As the number of sites on the Web increased in the mid-to-late 1990s, search engines started appearing to help people find information quickly. Search engines developed business models to finance their services, such as pay per click programs offered by Open Text in 1996 and then Goto.com in 1998. Goto.com later changed its name to Overture in 2001, was purchased by Yahoo! in 2003, and now offers paid search opportunities for advertisers through Yahoo! Search Marketing. Google also began to offer advertisements on search results pages in 2000 through the Google AdWords program. By 2007, pay-per-click programs proved to be primary moneymakers for search engines. In a market dominated by Google, in 2009 Yahoo! and Microsoft announced the intention to forge an alliance. The Yahoo! & Microsoft Search Alliance eventually received approval from regulators in the US and Europe in February 2010.
For instance, before launching a new product or service, a business can create a simple landing page to gather feedback from the target audience. Or it can run a survey asking a bunch of targeted questions. Or it can even go a step further and create a minimum viable product to see how the target users are interacting with it. With a bit of creativity, PPC ads can help gather real-time feedback that can be used to improve the end product, or idea.
It’s unreasonable to assume that you will pull top rank in Google for every keyword relating to your industry. Your goal should be to pull top rank on the most desired keywords. This is an exercise that will take the effort of both marketing and management. Think about how people would search for your products and services, make a list of these keywords, and check the traffic for each term with a tool like Google’s Keyword Planner. Naturally you will want to rank for the keywords with the most traffic, so whittle your list down to the highest-trafficked, most relevant terms.
Click through rates: Searches using terms that denote high purchase intent such as product or brand-specific keywords will get more clicks than organic results. The advantage of paid search can clearly be seen in the Internet retailers MarketLive Performance Index data. For the year 2013 as a whole, PPC accounted for 36.5% of search traffic but an outsized 47.9% of revenue from search.
The advantage of paid search is that you can have your website listed on the first pages in a prominent spot on Google and other search engines. However, showing up is only part of the process. You need to create an ad that not only leads to clicks, but to sales or whatever result you're looking for. If you don't know what you're doing, it's possible to write an ad that people are drawn to and click on, however, you don't make sales. Since you pay per click, and clicks can add up quickly, you can lose money.
Sometimes considered to be a part of SEM, social media sites like Twitter, YouTube, Facebook, and Delicious have search fields and also pass authority to sites through links. Making sure your content and links are placed (where necessary) on these social media sites can increase your influence in user search engine queries. SMM is a rapidly growing area of Internet marketing but to discuss it further is beyond the scope of this Guide.