Archive for the ‘Research’ Category

Is it an art or is it a science?

June 25th, 2010

Albert –László Barabási is probably not well known in the world of search and that is not necessarily surprising as he is a physicist living in Boston, USA. But he is a physicist with a difference, who employs detailed scientific modelling to help understand social behavioural patterns.

In his research he maps the daily movements of millions of mobile phone users over many months. His latest study of a random 50,000 person subset has concluded that 93% of human mobility patterns are predictable. If he is right, and there is no reason to believe otherwise, that is a big number – in fact that is a huge number.

At this point he seems to be most excited about the prospect for using his ‘data burst’ analytics to model the spread of viruses or road traffic engineering. From a marketers point of view these individual and collective physical travel habits will be of interest, but people’s virtual travel habits are likely to prove even more interesting.

With Google and Facebook representing the most travelled sites online, the brands that can best analyse the ‘data bursts’ of search and social media activity will be best able to ensure that their products and services lie in wait as each consumer makes the next click with their mouse.

But better still, a little bit of reverse engineering will actually inform brands as to the moves that their competitors are most likely to make. This is where the art of pursuing means reversion or trend acceptance will force the data analysts to take a back seat as the business tacticians plot their course.

Blog post by James Kilpatrick, non-Executive Director of Reform

The State of Search Marketing Survey – guest comment from Ed Stevenson, MD of Marin Software

May 21st, 2010

Congratulations on your recent State of Search report.  I thought it provided some extremely valuable insight into the big issues facing our industry.

In particular, I was interested in the things that advertisers want to see more of from their agencies. Here’s the full list from the report:

• More insights from performance data, not just impression levels and basic daily reporting
• Better recommendations that can be implemented quickly
• More transparency of data
• More pro-activity overall
• More advice and assistance planning with ATL activity
• Direct access to tools for data without waiting for agency to provide it
• Ability to do more structured testing
• More meaningful (not necessarily more detailed) reporting and analysis
• Better understanding of the client’s company and its products to make PPC campaign changes easier
• More integration between SEO and PPC

What I think shines through here is a growing desire for control: advertisers want more of it; agencies have not always been able to demonstrate they can provide it.

Of course, advertisers have always wanted to know how their search campaigns are performing, but – as the report clearly shows – search spend has increased dramatically both in absolute terms and as a share of the overall marketing mix in recent years. With this growth inevitably comes greater scrutiny and a desire for more intelligence around how search is directly impacting the business.

The report also shows where this appetite for greater control can logically end up – with search being taken in house. Almost a third (32%) of clients are now taking this option and over half considering doing so. Clearly, in some cases this can make very good sense and certainly knowledge of ‘how to do search’ is no longer confined to a small niche of agency specialists – the basics are becoming commoditised.

But I still strongly believe that in many cases agencies can play a vital role in giving an outside perspective and adding creativity to search campaigns that advertisers can benefit from. And in a world where demand for exceptional search talent still outstrips supply, agencies can help clients access the skills of the best people available.  As I’ve written about before on my own blog, I think to succeed agencies need to directly address the issue of control. They need to be more transparent in their reporting. And they need to offer not just information, but insight and intelligence about campaigns and relate that back to the businesses they are serving in a language they understand.

A third of clients already see search as too important to outsource – and they may well be right.  The key to the future of agencies is to develop such a deep understanding of their clients, combined with outstanding creativity, so that an agency relationship no longer feels like outsourcing at all.

Guest blog: Ed Stevenson has worked in the search industry since the early days of AdWords and is now the Managing Director of Marin Software in Europe. Read more about his take on the rapidly expanding world of big search marketing at http://www.bigsearchblog.com.

You can read more about this State of Search Marketing Survey and download the full report here: http://www.reformdigital.com/reform-search-marketing-survey.

Search Engine Marketing in Russia – International Search Review Issue 2

February 16th, 2010

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

Looking Into China’s Search Market & Social Networking Usage

January 7th, 2010

To kick off the new year, Reform is releasing the first of several in a series of their “International Search Reviews”.  The first one concentrates on the search market in China, which is rapidly evolving as we speak – even in the past week or so, where we’ve seen Microsoft announce how its making the market a major priority for 2010 – and how they plan on trying to get a better understanding of what Chinese users need.  Download a copy of the full “China Search Review” issue here (updated 13/01/10 with recent info regarding Google’s threat to leave the Chinese market).

And lets not forget Baidu’s announcement earlier this week to team up with Providence Equity Partners, who are an investor in U.S. video-viewing site Hulu – as they look to make a move in the online video marketplace.

We felt that the International Search Review series would be a good way to consolidate research and our own insight into these markets – and also helps answer the many questions people have when trying to find out the market share in China, the user internet population, or the effect of mobile search and social networking in China, the latter of which has proven not only profitable, but to be a lot different than how we may perceive it in the west.   For example – we look at how Social Networks in China have found a way to become profitable, without relying on advertising, and how the reasons users go on to social networks are quite different than why people in the UK or US might do so.

The SEO and PPC insights about China takes a look at Baidu’s natural search algorithm, along with their recent change of handling paid search campaigns – via their “Phoenix Nest” platform, along with how search works in the Chinese market, and local perceptions about what SEO and PPC are in the first place.  For example, “paid placements” were considered part of SEO.

We also look at what might lie ahead for this market in 2010, as big brands and technologies from the west focus stronger on what is now the biggest internet market in the world.

Of course, if you just want the stats, we’ve got that too - here’s some recent stats about search usage in China.

Baidu 64% / Google 21% / Others 15% (China Daily)

Baidu 62% / Google 29% / Bing 1% (Analysys International)

Baidu 76% / Google 20% / Yahoo & Bing 1% (Comscore – July 2009)

360,000,000 Internet users as of Sept, 09 and only a 25% estimated broadband penetration.

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.

Blog post by Niall Madden, SEO Director of Reform