Compiling keyword lists is an integral part of search engine marketing. It’s arguably an integral part of niche research too. But if you’re relying solely on ‘keyword tools’ to compile your lists, you may be missing out on some significant opportunities.

By their very nature, tools that track the popularity of keywords are retrospective, rather than forward-looking. On that basis, if you’re able to identify terms about to become popular - or jump on terms that have just become popular - you may be able to achieve some quick, significant wins in terms of generating and converting traffic.

Therefore a sound approach to keyword compilation is to use a good tool to identify the quality words in your niche, as well as use a ‘nose for news’ to identify promising words.

MarketingSherpa recommends using a two-step approach where you begin with proprietary research to compile an initial list, and then use a reliable tool to generate a more finely tuned list. To compile the general list:

1. Consider your own product names, terms used on your site, and internal site search query terms.
2. Look at industry marketing materials, press releases and similar content.
3. Research online forums, blogs and social media sites for what words your target audience is using.
4. Perform competitive analysis of how other companies are positioning their sites and search ads.

After your initial research is done, the next step is to use a keyword research tool to fine-tune your overall list:

5. Use the tool to generate additional, related terms.
6. Check your existing list for estimates of search volume and competition ie. for pay-per-click (PPC) and organic search engine marketing purposes.
7. Look through historical search queries for any unusual search syntax to help you generate new search phrases

Source: MarketingSherpa, “Special Report: Online Keyword Research Guide: 5 Tips & 9 Useful Tools”, MarketingSherpa, Jun 26, 2008