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Home > Shows by Topic > Strategy > Best Practices for Small Businesses > Pay-per-Click Advertising as an Internet Marketing Strategy

Pay-per-Click Advertising as an Internet Marketing Strategy

 
combridgesMany businesses have a business plan and a marketing plan that goes with it but many have failed to include an internet marketing, or online marketing plan. Jon believes the reason is simply because they don’t know where to start, nor do they understand how things have changed. In this segment we will talk about why an Online Marketing Plan is so important and how to make decisions, especially if you are on a limited budget as to where and how to spend your marketing dollars and energy.

   Interview Recorded Live: January 26, 2007

We invite your comments, questions, feedback and suggestions.


Pay Per Click Advertising as an Internet Marketing Strategy


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Jon Leland of ComBridges explains why many businesses that have a marketing strategy have failed to include internet marketing, specifically organic search engine marketing and pay-per-click advertising in their plans. Developing a Search Engine Marketing Strategy is a critical component of a successful marketing plan.

How clients adopt the different internet marketing methods depends on their budget. Some companies have a set budget but there are certainly others that want marketers to convince them that the return on investment is real. However, such clients are now in minority. Jon gives an example of a friend who runs a local business. She used to spend a lot of money on the yellow pages. Today, she’s doing so well with internet marketing that she has cancelled her yellow pages advertising. People are recognizing the importance of search engine marketing and are relying on it more and more. However, there still are a lot of small businesses that don’t even have websites. Certainly many that have start-up websites haven’t made the leap into search engine marketing. Jon is a strong believer in the internet and he strongly suggests that if possible, you should employ multiple internet marketing strategies.

Briefly, there are different ways to evaluate organic search advertising. One of them is on a ‘cost per lead’ basis because, over a period of time, you’re really looking at the cost to acquire a new customer. In order to acquire a new customer, depending on your business, you have to acquire “x” number of leads. Then, you evaluate what percentage of those leads you can convert into customers. So with time, as you develop a strong organic position, your cost per lead goes down. This takes time because you’re building your position in Google’s database. So, it’s a longer term strategy that ultimately yields a lower cost per lead.

One of the beauties of pay-per-click advertising is that there’s more immediate gratification. You could set up a Google AdWords campaign for a client and be delivering traffic to their site in a matter of a few days. Once you open an account and start spending money, the traffic begins. Then it becomes a numbers game in terms of how much you are paying per click.

One of the things people fail to do is adequate tracking. Be sure to build keyword tracking into your budget so that you can analyze the return on your investment and identify which keywords are working better for you. But, equally important is the quality of the website. If you buy a set of inexpensive keywords for 10 cents a click and end up spending $100, you’ll bring 1000 visitors to your website. So out of the 1000 visitors to your website as a result of keywords that you’ve identified, you will be able to see how many you can convert into customers. This is a function of the content of the web site, website design and the attractiveness of your proposition.

As a result, allow enough time in your marketing plan for the optimization. It does take time and approvals, which do not happen overnight. On the other hand, with pay-per-click, running a quick promotion can be done much faster. One of the most common mistakes people make (which is common to both forms of advertising but is especially common in pay-per-click advertising) is that they drive all traffic directly to their home page. They haven’t crafted individual landing pages for individual ad groups or groups of keyword phrases that have a specific focus. If you want your ad to be relevant to the keyword that’s being searched, you must create a relevant landing page specifically for that traffic.

If the content of the website is well-crafted and relevant to a particular topic, the search engines are likely to pick it up and as a result, bloggers or the niche fragments will pick it up as well. Simply invest time in writing good articles, relevant blog posts and email newsletters. Viral marketing requires quality content and there’s no alternative.

Keyword research is critical, even before naming a company. Search engines represent a database of intentions. Meaning, when someone searches for an ‘Alaskan Cruise’ in a search engine, essentially they are declaring their intention or their desire to take an Alaskan cruise. Keyword phrases are the connections between your business and traffic. It’s all about finding the right keyword phrases. We’re identifying the language that the world is using when they ask for you. Keyword research uncovers information that is not always apparent to the small business owner. Then you sort the phrases by those that are being searched the most and are being used by the most competitive pages. This is the starting point.

Segment 1: Organic Search Engine Marketing, Pay-per-Click Advertising and Viral Word-of-Mouth as Successful Internet Marketing Strategies

Segment 3: Viral Marketing with Video, Blogs, and Press Releases

Segment 4: Using YouTube and Google Video as Online Marketing Tools

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