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Beat the Price Creep
July 2006 From Target Marketing
The industry has witnessed much discussion and hand-wringing lately over the fact that the average cost per click (CPC) in the major pay-per-click (PPC) programs steadily has been increasing. This increase squeezes the return on investment (ROI) of the program for all participants, especially those at the top of the auction. Because PPC operates on an auction model in all the major engines, the end result is that prices inflate to whatever level the market will bear. What’s driving the pricing climb? The biggest factor is the ever-increasing number of advertisers entering the auctions, including brick-and-mortar companies with deep pockets looking to get into
July 2006 From Target Marketing
The industry has witnessed much discussion and hand-wringing lately over the fact that the average cost per click (CPC) in the major pay-per-click (PPC) programs steadily has been increasing. This increase squeezes the return on investment (ROI) of the program for all participants, especially those at the top of the auction. Because PPC operates on an auction model in all the major engines, the end result is that prices inflate to whatever level the market will bear. What’s driving the pricing climb? The biggest factor is the ever-increasing number of advertisers entering the auctions, including brick-and-mortar companies with deep pockets looking to get into
Bid Fight
February 2006 From Target Marketing
Paid search advertising has been with us for nearly eight years now, since GoTo.com pioneered the concept in 1998. Growth was rapid, as Overture and Google fought for paid search supremacy. Google alone boasts about 400,000 advertiser accounts worldwide and exceeded $5 billion in revenues in 2005, 97 percent of that from advertising. Judging by my clients’ accounts, Overture (now Yahoo! Search Marketing) generates about half the spend and click volume of a typical Google AdWords campaign. The typical layout on sites such as Google Search places small text ads in the right-hand margin next to search results on a given user query, as
February 2006 From Target Marketing
Paid search advertising has been with us for nearly eight years now, since GoTo.com pioneered the concept in 1998. Growth was rapid, as Overture and Google fought for paid search supremacy. Google alone boasts about 400,000 advertiser accounts worldwide and exceeded $5 billion in revenues in 2005, 97 percent of that from advertising. Judging by my clients’ accounts, Overture (now Yahoo! Search Marketing) generates about half the spend and click volume of a typical Google AdWords campaign. The typical layout on sites such as Google Search places small text ads in the right-hand margin next to search results on a given user query, as
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