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Google Confidential and Proprietary 1 Paid + Organic: Better Together

Paid and organic

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Page 1: Paid and organic

Google Confidential and Proprietary 1

Paid + Organic: Better Together

Page 2: Paid and organic

Google Confidential and Proprietary 2

Why We Care: Big Results

Source: Luxury Vehicle Brand Case Study; Google, GSD&M, July 2007

Big results:

• A 5.6% increase in visitors to their site when ads were on

• An increase in overall search traffic, a 17% increase when ads were on

• WOW change in traffic was highest with ads (48%) and reached a low of 39% without ads

• A higher conversion rate of 13.5% for their site goals compared to a conversion rate of just 8.6% when just running organic

Test: Measured performance of paid ads by alternating weeks of organic search only and organic with paid ads

Client: Luxury Car Company

Page 3: Paid and organic

Google Confidential and Proprietary 3

Big Results across Industries, Metrics

Source: Omniture Article: Proof Positive: Buying Brand Names on Search Really Works , July 2007

Big results:

• Though the week of organic only brought in slightly more visitors (47,078 with ads vs 48,582 without), those visitors proved to be of less value:

• Conversions across all search engines were higher by 22.98% when the brand name keyword ads.

• Revenue per visitor was higher by nearly 21.94% when the ads were present.

Test: Similar test measuring performance across Google, Yahoo!, & MSN for one week of organic search only against one week of paid brand ads and organic

Client: Major Online Retailer

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Google Confidential and Proprietary 4

Outline

1Lead the ConversationStand out on the results page by showing first with the message and experience you decide for customers

2 Increase Coverage

3 Target and Measure Precisely

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Google Confidential and Proprietary 5

Lead the Conversation with Customers

Stand out to capture the attention of new customers

Connect directly to show all you have to offer

Show your new messages

immediately

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Google Confidential and Proprietary 6

Dangerous World Out There

OppositionPaid

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Paid: Get Noticed Easier Than in Natural

8th Result

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Google Confidential and Proprietary 8

Paid Ads + Organic Search Captures New Users

Source: Luxury Vehicle Brand Case Study; Google, GSD&M, July 2007

1 + 1 = 3!Branded ads supplement performance of natural search

In a recent case study, adding branded ads brought in more new visitors

% New Visitors to Site Example:

Branded

Natural

Branded 52% 64%

12% Increase

Page 9: Paid and organic

Google Confidential and Proprietary 9

Beat the Crowd

Your ad can lead the story...

... beating any negative press...

...as your natural result catches up in the rankings

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Bring Audience to Where You Serve Best

0 airline sites on natural search

Ads provide the opportunity for upselling the customer

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Outline

1 Lead the Conversation

2Increase CoverageShow on searches throughout the purchase funnel; be there when they think of you, remind them when they don’t

3 Target and Measure Precisely

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Searchers Use Both Brand & Non-Brand Terms

Source: CE Purchasing Process Study, Google & comScore, November 2007.Searchers: all products n= 925; computer n= 397; digital camera= 139; television n= 114

Computer Searchers

Non-Brand

33%

Brand

57% 10%

TV Searchers

37%

Digital Camera Searchers

38% 25%

35%47% 18%

Non-Brand Brand

Non-Brand Brand

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49%51% 53%47% 48%52%

Retail Clicks E-Commerce ClicksConsumer Electronics Searches

Resulting in Brand and Non-Brand Clicks

Sources: Compete Inc./Google February 2008; 360i/SearchIngite, “Giving Clicks Credit Where They’re Due,” Q12006; CE Purchasing Process Study, Google & comScore, November 2007

Non-Brand

Brand

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0%

20%

40%

60%

80%

100%

2 months 1 month 1 week same day immediate

Non-Brand Matters Throughout the Search Process

Non-brand

Brand

Purchaser Click Preference by Type- Retail Vertical

Po

int

of

Co

nv

ers

ion

Non-Branded From Start To Finish

Source: Compete Inc./Google February 2008. Percent of non-branded and branded clicks by maximum across all categories, prior to purchase

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Awareness: General Search, Paid Only Option

A paid ad is often a brand’s only chance to show on such a general search.Sony is left out here while resellers may lead to competitors.

Purchase

Interest

Awareness

Consideration

Search term: big screen tv

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Interest: Get Them To the Features

As the search gets more specific, so do the ads.Competitor brands now appear as Sony is still left out.

Purchase

Interest

Awareness

Consideration

Search term: lcd flat screen TV

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Consideration: Consumers Looking For Brand

Brand level: Resellers/reviews detract from connectionSony’s ad here allows them to connect directly with the user.

Purchase

Interest

Awareness

Consideration

Search term: sony lcd tv

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Purchase: Be There When They Decide

Searching for a model number, this user is likely ready to buy.Sony’s presence here keeps them in the game and top of mind.

Purchase

Interest

Awareness

Consideration

Search term: Sony KDL 46XBR3

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The search landscape is growing and ever-changing

20~25% of searches have not been seen in the last 30 days**

Past ads influence future searches and conversions

12.6% of conversions credited to natural search were preceded by ad clicks*

Customers convert after multiple searches & clicks

37% of conversions happened as a result of multiple ad clicks*

More Searches + More Ads = More Traffic

*Giving Clicks Credit Where They’re Due, Part Two: The Value of Assists for Natural and Paid Search Conversions. 360i/SearchIgnite August 2006**Estimate

Paid ads help you stay present on new

long-tail searches

Ads on long-tail searches keep your brand in mind

for future ones

Place targeted ads that drive interest and generate searches for your brand

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Outline

1 Lead the Conversation

2 Increase Coverage

3Target and Measure PreciselyAccurately target customers with control features and monitor advertising effectiveness with robust reporting tools for increased ROI

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Ensure An Optimal Customer Experience

• Clean, official ad related to search

• Good call to action and incentive to buy

• Landing page looks relevant

• Unrelated title

• Content does not seem actionable

• Landing page is unattractive and not helpful

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Ads Allow You to Measure ROI & Other Metrics

How often do you show on the results page?

What is the ROI for your marketing campaigns?

Which listings are most appealing to customers?

Tracking impressions gives you insight into how much exposure your brand is getting with Google.

By looking your CTR, you can determine how attractive your listing is to customers and then adjust.

Closely and easily monitor your ROI with data directly from your AdWords account.

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Key Takeaways

Lead the conversation with your consumers• You want to be the ones to talk to consumers about your brand first. Search

is not always the top

• Bring in your consumers to tell them about what is new and what else you have to offer

Increase coverage targeted to connect with your users all along the funnel• Show on general keywords to get in front of users at the right times 

• New searches are being run all the time. Increase the amount you show on relevant ones

Target precisely and measure the impact• More control over likelihood of showing and what shows

• Track your ROI and learn about your audience

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Google Confidential and Proprietary 2424

Next Steps

Are you leading the conversation with interested customers?• Search for your brand. Who are you sharing search real estate with? Make sure you

are in good position on relevant searches.

• Trying to rebrand? New product launch? Are your organic results enough?

Are you covering all the searches you should?• Go beyond branded terms, and look at the generic terms that you are interested in,

how do you rank? Remember the importance of staying in your customers’ mind.

• Think outside the box of how a customer could start their purchase process. Sometimes they start with a question that you could answer

Do you target your messages to best appeal to your audience?• Double check your most common search words. Are organic results compelling &

sending users to the ideal page?

• Compare the metrics outlined in this deck to what you are getting from your site? Do you get the same level of insight?

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Thank You

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Appendix ABenefits of Paid + Organic

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Honda

Other

None

Effect of Paid + Natural Is Still Even Deeper:Honda Case Study- Brand Association

“When you think of fuel-efficient cars, which come to mind?”

42% point gap between Honda and another brand

16%

ControlSide

SponsoredTop Sponsored

ListingTop Sponsored& Top Organic

Top OrganicListing

0%

10%

20%

30%

40%

50%

60%

70%

Source: Enquiro Search Solutions, Inc., July 2007; Note: There is a significant (7% point) increase from Control to Side Sponsored, as well.

Query: Unbranded (i.e., “fuel efficient cars”)

Increase in Brand Association

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In Addition, Increase In Purchase Intent

+8%

Honda

Other

Control Top OrganicListing

Top Sponsored Listing

Top Sponsored & Top Organic

Side Sponsored

0%

10%

20%

30%

40%

50%

60%

70%

“From the list below, indicate which of these brands you would consider if you were looking to purchase a fuel-efficient or environmentally friendly car.”

Source: Enquiro Search Solutions, Inc., July 2007.

Query: Unbranded (i.e., “fuel efficient cars”)

Page 29: Paid and organic

Google Confidential and Proprietary 29

+ 3 pts

-----Cosmetics

+ 5 pts-+ 6 pts+ 5 pts-Household Cleaning

---+ 6 pts-Food/Snack

- + 6 pts+ 6 pts+ 5 pts+ 6 ptsBeverage

     Purchase Intent

-+ 7 pts---Cosmetics

-+ 4 pts---Household Cleaning

+ 9 pts+ 7 pts-+ 11 pts+ 7 ptsFood/Snack

--+ 3 pts--Beverage

    Purchase Consideration

-+ 4 pts+ 5 pts+ 4 pts-Cosmetics

---Household Cleaning

+ 3 pts---Food/Snack

+ 2 pts---Beverage

     Aided Awareness

+ 45 pts+ 47 pts+ 17 pts+ 28 pts+ 39 ptsCosmetics

+ 9 pts-Household Cleaning

+ 30 pts+ 31 pts+ 14 pts+ 32 ptsFood/Snack

-+ 10 pts-Beverage

     Unaided Awareness

Organic + Side Spnd.Organic + Top

Spnd.Side Spnd.Top Spnd.OrganicBrand Measures

+ 6 pts + 11 pts + 10 pts+ 5 pts

+ 6 pts+ 9 pts + 10 pts

Increase in Brand Impact in More Verticals…

Across all categories, there is a consistent “lift” across several brand measures. . .

Blue square denotes stat. sig. difference against the Control at a 95% confidence level

Light Blue square denotes stat. sig. difference against the Control at a 80% confidence level