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Ad Positioning and the Dead Zone

February 13th, 2007 by Chad

One of the stats I have been tracking recently is how ad positioning (Slots 1-8) affects overall ROI. An interesting trend that has come out of the data is that there is a definite “dead zone” in positions 3-6. Of course slots 1-2 are going to be great for ROI, that is expected. But it was a little suprising to me that slots 7-8 were better than 3-6. When you consider how people look at a page of information though it does make sense. They tend to look at the top and bottom, while glazing over the middle sections.

Ad position

Click to enlarge

So what does this mean for the PPC advertiser? Personally, I try to either up my bids or lower my bids to get into these prime positions. Lower bids to get a better return, what a concept! Positions 1 and 2 will alwaysbe the best, but if they are out of your reach, shoot for the bottom. Just don’t too low, or you’ll be out in the weeds on the second page.

(Another lesson to learn: notice the guy in 4th position? Don’t use dynamic keywords if you don’t understand how they work!)

Posted in PPC, General, Adwords | 2 Comments »

New Yahoo Quality Index Launched

February 6th, 2007 by Chad

As most people know, the new Yahoo ranking model was launched on Monday. Basically it’s their version of Google quality score, while not quite as opaque as Google. They actually provide some visibility into your quality score by a ranking of 1-5 in the form of blue bar. I am looking forward to this change, as I think it will help weed out some of the people jumping into niches with high bids and throwing everyone off. You will actually have to do some work to rank well, which is always a good thing for the long term search engine marketers.

According to Yahoo, your quality index is determined by:
1. The ad’s expected performance - which is determined by various relevance factors considered by Yahoo’s ranking algorithms.
2. The ad’s historical performance - its click-through rate relative to its position on the page.

So it would seem they are taking the view of how the ad group performs as a whole, rather than individual keywords. I checked out some of my campaigns this morning and was pleased at how they are running so far under the new system. I saw quite a few of these babies!

Booya!

Yahoo Quality Index

We will see how it all shakes down in the coming weeks. I am loving the traffic I am getting from YSM these days. They are sending me more clicks that Adwords sometimes!

Posted in PPC, General, Yahoo | Post a comment »

Pruning the trees - as related to SEM

January 30th, 2007 by Chad

When you are running a long term PPC campaign, ongoing testing is key. The hard part is to continue testing, even when you have an established and well running campaign. It’s easy to sit back and be satisfied with your ROI, but how do you know you aren’t leaving money on the table unless you continue to test? That’s what takes discipline, and if you have it you can separate yourself from the rest of you competitors.

This brings me to a task that I have started calling “pruning the trees”. I have this mental image of adgroups as branches on a tree, with the top performing ad texts as healthy branches shooting up. The bad performing ads are kind of scraggly branches growing off to the side. So just like if you want to keep a tree growing up, you have to prune off these side branches to let the good one keep growing up.

So for example, say you have an adgroup with 2 very strong ads pulling around 5% CTRs. Start throwing ads in there daily and let them run for a few days. Once you have this cycle going for a while, you can go in and prune out the bad ones, keeping the top ads in place. This will create a constant upward growth pressure on your adgroups. You are looking for that new ad that just may end up beating your top performers.

It’s important to note that by testing, you are going to use up some impressions on low performing ads, which would have otherwise gone to your top performers. That’s the cost of testing, but the rewards can exceed that cost if you hit on a great new ad copy.

Pruning the tree

Posted in PPC, General, Testing | Post a comment »

Maybe ringtones aren’t so dead after all

January 23rd, 2007 by Chad

So it seems there is a lot of interest in ringtones again, after the big shake up this summer. I don’t usually discuss the niches I am promoting, but with ringtones the cat is so far out of the bag that it makes no difference at this point.

Like almost all newbies starting with PPC, I tried ringtones. I did OK, nothing to brag about; at least I didn’t lose money. I eventually moved on to other niches that have been much more profitable for me. So now that I am doing pretty well and have learned about 1000% more than I knew back then, I decided to give them another shot.

I started on Jan 1st, and went about creating super focused keyword lists and ad groupings. I hooked those up to super relevant ad copy and landing pages. Using the same traffic sources as before (the big 3) and pretty much the same bid prices, the second round of ringtone testing began. The results were pretty surprising to me. The first time around I think I had eCPCs around .30-.50. This time around with my focused campaign I am seeing eCPCs in the $1.50 up to $5.00 range! Pretty amazing. I know the market hasn’t gotten any easier, so my techniques have definitely improved.

Not to brag or anything, but it would seem I now have the PPC ninja skills!

Posted in PPC, Azoogle, Ringtones | 2 Comments »

12 Pay Per Click Networks Tested and Rated

January 15th, 2007 by Chad

This is an update to the first Pay Per Click Network challenge of a few weeks ago. There is new data, new PPC networks included, and a new scoring system based on everyone’s input from the last one. Hopefully it will be even more helpful now.

To review:

These networks were all tested running the same PPC campaign (meaning the keywords and the ad texts were the same) to an affiliate offer with the exact same landing page.

Scoring system:

I threw out the interface rating as many people thought it skewed the results of bad performing networks that had a good interface. I agree that performance is king and if something converts well I can live with a bad interface (MSN, cough, cough). Now the scoring is based on 3 factors with 2 being double weighted. This should more accurately show the total performance of a PPC network.

• Traffic Volume (Highest volume = 10 out of possible 10)
• Conversion Rate (Best conversion rate = 10 out of possible 10)
• Click Pricing (Lowest pricing = 5 out of possible 5)

For a possible total score of 30

The Results:

PPC Network Traffic
Volume
Conversion
Rate
Click
Pricing
Total
Score
MSN 6 9 4 19
Yahoo 8 7 3 18
Google 10 7 1 18
Searchfeed 6 6 3 15
Looksmart 3 7 4 14
Miva 2 6 4 12
Adbrite 2 2 4 8
7Search 1 2 5 8
Enhance 1 1 5 7
Kanoodle 1 1 5 7
Search 123 1 1 4 6
Bidvertiser 1 1 4 6

Traffic Volume Winner:

As always Google is king of traffic volume. The only thing that keeps it from the overall leader is its stiff click pricing.

Conversion Rate Winner:

MSN is the tops for conversions. Too bad their volume isn’t up to Google or Yahoo’s levels.

Recommended:
• MSN
• Yahoo
• Google
• Searchfeed
• Looksmart
• Miva

Stay Away!
• Adbrite
• 7Search
• Enhance
• Kanoodle
• Search 123
• Bidvertiser

Remember these results are based on my campaign and niche, your results may vary wildly.

Posted in PPC, Adwords, Panama, MSN Adcenter, PPC Smackdown | 12 Comments »

Searchfeed and Miva impressed me lately

January 10th, 2007 by Chad

So I had dropped my campaigns with Searchfeed and Miva a while ago. Searchfeed conversion rates just started dropping, and also their GEO-targeting started getting really off. I take random samplings of GEO accuracy and one day in mid December it just took a big nosedive. It was disappointing too, because SF used to be a very strong converting PPC source for me. I ended up emailing them with a spreadsheet of my stats and explaining what happened. To my surprise, less than a day later, they refunded me almost $1,000 in clicks for December and wanted me to give them another shot. Since I resumed my campaigns they seem to be back on track.

I had tested Miva in the past and the conversions were just not there, so I stopped using them. Then my account rep called me last week offering me free matching clicks to try them again on their new “precision” network. Well, I am never one to turn down free money so I fired up a campaign with them for more testing. I was pretty impressed at their effort to retain me as a customer.

These results will be included in a new and improved PPC Smackdown 2.0 that I will be putting together at the end of this month. Stay tuned!

Posted in PPC, PPC Smackdown | 1 Comment »

Yahoo Panama is rocking my world

January 7th, 2007 by Chad

I have to say after 2 months of use, I am liking YSM more and more all the time. From the totally un-useable system it was before, they really nailed it with Panama. Is it perfect? Of course not, but it’s pretty damn good. The upload/campaign conversion tool is the best feature. If you are a spreadsheet geek like me, being able to lay out the whole campaign in Excel, then hit upload is great. Or if you already have a campaign running in Adwords and you want to lauch it on YSM, it’s as simple as opening your Adwords editor, exporting the campaign to a CSV, running the convert tool in YSM, then uploading the converted CSV back to YSM. I took a 40 adgroup campaign with a hundred ads and 8,000 keywords from Adcenter to YSM in under 5 minutes. Another great technique I have found is to build the campaign in the Adwords editor, then export, convert, and upload to YSM.

Are you listening MSN? You need to make a solid, campaign level upload tool!

Posted in PPC, Panama | 1 Comment »

Whats your landing page bounce rate?

January 2nd, 2007 by Chad

One of the best ways to test the effectiveness of you landing pages is through Google Analytics Bounce Rate metric. This particular report can be found under content optimization, navigational analysis, entrance page bounce rates. With a bit of tweaking you can view a chart like this:

Bounce Rate

So what does this show? Well, like in golf, a lower number is better here. The lower the percentage, the more people are clicking through your landing page and taking the action you want them to. The higher the percentage, the more people are abandoning your landing page. In the example above, the landing page with the 46.3% rate is the most effective page, while the 76.5% page is pretty bad. This is a tremendously important way to gauge the effectiveness of your landing pages.

It’s also import because it gives you an even more detailed view than just conversion rate. For example if you have a 5% conversion rate, you still don’t know how many people are abandoning your landing page versus abandoning the affiliate offer page. By looking at bounce rate, you can tell not only the average rate that users click through your page, but also you now know how many users get all the way to the affiliate offer page then quit without buying. Pretty good stuff.

Posted in PPC, Google Analytics, Landing Pages | 4 Comments »

5 types of affiliate offers I avoid

December 25th, 2006 by Chad

When looking for a new affiliate offer to start testing (which is a never ending process), it’s easy to become overwhelmed by the sheer volume of offers out there. But you should be able to narrow the field down quite a bit based on your preferences. Each person has their own needs, but here are some things I avoid when choosing offers to test.

1. High competition offers. If I have read about it on a forum, or I hear it’s a “hot offer”, I keep looking.

2. Seasonal offers. I try to stay away from them. With the time it takes to set up a campaign properly, I want something that is going to covert all year long, not drop off to 0 after a certain date. Of course each group of keywords has peaks and valleys which you should stay on top of. http://trends.google.com is a good place to start.

3. Trademarked term offers. These are tough with all the restrictions on keywords and ad copy that you can’t use. So I pass these by as well.

4. Super high payout offers. If you pick the highest paying offers in a CPA network, most likely everyone else will too. This goes back to #1. There is plenty of money to be made with lower paying offers.

5. Low search volume offers. It’s important to do a lot of research on monthly search volumes for the keyword set you are using. If the volume is too low, it’s not worth building a campaign around. Of course the key is to balance a good search volume, with a relatively low competition offer. These niches are rare, but they are out there.

Posted in PPC, Affiliate | Post a comment »

The 10 PPC Network Smackdown

December 17th, 2006 by Chad

I have found it really hard to find objective information about different Pay Per Click (PPC) networks, especially second tier networks. If you pose the question in a forum, the response will usually be something like “XYZ sucks”, which isn’t too helpful as far as hard data is concerned. So I decided to run my own, somewhat scientific test of PPC networks. Here is what happened.

About the test

I chose a set of ads and keywords that were proven to do well on Google Adwords for these tests. I won’t say the niche (competition is tough enough already), but it’s about a mid-range set of keywords as far as monthly impressions and click pricing. The minimum spent at each PPC network was $50, with most of the test running in the $100-$300 range. If it was clear the traffic was not going to convert, I cut the test short, but if it showed some promise I let it run for a while.

After examining the results, I assigned a score between 1 and 5, with 5 being the highest, to each of these 5 categories:

  • Traffic Volume (Highest volume = 5)
  • Conversion Rate (Best conversion rate = 5)
  • Click Pricing (Lowest pricing = 5)
  • Keyword Competition (Lowest competition = 5)
  • Interface ease of use (Easiest to use = 5)

After totaling up the scores, each PPC network was given a final score. Winners for each category and an overall winner were chosen, based on the scores.

The 10 networks tested

  • Google Adwords
  • Yahoo Search Marketing (Panama system)
  • MSN Adcenter
  • Adbrite
  • Miva
  • Searchfeed
  • Kanoodle
  • Enhance
  • Looksmart
  • Search123

The Results

PPC Network Traffic
Volume
Conversion
Rate
Click
Pricing
Keyword
Competition
Interface
Use
Average Score
MSN 3 5 5 4 3 4
Looksmart 3 4 4 4 4 3.8
Searchfeed 3 4 4 4 3 3.8
Google 5 3 3 1 5 3.4
Yahoo 4 4 3 2 4 3.4
Miva 2 2 5 4 4 3.4
Adbrite 3 1 5 4 4 3.4
Enhance 1 3 5 5 3 3.2
Search 123 1 1 4 5 2 2.8
Kanoodle 1 1 5 5 3 2.8

Category Winners

Traffic Volume:

Not a big surprise here, the king of Traffic is Google by a long shot.

Conversion Rate:

MSN takes the prize for the best conversion rate. Adcenter’s traffic converted about 10% better than the closest competitor.

Click Pricing:

The lower traffic networks are always going to have the cheapest clicks, so we have a 5 way tie here between MSN, Miva, Adbrite, Enhance, and Kanoodle.

Keyword Competition:

Keywords were easy to buy with little to no competition on Enhance, Kanoodle, and Search 123.

Interface ease of use:

Google reigns supreme again in the interface department. Their continually improving web interface along with its offline Adwords editor make it tough to beat. Although the new Yahoo Panama system is a close second and gaining quickly.

Overall Winner:

The winner of the smackdown is MSN. Their strong placing for conversions and click pricing, coupled with a decent traffic volume puts them in the number one spot. A surprisingly strong second place tie goes to Searchfeed and Looksmart. Their low click pricing, and low competition helped them edge out some of the Tier 1 heavyweights in the field.

Although the undisputed kings of volume, Google and Yahoo were hit hard by their higher pricing and extreme keyword competition.

Keep in mind these results were for one specific niche and keyword group, your results may vary wildly.

Posted in PPC, Adwords, Panama, MSN Adcenter, PPC Smackdown | 5 Comments »

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