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Posts Tagged ‘Groups’

Twitter To Start Making Money In 2009

Saturday, December 6th, 2008

Twitter CEO Evan Williams has indicated that Twitter will start making money in the first quarter of 2008.

The Silicon Alley Insider reports that Twitter has no intentions of raising further capital in 2009 and is in talks with ‘large consumer packaged good companies’ about its business model.

While we don’t know WHAT Twitter’s business model will be, Mr Williams has revealed some changes that Twitter has in the works.

Among other things, Twitter will allow Twitter friends to form groups for easier following, and will also make the micro-blogging service easier to use.

Fewer site outages would be nice too…

Source: Eric Krangel, “Twitter: Secret Business Model On Track For Q1”, Silicon Alley Insider, December 3, 2008

Pay-Per-Click Advertising: Tips For Grouping Your Keywords

Thursday, August 21st, 2008

When I first began pay-per-click (PPC) advertising on Google Adwords a few years ago I learned to:

  • gather together hundreds or thousands of keywords that seemed appropriate for my campaign (from the most highly searched on to the most obscure or “long-tail”);
  • stick them into ad groups;
  • write ads that matched those ad groups;
  • create landing pages that matched those ads; and

…ta-da, I’d have a highly performing Google Adwords campaign!

Only it wasn’t as simple as that. And it certainly isn’t now…

While that was - and IS - broadly the right approach to take, a big problem emerged from gathering all those keywords… one that is even bigger now, given Google’s Quality Score.

You see, with so many keywords to organize, it was all too tempting to bunch lots of unrelated long-tail keywords into the same ad groups. After all, there was little justification in creating individual ad groups for keywords that rarely got searched on.

The result was, however, that I’d end up with generic ads that didn’t quite fit each of the long-tail keywords in a given ad group. And today, such an approach would more than likely lead to a low Google Quality Score. All of which amounted to – and would now amount to - low click-through rates (CTRs), high cost per click (CPC) rates, and low ad positions.

Does that imply that long-tail keywords should be abandoned?

Not necessarily. According to search engine marketing expert, David Szetela, all the keywords in an ad group should be tightly related to each other and to the ad text. So much so that he says PPC advertisers should make this our mantra:

“(Almost) every keyword should appear in the ad text.”

This is important for several reasons including the fact that Google bolds keywords that appear in the ad text which is likely to attract clicks and higher CTRs. Furthermore, it reflects RELEVANCE between the keyword and ad text, which is likely to have a positive impact on Quality Score. And, in sum, your ads will likely get higher CTRs, which will lead to higher quality scores, lower CPCs, higher ad positions… and in turn higher CTRs!

Mr Szetela further recommends you divide and group keywords in your keyword list based on who you are targeting and where they are in the research-shop-buy cycle. In other words, group together keywords that are likely to be used by people in research mode… other keywords used by those in shopping/comparing mode… and others used by people in buying mode.

What if you have some long-tail keywords that just can’t be grouped together in any meaningful way? Well, if they really are long-tail i.e. hardly ever searched on… and they don’t seem related to any other keywords… then… what are they doing in your keyword list? Get rid of ‘em!

Source: David Szetela, “Tightly-Themed Ad Groups: The PPC Pro Advantage”, Search Engine Watch, August 4, 2008

Publishers and Ad Networks Both Lose From ‘Quick Fix’ Approach

Tuesday, August 12th, 2008

A new benchmarking study by the Interactive Advertising Bureau (IAB) and consulting firm Bain & Company, indicates that publishers may be underselling their ad inventory as they increasingly rely on ad networks to sell ad impressions.

The IAB sponsored “Digital Pricing Benchmarking Study,” released yesterday, found that publishers sold 30 percent of their ad impressions via ad networks in 2007, up from just 5 percent of all ad impressions in 2006. But while ad networks may be pleased with this massive 600 percent increase in usage of their services, a “quick fix” approach by publishers to dump excess ad inventory onto ad networks may actually be hurting both groups.

Publishers typically see their ad rates cut by up to 90 percent when they sell though ad networks. But this isn’t inevitable. According to the IAB and Bain & Company, if publishers and ad networks developed better working relationships, they could together bring about higher CPMs and greater ad revenues for all.

Publishers and ad networks both achieved increased ad revenues in 2007 – an increase of 30 percent per annum for publishers and an increase of 50 percent per annum for ad networks. But with tougher economic times constraining ad budgets in 2008, such growth levels are far from guaranteed going forward. By working more closely together to manage inventory and ad sales, publishers and ad networks are better able to maintain their revenue growth momentum.

Source: Douglas Quenqua, “Study: Publishers Slashing Prices to Dump Excess Inventory”, The ClickZ Network, Aug 12, 2008