CCT356: Online Advertising and Marketing

CCT356: Online Advertising and

MarketingClass 3: Pay per Click Advertising

AdminAt least three guest lectures confirmed to come

in – Julie Tyios, either/both of Michael Cayley/Christina Wiggings, either/both of Keith MacDonald and Vivian Ip.

We will move things about some to accommodate as required

The core of online adsPPC – pay per click CPM still exists and is supported by many

(including FB) and still is core of traditional media advertising (e.g., million-dollar spots in Super Bowl)

Limitations are clear though

Case: GoogleAdwords– buying based on contextual informationRight words = right placementAuction-based system for placement and payment

on clickthroughSponsored links – changes nature of searchBut also democratized ads – you and I can easily

advertise if we so chooseObviously successful – Google and FB revenue

models largely based on PPC

Initial controversyEarly days of search – concerns about placement

– similar to issues of net neutralityDo people who pay more deserve

better/consistent placement?How can search engines operate without a

revenue stream? What about situations like Wikispaces?

Basic structure of AdwordsHeading Two lines of text URLCan be difficult to smash everything you need to

say in such limited spaceVarious rules

Keywords and match types

BroadPhraseExact NegativeAll based on standard search

techniques/technologiesThe more precise you are, the more likely you get

what you want – and the less likely you get random but helpful connections

BroadAllows for variations and synonymous terms

(e.g., “sneaker” vs. “shoes” – obviously the same thing)

Allows for common misspellings (e.g., “did you mean X?” will show ads for X.)

Phrase“tennis shoes” = only search phrases that

include that specific phrase (but can include other words)

Advantages/drawbacks?

Exact[tennis shoes] = this and only this will trigger adAdvantages/drawbacks?

Negatives(-) X = if people are searching for something

that has an imprecise meaning you can exclude common misinterpretations

Examples?

Ad placement – a delicate balance

A complex mechanism – unlike traditional adsBidding based on price points, min/max PPCPlacement based also on relevance

(signal/noise) : relevance of keyword, search term, ad copy, landing page, previous CTR history

Advertisers want attentionSearch engines want relevant attention

CTR, PPC, CPA, ROIClick through rates (CTR) dependent highly on

position If you’re aiming to be result #1 on Google, great

– why?CPA = cost per acquisition.What are you acquiring?ROI should be based on that.

Long TailInternet has democratized access to content –

everyone technically equalAllows for niche products to stand out – at least

more so that in standard practiceThat noted, people are still pretty predictable

and follow patterns – there’s just so many more patterns to follow

Steps to effective PPC ResearchDefine GoalsDefine Budget, CPAKeyword research Write adsPlace bidsOptimization

An effective landing pageYou only get one chance to make a first

impressionShould represent value of product or serviceAvoid annoying Flash intros – pointless, no value

add, and inaccessible for most mobile devices

Keyword guessingPart art, part scienceMany tools provided in text – when planning

campaign, best to make an educated guess on words that will be inevitably used

A note on PPC fraudNot a new phenomenon – 1-800-USA-ARMY

exampleMischievous behaviour continuesMore control to combat this – if you pay

attentionMonitoring is key – you have access to the best

stats available, and it’s your problem if you choose to ignore them

Overall benefitsVery low cost barrier – again, we can all

advertise online right now, if we’d likeTracking of costs - micro level stats exist – use

themFilters allow for very precise targetingContextual ads = appreciative audience –

they’re often quite interesting

SEO/SEMA very lucrative field Not “hacking” as much as using the tools

available to the best of your abilityBe wary to keep a certain moral compass

around – people who violate basic rules poison the water for everyone

Next couple of weeks…More on SEO/SEM and affiliate marketing –

foundation of social media marketing