are entry gates, your website
page is the real field where you win over your visitors
and give them enough reasons to make that all important
decision (it may be purchase, subscription or sign-up).
The attention span of an online visitor is very short
and they are all an impatient lot, if your landing page
is irrelevant to their search, they will exit without
taking any effort to find what is there on your website,
and instantly look out for your competitors’ website.
Why let the competitor reap the profits, provide the visitor
with what he or she needs and your ad is claiming to offer.
If you are thinking of converting your
visitors to valuable customer, make sure that your website
is rich in information; users like to know about products
and services before they buy and your website should provide
them with lots of relevant information. Driving all your
traffic to your home page is not a good idea; you should
land them on ad-specific landing pages.
Your websites links should be working,
navigation should be easy, design should be good and attractive,
and your website’s content should act like a good salesperson,
not letting the visitor go without taking action. If your
offer has been able to entice the site visitor to take
action, guide him or her through simple steps to your
order, subscription, and submitted information page.
If your PPC ads are relevant to the search
terms, you surely will get good number of clicks and every
click increases your ads expenditure; however, it all
depends upon your landing page to see that it is offering
enough benefits for the visitors to stay and generate
ROI.
Developing an Effective
PPC Ad’s Copy
PPC ad’s title and description are the best way of screening
unwanted traffic and generating quality traffic. When
you are writing PPC ads, it is important to be specific
about your products and service, develop an ad that best
describes your website or business offers. Avoid using
ambivalent words that can confuse the searcher, a confused
searcher might either click on your ads to see what you
are offering, thus increasing your cost per click but
that result in no conversion, or never click on your ads.
Your ads should stress on the benefits of your service
and product offers that drives only interested and targeted
traffic to your site.
Writing an attention grabbing
‘Title’
PPC titles are short, clear-cut, catchy
sentences in bold, generating curiosity and grabbing the
attention of your potential customer. They act like the
headline, screaming for attention, creating interest and
if the potential customer finds it relevant, it is clicked.
Website’s relevant title contributes greatly to the kind
of traffic that visits your site.
If the title is apt to the kind of service
you are promoting, it will result in genuinely interested
customers to your website and thus resulting in good rate
of conversions. Your ad title should be concise, persuasive,
grabbing the attention of the searcher in a spilt of a
second and that results ad clicks.
Your title should be keywords centric,
so try using your search terms to develop your title.
If the title is not directly related to the search term
and ambiguous, you are highly likely to waste money on
irrelevant clicks.
Create different titles and check the
effectiveness of each one, before deciding on the best
title for a particular ad. Words like free, bonus, instant
are attention getters and you might good number of clicks,
however, it is better not to misguide the searchers and
try using words that are relevant to your website or business.
Writing a comprehensive description
Description often expands the title and
informs the customer about the website service or product
offers. Your ad’s description should be comprehensive
and benefit-laden within the space allowed. Be precise
while writing the description, use simple and error free
language and avoid using jargons and gimmicks. If you
are not using your search term in your ad title, try using
it in your description copy, it makes the searcher see
the relevance between your ad and his or her quest. Your
description should not be vague and should be highly targeted;
this will considerably reduce unnecessary clicks.
Every search engine has their own specific
criterion on title and description submission, before
creating your ads go through the guidelines. If your title
submission does not follow the guidelines of a particular
search engine, they might be rejected for falling short
of the submission rules. While creating the ads remember
that it is not the high click through that matters but
good conversion rate, your ads should be the door through
which only potential customers enter.
Conversion Tracking
Are you tracking your Pay Per Click ads? Any kind of promotional
effort is incomplete without a sound tracking system and
PPC campaigns are no different. If you are keen on ROI,
you should also be aware about ads that are generating
returns and those which are not. Every click should be
tracked from start to finish, from landing to exit of
the visitor, by doing so you can fine tune a campaign
to get the most out of it.
For example: ABC is promoting its legal
documents site, its ROI is average, but cost per conversion
is increasing with every click. It is high time that it
reviews its campaign, weed out those ads that are generating
clicks but no conversion and think on fresh ideas to increase
ROI and decrease cost per conversion. Rather than scraping
the whole campaign and nullifying its efforts hitherto,
it needs to track ads and keywords that work and replace
non-performing ads with fresh ones or discard the old
ones.
Tracking should start from the time your
visitor clicks on the ad and lands on your page. Every
move of theirs should be tracked, the time spent on the
site, the time not spent, pages viewed, action taken,
(depending upon your website the action may be sales,
order, sign up etc).
Though Google, Overture, and Findwhat
provide tracking codes to track clicks and conversions,
it is better to subscribe to a third party website metrics.
It not only verifies the information provided by PPC Search
Engines but also offers other valuable information.
A good web analytics helps in gauging
the performance of your PPC campaigns accurately and provides
valuable information to better the campaigns’ results.