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The rise of social media marketing budgets, although still modest compared to search engine optimization and paid search, represents the biggest opportunity for search marketers this year.
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Around half of companies (49%) are reallocating budgets to search engine marketing from print advertising. More than a third (36%) are shifting money away from direct mail and almost a quarter are moving budgets from conferences and exhibitions (24%) and web display advertising
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The research highlights Google’s dominance as a search engine, with 97% of companies paying to advertise on Google AdWords. Nearly three quarters of companies (71%) pay to advertise on the Google search network while 56% use the Google content network (keyword targeted)
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More than half of advertisers (56%) and agencies (62%) say that Google keywords have become more expensive over the last year. Meanwhile, only around a third of advertisers noted an increase in Yahoo (32%) and Bing (29%) keyword costs.
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From a range of trends and marketplace developments, company respondents are most likely to say that the personalization of search results is having an impact. Just under a third of companies (31%) say this is “highly significant” and a further 44% say it is “significant.” Agency respondents felt the “rise of local search” was the most significant emerging trend with 38% saying this was “highly significant” with 47% labeling it as “significant.”
North American SEM Industry to Grow 14% in 2010 – SEMPO
2009 Sempo Salary Survey Results
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SEO Salaries have increased since last year’s SEMPO in-house salary survey.
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2009 yearly salaries for an individual contributor with 1-3 years relevant experience range from $40,000 to $80,000; senior manager salaries range $70,000 to $120,000; and vice presidents with responsibilities for large SEM campaigns or a team of specialists earn from $160,000 to $250,000.
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The majority of respondents are working to maintain or increase the ROI from search engine optimization (SEO) and pay-per-click (PPC) advertising campaigns with flat or restrained budgets for the remainder of 2009.
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Practitioners also are responsible for a broadening spectrum of online marketing activities including: organic SEO and SEM programs; social media campaigns; email marketing; graphical ad campaigns; paid inclusion programs; vertical search engine targeting; affiliate marketing programs; and shopping engines.
For a summary of the in-house salary survey, visit: http://www.sempo.org/learning_center/research/
Survey Respondent Background
The majority of respondents to the SEMPO 2009 in-house salary survey were in-house managers. From across the U.S. and Canada with a high concentration from California, most work for companies with less than 1,000 employees.
Respondents are paid, on average, between $40,000 and $80,000 annually. Salaries have increased since SEMPO’s previous survey, regardless of how much experience respondents have with in-house search marketing. The majority of respondents receives full benefits, has 401k plans, and is interested in telecommuting options if offered by their employer.
A plurality of respondents only had between 0 and 3 years of experience in search marketing – these responses coming mostly from individual contributors.
SEM budgets are mostly below $50K or above $250K with few in the in-between area. The travel industry was the largest B2C category represented, and the Internet was the largest B2B category represented in this survey.
The highest number of respondents says the primary focus of their role is organic and PPC only; however, this varies depending on the individual’s role in the company. Aside from SEO and PPC, respondents deal mostly with social networking and email marketing campaigns.
Optimizing for Mobile White Paper – SEMPO
The complete mobile paper, authored by SEMPO’s Emerging Technologies Committee, is available at http://www.sempo.org/learning_center/editorials/sempo_etc_mobile_pov_09-01-09.pdf. Earlier this year SEMPO published its first P.O.V. paper, on social media, accessible at http://www.sempo.org/learning_center/editorials/sempo_social_media.pdf.
Based on research from a number of sources, here are some of the topline data points for consideration in looking at the growing mobile market:
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64 million U.S. wireless subscribers surfed the mobile Internet in May 2009, compared to 36 million in January 2008.
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PricewaterhouseCoopers’ “Global Entertainment and Media Outlook, 2009-2013” predicts that global mobile advertising spending will rise from $3.8 billion in 2008 to $9.2 billion in 2013.
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The U.S. will account for approximately one-third of this spending, making it the largest single-country market for mobile advertising, followed by Japan, with the total EMEA region roughly analogous in size to the US.
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iPhone and iPod Touch own 60% of the current market.
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Mobile networks are reporting click-through rates of anywhere from 5% to 15% on campaigns, putting the desktop Web’s average of 2% to shame.
Mobile is a compelling market force but search marketers have some challenges ahead, according to SEMPO. Disparate hardware and software platforms, competing applications and rival search engines make the mobile Web ecosystem more complex than the desktop environment. SEMPO suggests marketers implement these steps in order to achieve better visibility, more accurate targeting and more successful conversions.
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Create usable content designed around the specific wants, needs, and usage patterns of mobile consumers.
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Redirect users to that content via SEO and paid search efforts calibrated to the smaller screen real estate available on mobile devices.
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Location, location, location: remember that mobile is about location, specifically where the mobile user is at any given moment. Take into account the specific behaviors and needs that accompany on-the-go Internet access when crafting advertising messages.
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Brands that value their site stickiness and hard-earned search equity should create versions of their desktop Web content synthesized specifically for the wants and needs of the mobile user.
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Marketers need to segment the market by demographics and mobile device traffic. Mobile is not a one-size-fits-all proposition.
Yellowbook Partners with SEMPO
“Training is considered a key investment at Yellowbook. From skills-based training to leadership development, we are always looking for opportunities to help our employees achieve their career goals,” said Bill Klock, Yellowbook’s general sales manager, sales recruiting and training. “Our partnership with SEMPO Institute provides an additional source with which to elevate our media consultants’ skills.”
SEMPO: Advertisers Excited about Video and Mobile Search
Social media also continues to build market share as more than 40% of advertiser respondents report they are using in-house marketers to actively promote their brand on social media. Of respondents using social media, Facebook is the leader: more than four out of five advertisers are using Facebook to promote their brand.
SEMPO previously reported that survey findings project 2009 SEM spending to rise to $14.7 billion, with long term spending to reach $26.1 billion in 2013. SEMPO’s detailed online survey by Radar Research was completed by 890 search engine advertisers and SEM agencies and administered via IntelliSurvey, Inc. The executive summary is available to the public online at www.sempo.org.
Behavioral Targeting: Respondents are overwhelmingly interested in behavioral targeting opportunities: 75% say they would pay more for clicks targeted to in-market consumers. There is also significant interest in demographic targeting such as age and gender. Advertisers, on average, would pay 10 percent more for demographic targeting and daypart targeting, and 13 percent more for behavioral search targeting. Two in five advertisers said they are not currently targeting or retargeting searchers but plan to in the next 12 months.
Local Search: Almost a third of respondents have tried locally targeted search ads and think “it works great.” About a third (34%) had tried locally targeted search and thought “it works okay.” More than three out of five marketers (62%) are willing to pay a premium of 1% -5% for local targeting, up from two in five advertisers last year. Beyond that, one in five claim they’re willing to pay between 6%-10% premiums, dropping from one-third in 2007.
Google and Yahoo Dominate Local Search: Google AdWords Local Targeting has solidified its lead as the most popular local search advertising program, used by 80% of advertiser respondents. Some 56% of advertisers reported using Yahoo! Search’s Local Match paid placement program.
Video Search: Some 54% of respondents said they would be interested in contextually targeted advertising attached to video search results. Two in five advertiser respondents claim they want to pay the same for video search as they’re currently paying for traditional search. Among advertisers who report the willingness to pay a premium for video, most prefer to pay 20% or less as a premium.
Mobile Search: Respondents are also warming up to mobile: some 48% said they would be interested in contextually targeted advertising delivered to mobile search users. Almost two in five advertiser respondents claim they want to pay the same for mobile search as they’re currently paying for traditional search. Among advertisers who report the willingness to pay a premium for mobile search, they show an unwillingness to pay more than 30% premium.
Social Media: Among advertisers doing social media marketing, more than four out of five are using Facebook to promote their brand. Digg is the second most popular social media site, with more than two-thirds of advertisers using it. Del.icio.us, StumbleUpon, Reddit and Technorati round out the most popular sites to promote brands.
SEMPO Institute Launches New Graduate Mentoring Program
The mentoring program will be offered to SEMPO Institute students who have individually paid for an Institute course and earned a certificate of completion. “By working with a mentor, our graduates can gain further knowledge of the online marketing profession, design a career path that personally works for them, and obtain new contacts to help them secure a job,” says Katie Donovan, SEMPO Institute Business Development Manager.
SEMPO Institute’s first group of mentors are Niki Fielding, president and CEO, and Marc Engelsman, vice president, client programs and services, for Digital Brand Expressions (a SEMPO Circle member). “I always wished there was somebody who could help me find my way when I first got started in marketing,” says Engelsman, “so I signed up for this the minute I saw it.”
Says Fielding, “The mentoring program is a great opportunity to give SEMPO Institute graduates some added value while gaining perspective from the next generation of search marketers in the process.”
To qualify as a SEMPO Institute mentor, an individual must have three or more years industry experience, three references and consent to a phone interview. They need to commit to a minimum six-month relationship with their mentee. Mentoring is expected to take about two hours a month.
Graduate mentees need to have passed at least one SEMPO Institute course, have less than two years industry experience, three references and consent to a phone interview. The Institute will assign mentees on a first come, first served basis. Those interested in becoming a mentor or mentee can contact sales@sempoinstitute.com.
Among the activities mentors and mentees can engage in are further examining concepts covered in the courses; information on other resources such as blogs and conferences, discussions on the overall job picture, and introductions to others working in the industry.






