Paid Search Fundamentals By Matt Van Wagner

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From the SMX East 2014 Conference in New York City, NY. SESSION: Paid Search Fundamentals. PRESENTATION: Paid Search Fundamentals - Given by Matt Van Wagner, @MVanWagner, President - Find Me Faster. #SMX #13C

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Paid Search Fundamentals Matt Van Wagner

@mvanwagner

Why I Love PPC

Opening New Business Goal: Get people in store

One Month Later: 124K Ad Impressions

300+ Qualified Visitors to Site

Cost - $185

@mvanwagner

Why I Love PPC

Shows only to these people !!!!

This Simple Ad…

@mvanwagner

Why I Love PPC

Investment in PPC ads is measurable& scalable.

@mvanwagner

Why I Love PPC

PPC Allows You More Control over Messaging

Get going quickly.

Discover what words convert (in a “not provided” SEO world).

Manage risk of algorithm changes.

Predictable, dependable flow of traffic.

You write the ads that appear.

You determine what pages visitors first see.

Shows you what keywords convert !!!

PPC and SEO are Complementary

@mvanwagner

@mvanwagner

What is Google?

World’s Favorite Search Engine

@mvanwagner

• Reach Audiences Worldwide •  Any Country •  Any Language

•  20+ Billion searches/mo. worldwide

•  67% of all U.S. searches are powered by Google

Google Search Ads

@mvanwagner

More than just Google.com

@mvanwagner

• Google search powers many web properties

•  Google is default search engine for AOL, Ask, Google Maps and Internet Service Providers (ISPs) such as Xfinity, Earthlink, Verizon and many others.

•  Where ever Google provides search results, they can also place ads.

More than just Text Ads

@mvanwagner

Google places banner and rich media ads across the internet.

•  Internet users spend 95% of their time browsing /reading website content.

•  Google’s display ad network reaches 2 Million+ websites, videos, & mobile apps around the world.

Google AdWords

@mvanwagner

A Powerful, Global Online Advertising Platform

• Puts Full Control into Your Hands! •  Creating Ads

•  Budgeting

•  Scheduling

•  Targeting

•  Reporting

This is Bing

@mvanwagner

This is Yahoo!

@mvanwagner

The Yahoo! Bing Network

@mvanwagner

Microsoft & Yahoo! Formed a Search Alliance (Jul-09)

Microsoft’s Bing Search Powers Bing and Yahoo! Organic and paid search results Microsoft’s Bing Ads Unified ad serving platform to manage campaigns on Yahoo! and Bing. ** Display ads not included in the alliance.

Huge Search Market

@mvanwagner

Unique Searchers Unique searchers on the Yahoo! Bing Network.

Yahoo! Bing Network unique searchers that don’t use Google.

In the U.S. 5.6 Billion searches monthly; roughly 1/3 of all U.S. searches. 163 Million unique searchers 54 Million searchers who are not using Google

Wordwide 489 Million unique searchers 94 Million who do not use Google!

Your Ads Reach Here

@mvanwagner

And Here…

@mvanwagner

Bing Ads

@mvanwagner

Puts Full Control into Hands of Advertisers! • Creating Ads • Budgeting • Scheduling • Geo-Targeting • Reporting • Plus…. Easy Import from Google AdWords

Paid Search Overview

Keywords:

Ads:

Words & phrases that trigger ads to show

Really, really, short sales pitches in text or images.

Landing Page:

The first page people see after they click your ad.

Process: Managing all of the above Tracking results, conversions, return on ad spend.

Testing, improving, tools & resources

Bids: How much you are willing to pay to show your ads, get clicks & conversions.

Conversions: Actions taken by your visitors that you want to track such as leads, orders, downloads, phone calls.

@mvanwagner

Geographic

Time of Day / Day of Week

Demographic

Device Types & Browsers

Behavioral

Targeting Options

Where you have an Advantage…Exploit it!

Improve Ad Position & ROI Bid By Time zone Target Areas by Language Choose Your Battle zones

Geographic Targeting

@mvanwagner

Geographic Targeting

@mvanwagner

Time & Day Targeting

Note: Ad scheduling works differently on Google AdWords vs Bing Ads. Bing Ads: Scheduling time based on where the user encounters the ad. Google AdWords: Schedule based on AdWords account location.

@mvanwagner

Demographic Targeting

With Bing Ads, you can bid more for your best demographic segments. @mvanwagner

How Do Paid Search Engines Really Work?

● How does an ad get selected?

● Does the highest bid always get the top spot?

● How much does it cost to show my ad?

● What is the best ad position?

Paid Search Auctions

@mvanwagner

How Search Engines Work

You Search Engine

Advertiser

Schumann Dichterliebe Schumann Dichterliebe CD

@mvanwagner

What is Best Ad Position?

In general, the higher your ads appear, the more clicks you get and the more you pay.

@mvanwagner

Your Keywords & Max Bids

User Search Query: Blue Widgets

Red Widgets $.10 Blue Widgets $.10 Blue Green Widgets $.10

Blue Widgets Buy blue widgets today. Free next-day shipping. www.widgetworld.com/bluewidget

In Your Perfect World...

You're a Winner!!! CPC = $.10 or less!

Your Ad

Your Site:

@mvanwagner

…this would be a great set of answers.

Ads Competing Against Each Other

On a search for the color blue…

What Search Engines Want

@mvanwagner

$ 3 $ 1

$ 2 $ 4

$.25 $10

$ .30 $ 6

If highest bid determined ad display…

What Advertisers Want

Ads Competing Against Each Other

on Bid Price

…results may not be quite as relevant.

@mvanwagner

Quality Scoring and Ad Ranking

● Relevancy: Relationship of Keywords à Ads à Landing page

The nature of the click

● Historical Performance (CTR): Keywords

Keywords + Ads in combination

Ad groups, campaigns, account

● Max Bid Price

A Hybrid Solution

@mvanwagner

Who Wins the Top Spot?

$ 3 $ 1

$ 2 $ 4

$.25 $6

$ .30 $ 5

.95

.90

.30

.30

.10

.25 .80

.95

Lets Say Quality Scores look like this

AD RANK = QS x Max Bid

1.8 1.2 1.5 .95 .90

@mvanwagner

What Do They Pay?

$ 3 $ 1

$ 2 $ 4

$.25 $6

$ .30 $ 5

.95

.90

.30

.30

.15

.25 .80

.95

Lets Say Quality Scores look like this

AD RANK = QS x MAX Bid

1.8 1.2 1.5 .95 .90

$ .10

$ .96

$3.18

$4.81

$1.68

Lesson:

Write relevant ads and select

relevant keywords.

Bid reasonably.

@mvanwagner

Getting Started

What is the primary goal of your campaign? ● Leads, sales, brand building?

How do you define success? ● Online vs. offline sales conversions.

● Steps on the path towards sales conversion.

Measure real world actions, not just CTR or CPC!

How do you measure success? ● AdWords and Bing Ads conversion tracking.

● Web analytics (Google Analytics, Omniture, Coremetrics, Hitslink, etc).

● How much the phones are ringing.

● Total company sales and profits increasing.

@mvanwagner

Campaign

Ad Group

Ad 1

keywords keyword1 keyword2 keyword3 keyword4

.

.

Ad 2

Landing Page

Structure of a PPC Account

@mvanwagner

About Keywords

Keywords vs. Search Queries Keywords = what you bid on

Search Queries = what users type into a search box

@mvanwagner

Keyword Match Types

Match types control how closely your keywords match with a user’s search query:

Broad Match: Very loose matching – tons of traffic Broad Match Modifier: Loose, more control – lots of traffic Phrase Match: Tighter matching - Less traffic Exact Match: Tightest matching - Least traffic

Negative Match: Prevents matches – restricts traffic

@mvanwagner

Close Variants

@mvanwagner

Exact Match

Match Type Exact

Syntax [word1 word2]

What it matches to: Queries with only those words

Queries with exact word order

Optionally: Misspellings, singular & plurals, acronyms, stemmings (such as wedded, wedding & weddings) abbreviations, and accents.

User Search Query: Your keyword is: Will it Match?

wedding cake [wedding cake] YES

wedding cakes [wedding cake] YES

white wedding cake [wedding cake] NO

wedding cup cake [wedding cake] NO

@mvanwagner

Phrase Match

Match Type Phrase

Syntax “word1 word2 word3”

What it matches to: Queries with those words together

Queries in that word order

Also matches to: Misspellings, singular & plurals, acronyms, stemmings (such as wedding & weddings) abbreviations, and accents.

User Search Query: Your keyword is: Will it Match? wedding cake “wedding cake” YES Chelsea wedding cake maker “wedding cakes” YES gluten-free cakes weddings “wedding cakes” NO wedding cupcake “wedding cakes” NO weeding cake “wedding cakes” MAYBE bridal cake “wedding cakes” PROBABLY NOT

@mvanwagner

Broad Match

Match Type Broad Match (DEFAULT)

Syntax word1 word2 word3

What it matches to: Queries with words in any order

Synonyms search engines believe could be relevant

Session-based matches

User Search Query: Your keyword is: Can it Match? wedding cake wedding cake YES cakes wedding cake MAYBE pictures of wedding cakes wedding cake YES wedding cup cakes wedding cake YES yellow cake wmd wedding cake YES hemarroid cream wedding cake YES

Broad Match Modifier

Match Type Broad Match

Keyword Syntax +word1 +word2 word3

What it matches to: Queries containing those words in any order

Queries must contain word(s) with the + sign

Optionally: Plurals, close variants

User Search Query: Your keyword is: Will it Match? wedding cake +wedding +cake YES birthday cakes +wedding +cake NO pictures of wedding cakes +wedding +cake YES wedding cup cakes +wedding +cake YES cakes +wedding +cake NO hemarroid cream +wedding +cake NO

@mvanwagner

Negative Match

Match Type Negative Match

Keyword Syntax -word, or –word1 word2 word3

What it excludes: Search queries containing that literal word

If you want to exclude plurals, add them explicitly.

Optionally: There are Exact, Phrase and Broad match negatives available (AdWords).

User Search Query: Your negative keywords are:

Will it prevent the match

wedding cake -wedding YES birthday cakes -wedding NO pictures of wedding cakes -wedding YES wedding cup cakes -wedding YES cakes -wedding NO hemorrhoid cream -wedding NO

Building Keyword Lists

Start with your own brain

● What words / phrases describe what you are promoting?

● What words do other people use?

● Synonyms, misspellings.

● Words that will bring the wrong people to you.

● Start with keywords that contain 2 or 3 words (aka terms, tokens)

● Absolutely use your own brand names.

@mvanwagner

Create Keyword Lists

shepherds german shepherds shepherd dogs pure-bred shepherds labrador puppies labradors black lab puppies black labs golden lab chocolate labrador brown labradors black lab puppies black labs retreivers pug dogs puppies small pet dogs

lassie dogs collies poodles toy poodles shitzo mutts weiner dogs irish retriever sheep herding dogs pure bred dobermans pit bulls vietnamese pot belly pigs dalmations dalmation puppies dalmation pups golden retrievers golden retriever

@mvanwagner

Organize Keyword Lists

Pull them into smaller, tighter groups:

Labradors labrador puppies labradors black labs golden lab chocolate labrador brown labradors black lab puppies black labs

Shepherds shepherds german shepherds shepherd dogs pure-bred shepherds

Retrievers golden retrievers golden retriever retreivers

Pugs pug dogs pug dog pugs

@mvanwagner

Keyword Tools

Search Engine Tools Google: Search Based Keyword Tool

Microsoft: Microsoft Advertising Intelligence

Competitive Analysis Tools – Ads & Keywords AdGooroo SpyFu

Keyword Spy WordTracker

Ispionage

Keyword Manipulation Tools Rapid Keyword Permutator

WordStream Microsoft Excel

SEOBook @mvanwagner

Rapid Keyword Software

This tool will save you hours in text manipulations @mvanwagner

Write Great Ads

Note the Variety of Copy Styles:

1st Person story.

Trusted Authority – “Uses Quotes”

Price Appeal

Convenience - Call 800 #

Get Information – Medical Alert Guide

We’re different from “Them”

Which of these is the Best Ad? @mvanwagner

Who are you selling to?

Who are you talking to?

Who buys? Who influences? Who is it actually for?

What motivates them?

Speak directly to one of these people.

@mvanwagner

What are you selling?

@mvanwagner

What are they really buying?

@mvanwagner

Features: Timer, Easy to Use, Discount, Affordable Free Shipping

Benefits: Organize pills better Take charge of your health Keep parents well connected

Are you selling what they're buying?

@mvanwagner

Ad Extensions

@mvanwagner

Ad Extensions

@mvanwagner

Shopping Ads

@mvanwagner

Stress Benefits, Not Features

Feature

Benefit

Creative Benefit

Vibrating Watch Alarm

Get pill reminders even if you have trouble hearing.

Vibrating pill reminder. Works even when Mom’s TV is blaring away.

Vibrating pill reminder works even if Dad’s hearing aid is off.

@mvanwagner

Tips for Writing Great Ads

Switch from your Left Brain to you Right Brain Go for a walk Sing a song Laugh Doodle

· Do not start writing ads in Excel spreadsheets!

· Start with story-telling. Talk out loud.

· Try a “non-verbal zero draft”

· Go listen to your sales team at work.

@mvanwagner

Writing Great Ads

Headlines Use keywords in the headline when possible. Write dozens of headlines, till you find ones you like.

Key Headline Concepts Save You Money. Save You Time. Improve Your Life.

Great Words to Use in Headlines Find. Compare. Save. New. Improved. Easiest. Top-Rated.

@mvanwagner

Writing Great Ads

Ad Copy Use your keywords in the body copy, too, but don’t stuff.

Same Key Concepts as Headlines Save You Money. Save You Time. Improve Your Life.

Try full sentences.

Use idioms only when appropriate

Avoid gimmicks and overly-idiomatic expressions.

@mvanwagner

Ads Designed to Filter Clicks

- Many words have more than one meaning (homonyms).

- You need to clearly identify purpose and intent of your ad.

- You will have fewer clicks, and lower CTR, but you’ll get more of the right clicks.

Home Care for Elders Need help with in-home care for an elderly loved one? Call us. www.home-care.com California

Home Care Experienced with all aspects of home care. Call us Today! www.home-care.com California

@mvanwagner

Evaluating Ad Performance

Which of these Ads is performing better?

Lessons: Be wary of small samples sizes. Measure against conversions, not just click-through rates (CTR).

Conversion Rate: 10.5% Conversion Rate: 2.5%

@mvanwagner

Graphical Ads

Image Ads Video Ads

Mobile Ads

@mvanwagner

Bidding & Budgeting Options

Bidding

Cost Per Click (CPC)

Cost Per Conversion (CPA) aka cost per action/acquisition

Cost Per Thousand Impressions (CPM)

Budgeting Daily, Weekly or by Campaign

@mvanwagner

How Much is a Click Worth?

How much is a Visitor (click) worth? What is your site conversion rate now?

What is your offline close ratio?

How does that translate to revenues?

Clicks 20 Conversion % 5%

Cost Per Conversion (CPA) $ 5.00

@mvanwagner

How Much is a Click Worth?

How much can you afford to pay for each click?

Cost per Click (CPC) $ .25 Clicks 20 Conversion % 5% Cost Per Conversion (CPA) $ 5.00

Target MAX Bid CPC = CPA / Clicks

= $5.00 / 20

= .$25

@mvanwagner

Bid Modifiers

Not every click has the same value. Bid modifiers allow you to bid up or down, depending on:

Device

Location

Time of Day

Retarketing

Targeting Options on the Google Display Network.

@mvanwagner

Landing Pages

Lobster Bisque?

Master the basics.

Get fancy later.

Any page can be a landing page

Use properly built webpages: Include Title, Description, Alt Tags, and spider-able body copy.

Get users quickly to what they want: no more than 1 - 2 clicks.

@mvanwagner

Landing Pages

@mvanwagner

Landing Pages

@mvanwagner

Landing Pages

@mvanwagner

Better PPC Every Day

•  Process Creates Sustainable Advantage –  Its not just about keywords, ads, bids –  Plan on working in a disciplined manner

•  Use Systems-Level Thinking –  Align campaign goals with larger company goals. –  Increase sales, not visitors

•  Track Performance and Make Adjustments –  Be methodical, measure and test everything you can –  Don’t react too quickly, but don’t get analysis-paralysis

•  Set Good Goals and work towards them @mvanwagner

Resources

•  Books –  Advanced Google AdWords

by Brad Geddes –  http://www.advancedadwordsbook.com/

•  Newsletters –  SearchEngineLand.com –  SearchEngineWatch.com

@mvanwagner

Resources

•  Books –  Winning Results with Google Adwords

by Andrew Goodman

–  Pay-Per-Click Search Engine Marketing in an Hour A Day by David Szetela & Joe Kerschbaum with Michael Flores

@mvanwagner

Matt Van Wagner @mvanwagner

Thank You!