Archive for the ‘Pay per click’ Category

Search Engine Marketing in Russia – International Search Review Issue 2

Thanks to everyone for their feedback on the first issue of Reform’s International Search Review. Issue number two is now available, as we move north into Russia.  Like China, Russia is a large market where Google is not the search engine of choice, playing second fiddle to Yandex.ru.  As a result, SEO and general search marketing strategies from international companies looking to expand into Russia often find obstacles here.

For instance, it can be difficult for foreign companies to do PPC advertising on Yandex. Their PPC service is known as Yandex:Direct – which has a user interface for accounts that is entirely in Russian. Unless you have a fluent Russian PPC person on your team (and even then), potential advertisers are advised to let Yandex manage the PPC accounts on your behalf. This is known as the “Yandex.Direct Carefree account” – which their site says will provide you with a dedicated, English speaking account manager who will help you create and run your campaign (assistance with keywords selection, composing the ad text and advertising strategy consulting).

The initial take up of broadband was behind the pace of many other markets, but in the recent years Russia has started to really experience a steadier increase, becoming one of the top countries in regards to take up and usage of Mobile internet usage and Social Networking.   Russia is currently the eighth largest country in terms of internet user population, and is set to overtake the UK into seventh place.

Download a copy of the full “Russia Search Review” issue here

Take a look through the PDF and hopefully we can answer any questions about the search market share in Russia, along with the habits of the local internet user population there.

We look at the Yandex natural search algorithm, along with recent changes in Gogo.ru and Mail.ru, which had made an agreement with Google to use their natural search results, but instead opting to build their own algorithm first and using Google’s as a back up. Gogo.ru and Mail.ru do however use Google’s PPC results, which has helped extend its reach (and earnings) there. Considering Google had a 5% market share in Russia only 4 years ago, it has come a long way. But like in China, there are many factors which will try hard to make sure it never crosses the 50% line.

The overall search market share in Russia currently (along with other key stats from the PDF include):

- Yandex – 54.5% (62% when including Mail.ru) / Google 34.5% / Rambler – 1.9% / Bing – 0.4% (Source: Comscore, August 2009)

- 42,000,000 Internet users as of Jan 2010 and only a 33% estimated internet penetration.

- The average user in Russia spent 6.6 hours per month on social networks (highest in the world out of 38 countries that were reported), compared to a worldwide average of 3.7, 4.6 in the UK and 4.2 in the US. (World Metrix / Comscore: July 2009). The top choice of social network was Vkontakte.ru, followed by odnoklassniki.ru and mail.ru – while Facebook was a distant seventh.

- Twitter integration into search results was done on Yandex first in 2009 (before Google or Bing), yet Twitter usage in Russia is still relatively low, holding less than 0.5% of the overall global Twitter market share.

To get more details on this and everything else, download a copy of the full issue here – and let us know any comments / feedback.   Contact us, and we’ll get the next issue out to you before anyone else gets it!

You can also leave a comment below too.

Blog post by Niall Madden, SEO Director of Reform

Can the gap between full-service and DIY search management be filled?

As a director of several small businesses I have struggled to find a service provider that can fill the gap between full-on bespoke search support and do-it-yourself on AdWords- so imagine my elation when I see BT offering a service geared at SME’s for just £100 per month. Branded SearchSmart it purports to offer “Affordable pay per click management from search specialists”

Unfortunately a call to the BT sales line gives rise to a little confusion. The £100 per month for PPC is actually £300 per month unless you take other services, and BT take £90 of this and that the remaining £210 is spent on media through Google, Yahoo and Bing.  Apparently I can transfer any Google accounts that are set up back to my name without any impact on my quality score, and that “all the work is undertaken by BT employees and nothing is outsourced”. This may be news to Alex Hoye the CEO of Latitude who is quoted on their website saying “This partnership brings together BT’s reach and trust with Latitude’s technical expertise to enable small businesses to succeed as more consumers move online.”

In terms of reporting I am told that I can see reports on what is happening online, but logging on to the Demo Site suggests that I am not going to learn very much, and far less than I would learn from my existing free Google Analytics account. BT do also offer me access to Google Analytics but for £75 (with one part of the website saying this is a monthly charge and another saying it is a one off). The real killer though is in the small print on the website which says that I can’t use any of the BT services if I have had an active account with Google in the last 90 days. So much for the trouble free transfer.

Bottom line is that you still can’t get proper search management for peanuts, and the reason is that proper search management requires sophisticated and time consuming input from experienced practitioners; people who understand that each and every website is different in the same way that each and every searcher is different.

A guest blog post by James Kilpatrick, non-Executive Director of Reform and Director of Craigie Mains (http://www.craigiemains.com).

Search as a Commodity?

The recent trend in agencies outsourcing search to cheaper suppliers, whether they be in the UK or abroad, signals the possible commoditisation of search skills in the near future.

Both SEO and PPC practitioners are available in plentiful numbers at low rates; there are companies in India willing to work on hourly rates as low as £5. That’s 80p lower than the minimum wage for an adult in the UK, so you can see why it would be tempting for clients and agencies alike.

In practice, outsourcing opportunities will deliver a very cheap solution for the simpler aspects of PPC or SEO delivery. My experience of being involved in relationships (from a third party perspective) where both PPC and SEO have been outsourced has always seen something lost in the translation though, with poor quality results being achieved through either poor campaign builds and management in paid search, or the use SEO techniques that are slightly outdated and that fail to address the real issues needed for success in natural search.

So what’s the reason for this? Where is the value being lost? Let’s face it, some of the actual delivery work in search doesn’t require a huge amount of brainpower – adjusting keyword bids when a CPA is too high or re-working meta-tags to have an emphasis on different words is a simple task. So why does it go wrong so often?

The problem comes from the fact that search strategy is inextricably entwined with its delivery. For example, with paid search, when you’ve spent several hours analysing results, understanding how various factors affect the different metrics, and deciding where to focus your efforts, the matter of performing the optimisation is a relatively simple task. Natural search will sometimes similarly require someone to immerse themself in the market, observing what’s working well for the competition, translate this into a strategy for their site, and then spend time delivering what then seems to be relatively simple output in terms of actual SEO work.

So what does this mean for clients or agencies looking to outsource work? I’d suggest that although there are cheap options out there, the skillset of this type of business or individual is never going to be able to drive real success in search for your business by using them alone. Perhaps we need to look at a more traditional model where a planner would devote their time to building a strategy and a separate buyer would then specialise in buying the media – so for search you may be able to draw value from outsourcing options by using them simply as an implementer of the more time consuming tasks, but you will still need a channel expert to decide your strategy, spend time interpreting the data and recommending what changes need to be implemented to your site or PPC account. For all but the largest of advertisers, the benefit is going to be minimal.

Of course, this may change over the next few years as businesses in lesser developed markets become more savvy and develop their skill sets further. When that does happen we may see search agencies turning into more specialist comms planning style businesses and we’ll see companies who specialise in cost effective implementation springing up to complement them. Larger agencies may choose to break staff down into planning & implementation departments to respond to the market.

So while the current standard of delivery from cheap outsourcing options isn’t yet high enough to actually benefit from the cost saving, the threat to the current search agency model from these suppliers is real – and we can expect to see it driving change in the way search is bought over the next few years.

Search Engines in 2009 & Predictions For 2010

It’s that time of the year again. End of year roundups and predictions for 2010. It’s been a busy year in search, well in fact its been a busy decade (but we won’t go there)! If 2009 was the year of Bing, Wolfram Alpha, Google Caffeine and expansion of AdWords usage, along with everyone’s attempts at Real-Time search integration, then what does 2010 have in store for the search industry?

From a user perspective, search engines were looking east. Taking from insights in the far eastern search markets, Bing and Google focused more on becoming a one stop destination hub. From the second you type your query into Google, suggestions are sent your way. In 2009 they upgraded the suggestions to include direct links and elements such as the latest weather reports, or even parcel tracking information, all before you even click “submit”.

Personalisation was a key objective for search engines too, as user data continues to get used to determine future results and trends. However, it met a lot of critique, from many who cited that personalisation may take away from independence (with less and less “new” perspectives given to users). Just like the improvements in audio/video searches and real time search though, 2010 looks to be a big year for the development of these technologies.

As far as traditional SEO and PPC goes, Google impacted these strategies too. Lines began to blur between the two, as Google integrated local results (map results) and expandable PPC ads (integrating PPC and Google Base results together) to include sitelinks and product prices / listings. From an SEO perspective, Google spent the latter part of 2009 emphasising the need for speed – advising that a sites load time may become a big factor for optimisation in 2010.

And Google didn’t stop there, continuing their foray into a vast range of things – some of which it has been working on for a few years, such as voice recognition search, along with working on more efficient translation tools and various apps for the Android operating system. And then there were the many mash-ups of their existing offerings, such as City Tours and Social Search.

It wasn’t all bright lights for Google though, as they continued to seem out of place when it came to other forms of media, including a much criticised attempt to push the Google Chrome browser on TV and print media ads. They also took what many people felt were a step back with a more traditional pricing on “paid placement” local listings, and YouTube ads, opting away from their cost per click rates – and instead going towards the old CPM rates in some cases.

At the same time though, marketers looked closer at the impact of TV on search. Going beyond slogans that say “search for (name of brand) on Google” – marketers looked at having the celebrity presence on their search listings too. Hilary Swank, Scarlett Johansson, Oprah Winfrey and Jessica Alba were celebrities used to endorse PPC ad copy in 2009.

The merger between Bing and Yahoo looms ever present for 2010, while Yahoo Search Submit Pro calls it a day. Yahoo site explorer is rumoured to be next in line, which was the source of many an online SEO tool that analysed links. When this will happen is unclear, but it does remind many of a search marketer of the times when the Yahoo / Overture keyword tool was silently put to sleep.

And of course, it wouldn’t be an end of year / new year posting without some predictions, so here goes. Among our predictions for search in 2010, are:

1. SEO will become the darling of marketing, as recession strapped companies look to get the most of their budgets

2. SEO’s will need to know how to communicate with designers and developers (and vice versa), as factors such as load time, script usage and site coding become key SEO factors

3. Data (advertiser and customer) debates will heat up over the year, as companies like Facebook, Google, Bing, etc tread the line between insight and privacy

4. Local and retail advertisers will see Google Maps and Google Base traffic volumes soar

5. Launched in 2009 – Scoopler.com will become one to watch in the “real-time search” race

6. Search becomes the marketing channel for geniuses (or genii), as from keyword research to semantic psychology – things are about to get really interesting!

7. International SEO and PPC strategies will evolve fast in 2010, as search engines such as Baidu spent late 2009 moving towards a more westernised search methodology in both paid and natural search listings

8. Real time search still needs a fair bit of work and will look vastly different this time next year

9. Mobile search will finally catch up to all the hype its received in the last few years

Drop us a line and let us know what you think is in store for search in 2010.

Blog post by Niall Madden, SEO Director of Reform

The reinvention of an all together more grown up search

Search, for some has always been a dirty word. Swathed in mystery for a long time with images of wizards in ‘black hat’s’ springing to mind whenever SEO was mentioned. Lots of nerdy types claiming to have the magical fairy dust to get to number one in Google and such like. Then things started to change. Every man and his goat was ‘doing search’ with hundreds of agencies claiming to be the experts. Confusing for the client and a bad user experience all round for those of us in the industry.

Google’s tools in particular mean that literally anyone can do it, but it is now starting to be recognised that, although anyone can do it, in order to really benefit from search’s efficiencies, clients need to take more responsibility for how search is actually working for them, instead of just switching it on and waiting to see what happens.

These days change is still afoot but new trends are emerging in the way people purchase and manage their search marketing. Many of the UK’s biggest online retailers now handle all matters pertaining to search in house, with roles filled by ex agency gurus or mathematical whizz kids who are very good at excel. J There are plenty of reasons for looking after search in house. Often, dissatisfaction with agency service levels, or lack of transparency, but also the realisation that search is an integral part of marketing for any business nowadays, and it needs to be positioned within the overall strategy and understood by all stakeholders in the business.

In the agency world too, things are changing. Search is being given a new value at different ends of the process chain. Design and build agencies are being asked by their clients to work on their search strategy, PR agencies are overwhelmed with requests to manage online PR, and they all need to pull up their socks and get stuck in, and ask for help where they need it from bona-fide search experts if they want to maintain their quality of offering across everything they do.

There isn’t any mystery to search, but it requires a lot of patience, and analysis, and it can be laborious, tedious even and, well, it’s not very glamorous. But, one thing is clear: it’s undergoing a reinvention, which Reform is glad to be a huge part of, where search is at last a big cog in the process for all sized and shaped clients from the first website ideas to their 10 year business plan.

Search has come a long way in its early years as a marketing channel. But it is still immature, and we all need to take responsibility – clients, agents, engines and trade associations – to take the industry to a new level of innovation and efficiency. It’s time for search to grow up. To be reinvented.

We are conducting research into how people use search as a marketing medium. If you would like to take part, please click on the link here: www.reformdigital.com/research

Are clients right to be doing it for themselves?

The agency vs. in-house debate for Search is, to an extent a red herring. It shouldn’t be a debate about who does it, but how it is done. Even if an agency is appointed, brands are not devoid of responsibility for the strategic planning piece. Though sadly, many brands absolve themselves of this responsibility, to the detriment of their campaign results.

Whether in-house or via an agency, there are some common considerations for the brand; e.g. who owns the PPC account data (agency or client)? Who owns the third party technology license? Are the business goals and sales targets being shared with the campaign manager (whether in-house or agency)? Who will manage the information flow between the business and the online marketing team? Are campaign management techniques up to date or tired? Who handles the budget modelling? Can the agency influence changes to the website to improve conversion? Who will feed the search marketing (and behavioural) insight into the broader integrated comms planning piece?

We find that there isn’t necessarily a one size fits all approach to managing Search. Many retailers and large ecommerce / online brands derive such a high volume of sales and revenue from search marketing, that it is simply far too business critical to be managed out-of-house.

And all is never as it seems in that many agencies – including search pure plays – subcontract PPC to cheaper suppliers (who tend to be based abroad). Again, this can be both very cost effective and disastrous if the supplier relationship isn’t carefully managed and the strategic goals communicated by the primary agent.

Paid search has become a media for the masses, largely thanks to Google’s sales strategy for AdWords, so agencies definitely have to work extra hard with Search to demonstrate to their clients why their clients shouldn’t simply DIY.

Are you getting the value you should be getting from your PPC agency?

So investment in paid search is growing and growing, clients are bartering harder on agency commissions, more and more focus is being put on the efficiency of your search marketing programme. So what, as a client, can you do to ensure you’re getting the most bang for your buck?

One thing that you can do is review the practices involved in the management of your account. All of the engines will be able to support you in this, but some of the things you can review to get you started are:

Bidding & Budgeting:

Are you operating at a fixed CPA across the entire account, all year round? Or are you flexible on your CPA so that you can maximize ROI? The uplift in traffic around seasonal peaks may make competition more fierce, and as such each conversion more expensive, but if you’re willing to be flexible you can capture the volume and improve profit. Your agency should be feeding back to you on a monthly basis what the investment should be in different areas of your campaign, understanding this can allow you to further your understanding of what’s affecting different parts of the PPC account, and adjust bidding strategy accordingly.

Coverage:

Are you testing to see if generic keywords that don’t cost in on their own create an uplift across the rest of the account? It’s not always the case, but if you’re in a quest for the final 5% of volume it can make the difference.

Have you got the balance of investment on your brand terms right? Sometimes you need to bid on them to keep out the competition, but sometimes you’ll cannibalise your natural traffic – again, testing is the answer!

Using a search query report will help you ensure you’ve got coverage on the right terms, and you can use the searches that you’re getting clicks from but don’t have content or products for to inform you over what you need to be doing – search isn’t just about traffic or conversions, but about listening to what the searchers are asking for!

Structure:

Does your account structure evolve, or is it static? Paid search offers an opportunity to constantly improve your account using the timely, conversion focused data that it’s capable of supplying. As a result, keyword lists should constantly change shape and new ad copy should be built. The structure will have to change around this to support the delivery of relevant ads – so if your structure isn’t changing then either your account isn’t, or it’s not making the most of the changes that are being made.

Processes & Automation:

Of course, these recommendations are only a starting point, and rely on a smooth, uninhibited flow of information between an agency and a client. Once you’ve reviewed these and all of the more granular points that you investigate as a result, it’s time to review the processes that will help you improve your budgeting, coverage and structure.

Do you have a report that informs you what is being spent on what keyword groups and clearly shows you the trends over time?

Do you have processes set up that allow you to feed new keywords into the campaign quickly and efficiently?

Do you have a process in place to test different ad copy and continually optimize your creative messaging?

If not, then it’s likely that the time being put into your account is inefficient – and if time equals money for both you and the agency, there’s an opportunity for improvement here.

Our Trip to Search Marketing Expo (SMX) East 2009 in New York

We all packed our bags and hit the bright lights of New York.  Actually, no, not really….. We have someone here in our New York office, and we sent him out to SMX 2009 at the Javits Center last week. 

There were many things to be seen at SMX East.  Perhaps more so than in the London equivalent.  Here is what we saw plenty of. . .
 
Out of the booths, or tables, stands, whatever you want to call them, it felt like HALF of them were about tracking solutions of either website traffic stats, or how to track, analyse, or manage Google / Yahoo / Bing PPC campaigns in one place, with an interface that’s user-friendly and generates the “right” customised reports.

The good side was that some of them had effective ways of separating what the user actually queried versus the ad campaigns keyword bid, and displayed useful figures such as your keywords “impression share” – which could help refine campaigns and increase returns further.  However, most of these applications made the same mistake – they were programmed in Dollars and Cents.  So no Pounds and Pence, and no Euros, makes it a lot harder for the more international sites to use at this point.
 
So I’d say one of the biggest disappointments was the lack of international influence.  Almost everything was very US market focused, with maybe versions coming out later for the UK market (once we asked).  Which is a shame, as some of them looked very promising, quite competitively priced, and ran quite smoothly.  Of course, things always look nicer in the showroom!

And going to the other end of the spectrum, “local search” was almost silent.  There was some buzz and several conferences about optimising via the Web 2.0 tools, a la Twitter, YouTube, etc.  But most of the buzz was around tracking and general SEO.      

There were a fair few “SEO Interfaces” – as perhaps more companies are looking for a more template approach to SEO.  Yet, it’s the “same old” in most cases.  Your Yahoo site explorer links, your Google PR, your Alexa page rank, and various other things you can find online and aren’t even the most reliable sources in some instances.  Then there are others that just over-analyse rankings and keyword density to the point where clients get obsessed with both!  And that’s not how SEO works in the first place.

Too many places trying to define it a certain way, and maybe that’s influenced by client marketing teams and needs.  If there was a template mechanism for measuring SEO accurately, it would be a hit for sure.  However, reality is, you cannot template SEO.  Every tool I’ve seen has promise, but then if you try it with three sites that you either own or have access to the data of – it will usually be way off with at least one of the three.  And that’s a horrendous rate for any marketing tool.  That’s why we give every website a customised approach.

As for my attendance, I was there on day two (Tuesday), as it was more SEO geared and had a “link building” conference.  However, for those that actively deal with link building, there was nothing new here.  The usual “does Google detect link buying” (only meters away from companies that buy/sell links for search marketing purposes!) – and the usual complaints from sites that are making quite basic mistakes.  As for link buying, it has at least becoming more internationally focused itself.  By that we mean, for the sites that want to dabble in buying links, link brokers now have a more international reach.  Since Google’s algorithm has a lot to do with link strength and location, it’s always a touchy subject.  Here at Reform, we make sure all sites know what they’re getting involved in before even considering such routes, and what the pros and cons are.

More details from SMX East 2009 can be seen at http://www.seroundtable.com/archives/020841.html
(which has live blog transcripts of every other session at SMX east too).

Time for transparency of Search practices?

At ad:tech in London this week there was the usual good representation from the Search agency community: DBD Media, Oban Multilingual, Jellyfish and Efficient Frontier, to name a few of the regular crowd; and Just Search, Optimize and High Position to name some newer kids on the block.

Each agency has its own USPs – whether this is an algorithm, a technology or planning tool. Some claim to be technology providers; others stick with the agency theme. Some have slicker marketing then others – glossy handouts and snazzy logos for tools; others have fast talking sales folk, who can counter any argument on the planet with “yes, but we’ve got a secret sauce”.

Poor, poor clients. Where do they start in evaluating what really sits behind the ‘smoke and mirrors’ sales rhetoric? How do clients know that they will get quality of service, efficiency of management, a best of breed piece of kit, and – perhaps most importantly – transparency of ROI?

Here’s the thing. What all of these Search agencies and technology providers are selling is a service. It’s a combination of people, process and technology. Technology is really important because it is the enabler, the heavy lifter, the lawn mower. But someone’s got to mow the grass.

Here’s the other thing. There is no perfect algorithm for delivering a service. Efficient Frontier call it an “intelligent learning algorithm”; we call it great minds, nimble fingers, Excel macros, spreadsheets and 50 people in India.

Oh, and clients, do ask about who’s doing the do. Is it in-house, or is it outsourced to a country where labour is cheaper? Many Search agencies nowadays are outsourcing. Because there is a lot of heavy lifting to do. If so, do they understand the nuances of your target language and how people search in that language. Are your business and marketing objectives being lost in the Chinese whispers translation from client to search agency to overseas outsourcing agency.

Search is already complex enough without suppliers masking the truth about delivery and adding extra layers for sales and marketing purposes. When will the mist clear so that clients know exactly what they’re buying? Isn’t it time that Search agencies started being transparent with clients about their practices, so that clients can make informed buying decisions?

Is it too much for clients to expect a straight answer to the questions “how?” and “who?”

Real success in search isn’t about delivery, it’s about change.

There seems to be an endless supply of blog posts and articles tipping us off on the “Six secrets to success in search” or the “Top 5 tips for tripling your PPC ROI”.

Now, you’ll never hear me doing down the importance of building PPC campaigns in line with search engine best practice or ensuring that your ad copy is compelling, your landing page highly relevant, and your keyword lists well managed. If you don’t do this you’re going to be fighting an uphill battle with PPC investment – and the engines will be more than happy to take your money while you make the mistakes.

What bothers me is that across the industry, search practitioners seem to focus so much on this stuff. Surely excellence in delivery should be taken as a given? Yes, there’s a lot of intricate knowledge that an experienced search practitioner can apply to save a client a lot of money. Sure, you have to do all the granular campaign structure with highly relevant ad copy stuff, but that’s not what creates success. That just stops you from being inefficient.

I think there’s only one key to success in search; understanding your market.

To do this, PPC has to be used as what it is: a true blue, two way marketing tool. Not just a way of reaching customers, but a way of listening to them. Without going too evangelical, nowhere else are we presented with such pure data. Nowhere else do our customers (or people who, sadly, don’t want to be our customers) type out exactly what they are looking for, and allow us to observe their response to our offerings through click through and conversion rates, or observe what the latest popular search terms are.

But search practitioners sit somewhere between clients and their customers, so understanding our market also means understanding our clients’ businesses. There’s little point to all of our knowledge about the ins and outs of what effects Quality Score or knowing the Ad Rank formula, or even observing the latest market trends if we can’t make this usable for our clients’ business and relate it to their business strategy. Too long have we existed in a silo, reporting on the same old metrics. You see it in agencies, consultancies and in-house departments; all the specialist knowledge that we have access to just doesn’t get utilised because it doesn’t get properly connected with business strategy.

Forget about achieving a great CPA for a few seconds, surely a business is going to care more about the latest rising search that could open up a new product line, or the product sector that they thought just wouldn’t drive any sales that’s outperforming their best channel in terms of search query volume. Search is capable of driving consumer led change in the way a business behaves. The potential effect this could have on a business is much greater than achieving a low CPA in September.

So here’s the one secret to success in paid search: know the market. Listen to what your customers are saying, let your PPC strategy mirror your or your client’s business values and strategy but be willing to use search data to challenge and improve that strategy. Sure, you need to do the rest right too, but don’t get bogged down in it. The real opportunity is elsewhere.