How to Get the Most out of Your Advertising Budget?

Search Engine Advertising with

Google Adwords

So Who Am I - And What Do I Do ?

I offer a niched range of services, and I like to keep things simple and easy to understand !

I have a loyal group of clients, who I help in the following ways:• Search Engine Advertising• Information Architecture• Newsletter Management

“ Mick you do indeed make ‘online marketing simple’.

Thanks to your online ad campaigns, Organic Explorer website

is growing as fast as I can handle ! "

Leonie Johnsen (Owner) www.OrganicExplorer.com

“That has to be one of the biggest advantages of Mick's expertise with online marketing.

It's measurable. It can be experimented with little or no drama.

It's modifiable and definable, it's targetable.“

Evan Crawford (Director)www.StrawBuiltHomes.com

" I like working with Mick. He is a Guru in his field and brings incredible knowledge and common sense.

This has enabled me to market my business to the world at the 'speed of thought',

and in so doing has greatly stimulated my websites and the number of booking enquiries

I am receiving daily :-) "

Barry Kirkland (Owner)www.TaupoDeBretts.com

My Name is Mick Gibson I am an Online Strategist and offer specialised advice, assistance and marketing to businesses and individuals wanting to better utilise the amazing marketing opportunities there are online.

Search Engine Advertising - Let’s Define it.

• Search Engine Advertising is essentially

The process of paying money to search engines or directories to enhance your website's position.

• I know that we all like things to be Free !

• But sometimes there’s benefit in being able to:

Jump the Queueand appear precisely on first page of the Search Engine you want, and quickly too !

• I’ve specialised in the setup and ongoing maintenance of Search Engine Advertising campaigns over the last 5 years, and have found Google Adwords to be the market leader.

• But Before we find out why Google Adwords are so effective

- let’s look at an interesting fact about Search Engine Advertising.

Search Advertising Now Has the Largest Share of Online Ads

Growth of Search: Marketers are voting with their dollars

• Search Advertising now the most dominant form of online advertising

• Nearly 3x growth in Search Advertising since start of 2006

• 35 searches per user per month in U.S.

Source: Interactive Advertising Bureau, PricewaterhouseCoopers (September 2007); comScore (October 2007)

% Online Advertising Revenue

40%

20%

17%

9%

8%

6%

0%

20%

40%

60%

80%

100%

Type of Online Media

Search

Banners

Classifieds

Sponsorships

Rich Media

Other

So How Does Google Adwords Work?

• To Explain it REALLY SIMPLY

• Your ad appears next to relevant Google search results. And when users click on your ad, it links them to your website.

• With Google AdWords™, you are be able to reach your customers At the precise moment they’re looking for your products or services !

That’s because your advert

only gets displayed

forthe keywords you

have chosen

and the

keywords people are using in their

searches.

Let Your Customers Find You.

•So instead of looking for an audience, you’ve got an audience that’s looking for you !

So What Makes Up a Google Advert ?

• It all starts with your ad. Tell the audience what you have. Highlight the benefits of getting it – and getting it from you.

• Display URL (35 character limit)

• Ad Text (35 character limit)

• Ad Title (25 character limit)

Google Can Show Your Ad to Lots Of People !

Your ads can appear on Google search results as well as the Google Network of search and content sites.

Search partners,including:

Google properties,including:

The Google Network reaches over 80% of

Internet Users worldwide*

Content publishers,including:

network

Other20%

80%

Target the Customers You want By Location & Language too!

• Whether you need to make contact with countless thousands or a select few, Google AdWords can reach them on a neighborhood, city, state, national or global level.

• AdWords even allows you to create your own customized target area by designating a geographic radius or boundary.

• And, should you need to advertise internationally, AdWords lets you target your ads in about 40 different languages, throughout more than 190 countries.

It Get’s Better !

In addition, your ads can also appear on other relevant search and content sites within the Google Network. (Contextual/ Content Based Placement)

This is great - because you often get people, who to begin with, were looking for something else, and they end up clicking your content ad, just because its in the right place at the right time. NICE!

Only pay Google when people click through to your site.

• One reason AdWords ads have such incredible ROI (return on investment) is that your “I”(Investment) is so little.

•You decide what you’re willing to pay for each click on your ad (cost-per-click), and you place a limit on what you’d like to spend each day (there’s no minimum spending requirement).

• Your cost-per-click could be as low as 5¢.

• Here’s the best part – you only pay when people click on your ad. That means you’re investing in definite leads, not hit-or-miss ads

Measure, track & Optimise. See what’s working. Then do it again

• Unlike other advertising, you can do more than just put your AdWords ads out there, cross your fingers, and hold your breath.

• Instead, with online tracking tools, you can keep a close watch on their effectiveness to determine which of your ads are generating the most clicks and which are converting to sales, leads, sign-ups, downloads or page views.

• And, your AdWords ads can be continually altered and refined to drive even better results.

Increase revenue by reinvesting profit

$300 initial investment in AdWords

0.50 CPC ≥ 600 clicks

10% conversion rate = 60 sales

Average sale = $50

$0.3K investment returns $3K in sales

Reinvest profits, increase budget

Example: How AdWords Can Pay for Itself

Benefits of

AdWords

What Google can do for Advertisers

• Advertising on Google can help an advertiser meet many objectives • Determining, measuring, and tracking metrics helps ensure success

Objective Example Success Metrics

Generate awareness Build brand Educate prospects

• Targeted impressions• Qualified visits your website• Depth of involvement

• Request for proposals• Coupon downloads• Newsletter registrations• Email address opt-ins

Generate leads Identify prospects

Customer acquisition Sales

• Sales conversions = $$$• Lower cost per lead/sale

Adwords Helps Advertisers By :

Reach

Cost

Timing

Flexibility

Content Publishers

Search Partners

Google Properties

Other20%

Network80%

Benefits of AdWords: Reach

AOL

Amazon

Earthlink

New York Times

About.com

* Source: comScore Media Metrix (September, 2004)

Ads are distributed across other Google sites as well as on partner sites, newsletters

and email, reaching over 80% of Internet users.

Reach

As mentioned earlier, when you use Google, you’re getting relevant, real-time distribution on a massive scale.

Benefits of AdWords: Timing

Another benefit to advertisers is the timing of AdWords.

• Ads are continuously matched to Internet users’ interests. In internet advertising, timing is very important. Google AdWords ads connect you with new customers by being in the right place, and, more importantly, by engaging them at precisely the right moment. Ads are continuously matched to internet users’ interests.

• Ads are placed as buying decisions are made. The fact that people on the Web, actively reading pages and searching terms related to your product, means they're likely to be interested in what you have to offer.

The Result:

• You reach your audience at the right time, with the right message

Timing

Benefits of AdWords: Flexibility

• See your ads on Google quickly. Whether creating a new account or editing an existing ad, you achieve it quickly

• Optimize and change your ads continually to increase ROI. The AdWords system is available 24 hours a day, seven days a week, and the number of changes you can make is unlimited.

• Target multiple locations and languages.You also have the flexibility of targeting different populations by location and language, which allows you to create targeted ads that will appeal exactly to your audience.

Flexibility

• No minimum spend. You can spend a small amount at first…to test new keywords and ads…and then increase spending when you become comfortable with the success of your advertising.

• You choose your own maximum daily spending limit (daily budget) Google display your ads so that the number of clicks you receive does not exceed your daily budget.

• Choose how much you want to spend per click for every keyword Google never charges you more than this maximum amount. In fact, Google’s automated auction system often charges you less than the maximum you are willing to pay.

Benefits of AdWords: Cost

** U.S. Bancorp Piper Jaffray, New Methods in Search Marketing: Contextual Advertising and Other Evolutions (Safa Rashtchy), June 2004

Cost

Benefits of AdWords: Cost

** U.S. Bancorp Piper Jaffray, New Methods in Search Marketing: Contextual Advertising and Other Evolutions (Safa Rashtchy), June 2004

More cost-effective than other online advertising - Yellow Pages, Banner Ads & Direct Mail* etc Google charges for advertising on a cost-per-click basis. Contrast this with the majority of online advertising, where pricing is based ad impressions; this is usually a fee per thousand impressions. There are no guarantees that a consumer will actually click through to the advertiser’s website with that model.

Cost

SearchEngineAdvertising

Conversion tracking = real-time return-on-investment data.

With AdWords free conversion tracking and online reporting, advertisers get customizable reports that continuously track their sales conversions and return on investment. These reports can also be emailed automatically on a regular basis. These capabilities give you full control over their campaign spend and clear insight into performance.

Benefits of AdWords: Measurement

Measurement

Benefits of AdWords: Summary

• Reach

Access to 80% of Internet users worldwide

• Cost

Low costs for high ROI

Pay only when users click on your ads

• Timing

Ads are seen by users looking to purchase

Reach your audience at the right time, with the right message

• Flexibility

Start advertising quickly

Unlimited changes, whenever you want

You can target ads to the specific location & language of your customers

• Measurement

Tracking and reporting allow ongoing optimisation, and better ROI

Getting a little Technical Now!

AdWords Featuresin a little

More Detail

Basic Features of AdWords

• Cost-per-click pricing

• Ad impressions & click-through rates

• Language & location targeting

The basic features of AdWords include:

Basic Definition: CPC

CPC: cost-per-click

• Click: The action a user takes to select your ad and be taken to your website.

• Google charges the advertiser when a user clicks on your ad

The Destination WebsiteA sample AdWords ad

Basic Definition: CTR

Impression: The appearance of your ad on Google or one of our partner sites

Clicks

Impressions

= CTR (expressed as %)

CTR: clickthrough rate

Another important industry term is Clickthrough Rate, often abbreviated as CTR.

CTR Examples

2 clicks

1000 impressions= 0.002 = 0.2%Example Advertiser A:

CTR is how Google measures relevance

Clickthrough rate is very important, as it reflects the relevance of your advertising. The more relevant ads are, the more often users will click on them, resulting in a higher CTR. Targeted, relevant advertising will return the best results, and Google encourages AdWords advertisers to create relevant ads and keywords. As such, Google rewards advertisers with a high CTR

3 clicks

100 impressions= 0.03 = 3%Example Advertiser B:

Benefits of AdWords – Location & Language Targeting

Targeting options: you can target ads by location and language

• Regional/Local, Country, Global & Customized Targeting

• Roughly 40 different language targeting options to choose from

• Example: you have local flower shops in the Auckland

• Example: you run a restaurant in Wellington

Region/City Targeting Examples

When should you use regional targeting?

Country Targeting

When should you use country targeting?

Use if you have national or global customers

Example: you ship to the U.S. only. Target your campaign to the U.S.

If you have a global business, give your campaigns global exposure

• Example: If you sell DVDs and have worldwide distribution, you should target your campaign to all countries

Global Targeting

Use Customized Targeting to target highly specific areas

For example, to reach customers located in an area that cannot be targeted accurately using region or city targeting

• Example: pizza delivery service

Customized Targeting

Thanks.Feel Free to Bug Me

for more Info Afterwards !…. and visit

www.mickg.co.nz

to view a copy of this presentationand learn more about Google Adwords

and What I Offer

* email mick@mickG.co.nz * web www.mickG.co.nz * tel 027 713 5913