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Search engine marketing, also known as SEM, is a vast black hole into which small businesses pour millions of dollars without landing a sale. But does this really have to be the case? Do you have to throw a few hundred bucks into Google AdWords and then get nothing, get frustrated and get walking?
Here's a quick breakdown of four key things you need to know to lower your cost per click (CPC), decrease bounce rates (people looking at the site and leaving) and improving your clickthrough rate (CTR). {Note: We're focusing on Google; until you master Google, don't waste time with Bing.}
The holy triumvirate of SEM is made up of keywords, landing pages and ad copy. All three must interconnect. Are you a plumber in Worcester? Then your ad copy needs to have at least one of those keywords. The landing page had better make me feel like I'm looking at a trusted company that services Worcester, but it also needs to have the related keywords.
All three points of this triangle tie into the elusive “quality score” that Google gives to each campaign. This has a direct effect on when your ad is shown and how much your clicks will cost.
There are many pieces of software that will manage your keyword bid for you. The key is that they don't take into account the negative effect the bid changes may be having on CTR and ad positioning. If you're going to use keyword-bidding software, which I highly recommend, make sure you measure other key metrics and don't focus on cost alone.
Small businesses cannot invest the tens of thousands of dollars it takes to build a solid keyword bid management algorithm. Fortunately, there are some good ones out there that you can get for $200 to $400 per month. Search for “keyword bid software,” or some variation of that phrase.
Bounce rates are the bane of every AdWords campaign. It means that you've paid for a click and the individual just hit your site and left. The good news is that this is almost 100 percent your fault. If your bounce rates are high, it means your ad copy and keywords are casting too large a net. It can also mean that your website is not clear about the product offering, so people just leave. Rein in your copy so that it's more specific.
The use of “negative keywords” is perhaps one of the best ways to not waste money with an SEM campaign. Let's say you're a house painter. You want people looking for “a company to paint my house.” So, you pay for the keyword “house painter. "What you can get from that is someone who types “How do I paint my house” into his Google search field. That's a consumer you don't want to reach. By making “How do I paint my house” a negative keyword, you block that target out.
Following these four recommendations can deliver large cost savings, better prospects and more valuable analytics information. Starting here will get you well on the road to success with your SEM campaign.
Jim Pond is founder and chief strategist at Compassed, a Leominster-based marketing and sales consulting firm. Email him at jim@getcompassed.com.
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Worcester Business Journal presents a special commemorative edition celebrating the 300th anniversary of the city of Worcester. This landmark publication covers the city and region’s rich history of growth and innovation.
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