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This Weeks Must Reads in Search Marketing


As this week comes to an end so does the month of November. Was it just me or did November just fly by and can you believe there are only 26 days until Christmas! Here are this week’s must reads in search marketing:

Search Marketing

Web Analytics


Google Mobile: My Location

Today the Google Mobile Blog introduced My Location. My Location is a new beta technology from Google that uses cell tower identification to provide you with approximate location information, so it will work on phones without GPS. Simply fire up Google Maps for mobile, press [0], and the map will indicate your approximate location by centering on a blue circle.

Below is a short video created by the Google Mobile team which helps clarify how “My Location” works.

SEMPO Launches 2007 State of the Market Survey

SEMPO (Search Engine Marketing Professional Organization) http://www.primezone.com/newsroom/ctr?d=97923&u=http%3A%2F%2Fwww.SEMPO.org, announced today it is launching its fourth annual industrywide survey to assess year-to-year changes in SEM spending and resource allocation.

The survey is open to all search engine marketing professionals working in an agency, or in-house. Participants do not need to be SEMPO members. Log on to http://www6.intellisurvey.com/run/sempo2007 to take the survey. As an incentive, SEMPO is partnering with Incisive Media, owners of the Search Engine Strategies (SES) conferences, to randomly select one participant who will receive an SES conference pass, valued at more than $1,000.

“This last year we in the search engine marketing profession have seen tremendous changes, with the major search engines making significant strategic company acquisitions, the exponential growth of social networking and their increasing influence in search and stepped up innovation in online advertising networks,” says Jeffrey Pruitt, SEMPO president and Executive Vice President, Corporate Partnerships, iCrossing. “SEMPO’s survey is the perfect opportunity to learn how these shifts in the market affect the role of the search engine marketer, whether agency or in-house,” and what changes are ahead in the coming year.”

Radar Research, a Los Angeles-based research and consulting firm which conducted the 2005 and 2006 surveys, is continuing as SEMPO’s survey research partner. SEMPO and Radar Research are conducting the survey through early January, 2008. Preliminary results will be available in February, 2008 with a full report expected in late Q1 2008.

“As the pre-eminent search marketing professional organization, SEMPO is committed to taking a leadership role in empirical research,” says Gord Hotchkiss, SEMPO chairperson and CEO, Enquiro Search Solutions. “Our annual survey and our new survey to collect salary data on in-house personnel are just two examples of how we provide unique, actionable market data to our growing professional community.”

2006 Survey Recap

SEMPO’s 2006 survey revealed that SEM spending had risen sharply, to $9.4 billion, a 63% year-to-year increase. The survey included data on paid placement, paid inclusion and organic search as well as spending on SEM technology platforms. The survey also found organic SEO to be the most popular form of SEM, with paid placement a very close second. However, in dollars, paid placement accounted for 85.9 percent of total spending, or $8.1 billion.


Cyber Monday Traffic Up 26%

U.S. traffic on Cyber Monday increased 26 percent compared to 2006, Hitwise reported today. This is the third year in a row there has been an increase on the Monday following Thanksgiving.

Traffic to the Hitwise 100 Retail Index, which is comprised of the top 100 retail websites, received 5.07 percent of all U.S. visits on Nov. 26, 2007 representing an increase of 26 percent versus Nov. 27, 2006, which received 4.02 percent of visits.

“Following a strong holiday weekend, consumers continued to shop online on Cyber Monday, increasing visits to retail sites from last year,” said Heather Dougherty, director of research, Hitwise. “Traffic to the electronics and video games categories experienced the strongest growth as shoppers searched for products such as GPS navigation systems and Nintendo Wii consoles.”

Cyber Monday stats:

  • Traffic to CyberMonday.com increased 55 percent on Cyber Monday as
    compared to 2006.
  • Traffic to Comparison Shopping websites increased 47 percent on Cyber Monday as compared to 2006.
  • Multiple retail categories saw an increase in online traffic on Cyber Monday as compared to 2006 including:

Appliances and Electronics – 47 percent
Video and Games – 40 percent
Apparel and Accessories – 22 percent
Toys and Hobbies – 16 percent

Hitwise Retail 100 Index – Daily Market Share of U.S. Visits Rankings
For Cyber Monday 11/26/2007

Rank

Name Domain

Market Share

11/25/2007

1

Amazon.com http://www.amazon.com/

10.00%

1

2

Wal-Mart http://www.walmart.com/

9.12%

2

3

Target http://www.target.com/

5.72%

3

4

BestBuy http://www.bestbuy.com/

5.59%

4

5

Circuit City http://www.circuitcity.com/

3.73%

5

6

Overstock.com http://www.overstock.com/

3.42%

7

7

Half.com http://www.half.ebay.com/

3.22%

6

8

Yahoo! Shopping shopping.yahoo.com

3.15%

8

9

Sears.com http://www.sears.com/

2.83%

<
/td>

12

10

TOYS ‘R’ US – USA

http://www.toysrus.com/

2.75%

11

Note – the Hitwise Retail 100 Index does not include websites from the following categories: auctions, classifieds, subscription services, DVD and video game rental, reward point collecting and coupons. The Hitwise data is based on a custom category of 100 of the leading retail websites ranked by US market share of visits, which is the percentage of online traffic to the domain or category, from the Hitwise sample of 10 million US Internet users. Hitwise measures more than 1 million unique websites on a daily basis, including sub-domains of larger websites. Hitwise categorizes websites into industries on the basis of subject matter and content, as well as market orientation and competitive context.
Source: Hitwise

Gmail vs. Hotmail vs. Yahoo Mail

The battle between the “Big 3″ in the online mail realm really interests me because it’s amazing how over the years I have given focus to all 3: Gmail, Hotmail and Yahoo Mail. Initially I started out using a service called Visto because it offered 15 MB of space soon after its retirement I started using Microsoft’s Hotmail. I think it offered something like 3-5 MB of space and almost everyone I knew was using it at the time. Around the same time I opened up a Yahoo Mail account, which I still really like using because of the simplicity in its interface. Finally when Gmail came out I got myself an invitation almost immediately and didn’t think I was going to get much use out of it. However that was completely the opposite since I use Gmail more frequently than I do Yahoo Mail or Hotmail now. Below is a graph of my estimated email usage over the last few years and you can totally see the shift in power from Hotmail to Gmail.

Below are a few charts indicating market share between Google, Yahoo and Microsoft from Hitwise.

Earlier this year, Techcrunch did their own comparison and Gmail ended up coming out on top in their testing/research as well:

“Overall we prefer Gmail over all other webmail applications because performance (speed) is consistently fast, and emails can be tagged making search much more effective. They also offer more storage and other features, and it’s free. However, Yahoo and Live Hotmail offer more mainstream Outlook-like user interfaces (although Live Hotmail does not allow you to access other email accounts from their application), whereas Gmail takes some time to get used to. If you are looking for speed and tagging is important, Gmail is for you. If you are looking for the closest thing to Outlook online, go with Yahoo Mail. “

Google Up 43% in 2008!

July 2009 – (Source TechCrunch)

Gmail is now the third largest Web mail service in the U.S. In July, Gmail nudged past AOL Email with 37 million unique visitors compared to 36.4 million for AOL, according to comScore estimates. That puts Gmail within sight of the No. 2 player, Windows Live Hotmail, which has 47 million unique visitors. Yahoo Mail still at top with 106 million monthly unique visitors.

Interview: Widemile CEO – Robert Bergquist

A little while back I got the chance to speak with Robert Bergquist, CEO of widemile (specializing in multivariate testing and optimization – based in Seattle). Widemile is recognized as one of the leaders in multivariate testing consultation and analysis therefore it was very interesting to get Robert’s insight on the company’s background and latest case studies.

Who are you and what is your background?

I love helping companies with great innovations find success in the marketplace. I’ve tried to make a difference in this regard in several roles, not just as CEO, over the years. (See my bio below for the boring details.) The consistent thread has been spotting great ideas and talent – doing my best to help both succeed. With my background helping companies in media, broadcasting, software and advertising, the Widemile value proposition (higher returns from online ad spend!) was a natural fit. I started as an investor and advisor to the company. Eventually, I was asked to join full time and take the reins. I haven’t looked back since, nor had as much fun. I’m not sure how it fits within this narrative, but other “real life” jobs I’ve held in the distant past are tire builder and commercial Alaska salmon fisherman.

In his 25-year career running and counseling companies, Robert has served as CEO and President, as well as in other roles, to a variety online marketing and advertising, broadcasting and other technology-driven businesses. Prior to his current position, Robert ran an online collaboration applications provider which was acquired by Hewlett-Packard. He has held positions with Bankers Trust Company (now Deutsche Bank) and worked as a corporate attorney and partner advising companies on finance issues and corporate transactions. He has also provided consulting services to businesses, including Microsoft and venture funds. Robert is active in the Seattle technology community, including serving on Washington Technology Alliance committees and as past Chair and President of the MIT Enterprise Forum of the Northwest. He holds a B.A. from Colorado College and the London School of Economics and a J.D. from Northwestern University School of Law. Robert serves on the Seattle Aquarium Society Board of Directors and is an advisor to Red Feather Development.

What is Widemile all about (i.e.: services, offerings)?

Widemile helps companies achieve dramatically better results from their online advertising – meaning higher customer conversion rates and more revenue. We have helped many companies, including The Weather Channel Interactive (http://www.weather.com/), Concur (http://www.concur.com/), SmartSheet.com (http://www.smartsheet.com/), Webex (http://www.webex.com/), Microsoft (http://www.microsoft.com/), Miva (http://www.miva.com/), and Telenav (http://www.telenav.com/), to name a few.We focus on delivering superior results to our clients by leveraging our own advanced multivariate testing and predictive analytics technology, along with an array of professional services, which includes full conversion marketing consulting, “conversion-focused” original creative development and MEC-certified Optimization Analyst project management. Our testing and optimization solutions can be applied to improve the performance of landing pages, microsites, sales funnels, registration pages or other key web pages with a visitor conversion goal – even if it’s just clicking through to the next page. All sources of traffic benefit, including paid and organic search, banner display ads, email, affiliate and direct.

What makes Widemile unique – What’s Widemile’s competitive advantage?

Again, we focus on results. We do what it takes to maximize our clients’ return on ad spend by testing, tuning and optimizing their high-value web pages to maximize customer conversion rates. We have found that great testing and analytics technology is just part of the success equation. Great conversion results also require expert marketing analysis (you have to understand the traffic, for instance), outstanding original creative and copy to communicate the value proposition in an effective way, and expert test design, set-up and interpretation. A simple testing tool alone will not deliver superior results. Our competitive advantage is superior results delivered using our proven testing methodology, original creative development and technology platform.

Can you talk a little bit about the level of knowledge surrounding A/B and Multivariate testing for SEM companies?

Most good SEM companies understand the importance of testing for superior results. However, they apply testing methodologies, such as A/B split testing, to the front-end the sales funnel to improve key word performance and optimize text ads. Some have begun to partner with web page and content testing companies like Widemile, Offermatica and Optimost in order to offer true multivariate testing of web pages as well. We almost always see an increase in the key word budget following a landing page optimization project where the traffic source is paid search – when returns on ad spend increase, most marketers will increase the spend.

At Emetrics you presented a multivariate testing case study for the Weather Channel – can you give some insight on what Widemile did and the results you noticed?

Widemile worked with The Weather Channel Interactive to optimize website customer acquisition for Notify!, a core subscription product that provides consumers with highly relevant and timely severe weather information. Launched in late 2002 as The Weather Channel’s first paid subscription product , Notify! provides consumers with highly relevant and timely severe weather information. The Weather Channel wanted to capitalize on the immense interest in weather information and the traffic provided by weather.com to capture new subscribers for the Notify! service. Initially, Notify!’s access to the massive traffic from the weather.com home page was leading to new subscribers, but conversion rates could be improved further. The landing pages had to quickly and clearly convey the unique selling proposition of the Notify! to weather.com consumers – sometimes in 8 seconds or less. The Weather Channel had done some optimization testing previously, but found the linear/sequential testing approach had limitations – namely timeliness and the identification of the most relevant factors that influence consumer behavior and conversion.

Working with Widemile, The Weather Channel was able to identify traffic sources and consumer segments to understand key user demographics and conversion behavior. Widemile devised an action plan which refined the main value proposition, developed a brand new page based upon best practices, and then designed and executed the multivariate test on new design. Six page elements (factors) were tested, with up to 4 versions of each factor presented randomly to site visitors. For example, 4 versions of the main image were tested, as well as 4 versions of the “hero shot” image on the left hand side of the page. The image of Jim Cantore, on-air talent for The Weather Channel, was tested against other images of snowy or stormy weather conditions to assess which worked better. Widemile tested the equivalent of over 1000 possible webpage combinations for The Weather Channel, including Flash® animated image versions.

The results far exceeded its goals
and also delivered some unusual findings. The goal was to improve conversions by 30% over the previous Notify! landing page – any slight increase in conversion rates equaled a big increase in revenue due to the high levels of traffic. In fact, actual results improved results by more than 225% over the original control version. And, contrary to commonly held industry wisdom, the Flash version outperformed its static counterparts by a large margin.

Do you have any additional case studies that people can look at?

See the Smartsheet.com case study. Webinar available at http://www.widemile.com/company/case_studies.html

How Smartsheet.com maximized results and leveraged SEM investments through multivariate testing

Challenge: Smartsheet is an online provider of collaborative task management software and services. Using SEM extensively, Smartsheet.com successfully employs numerous keyword and text ad campaigns through the major search engines. Smartsheet.com, however, felt performance could improve further.

Solution: Smartsheet partnered with Widemile to strengthen the linkage between SEM and landing pages. Using multivariate testing and other optimization techniques, Widemile helped them to increase conversions and performance of the entire campaign. The top 5 Smartsheet.com landing pages, representing more than 50% of pay-per-click (PPC) traffic, were targeted for optimization. Widemile employed its proprietary multivariate testing technology and predictive analytics, original creative development and professional services to accelerate this process for optimal results. Widemile tested the equivalent of over 1000 possible page combinations during the 3-week optimization process.

ROI: The best-performing templates improved conversion rates by an average of 64% over the initial control versions. This translates into a dramatic improvement of 115% in conversion efficiency – capturing over twice the number of conversions for the same level of overall SEM investment!

Walmart Most Visited Website – Thanksgiving Day 2007

U.S. traffic on Thanksgiving Day in 2007 increased 20 percent compared to Thanksgiving 2006, Hitwise reported today. This is the fourth year in a row that traffic has peaked on Thanksgiving Day making it the busiest day online during the holiday season.

The Hitwise Top 100 Retail Index, which is comprised of the top 100 retail websites, received 6.84 percent of all U.S. visits on Nov. 22, 2007 representing an increase of 20 percent versus Nov. 23, 2006, which received 5.84 percent of visits. Online traffic on Black Friday, Nov. 23, 2007, increased 16 percent versus the same day in 2006.

Bricks and Mortar Retailers Top Websites for Thanksgiving Day and Black Friday

For the third year in a row, Walmart.com was the most visited retail website on Thanksgiving Day 2007 receiving 15.8 percent of visits among the top 100 retail websites. BestBuy.com and CircuitCity.com were the second and third most visited websites on Thanksgiving respectively, followed by Amazon.com and Target.com. On Black Friday, Wal-Mart was the most visited website followed by Amazon. Best Buy, Target and Circuit City rounded out the top five most visited websites.

Thanksgiving and Black Friday stats:

  • Online traffic to a custom category of leading Black Friday advertising websites increased 45 percent on Thanksgiving and 43 percent on Black Friday, respectively, compared to last year.
  • Black Friday advertising websites sent 17 percent more traffic to the top 100 retail websites on Thanksgiving Day and 40 percent more traffic on Black Friday compared to Black Friday and Thanksgiving in 2006.
  • Comparison shopping websites saw an increase in the online market share of visits on Thanksgiving and Black Friday compared to 2006. Online traffic to a custom category of leading comparison shopping websites increased 58 percent on Thanksgiving and 39 percent on Black Friday compared to last year.