From the beginning, the evolution of our Total Blue System e-commerce package has been grounded in solid search engine optimization (SEO) principles. To say Total Blue System was "search-engine friendly" seemed a redundancy because it was so ingrained. But in 2006 my faith in organic, natural search wavered. We gave renewed attention in holiday 2006 to paid search and cost-per-click models.
Here's an update on Search as a strategy to grow web sales for 2007, from my perspective.
To borrow the analogy of the pendulum swinging left to right and back again, let's just say that in 2006 it was swinging in the direction of paid search. Cost-per-click advertising on Google AdWords and Yahoo! Search (and even Kelkoo), became a significant part of the strategy being recommended and implemented by or on behalf of our clients. It seemed like a necessary complement to the organic SEO efforts, and another way to push web sales growth rates upward. We pulled in paid search guru Tim Ash and his Epic Sky firm to help get it done.
Looking back at the experiments, there's a couple key take-aways:
- Conversion rates are king. What you can afford to pay per keyword click is based upon the cost of customer acquisition.
- Successful campaigns can be perpetually, joyfully self-funding, while struggling campaigns can feel like a weight pulling you down, and down. Do you as a site owner have the patience and budget commitment to see each campaign through a proper evaluation and refinement period?
- Can you make the commitment to refine paid search campaigns, over and again? Are you willing to get the right landing pages, to maximize the conversion rates, to afford to weed out the price shoppers and click fraud, to get the ad copy and keywords just right, and so on and so on?
While success rates varied by client and campaign, the overall feeling was one of disappointment -- at least when compared with the measurable cost of customer acquisition through natural or organic search. Can you get excited about paying $42 or £29 or whatever to acquire a new customer through paid search when Google Analytics shows that natural organic search customers are converting at a cost that's 30% or less of that number?
Of course not. And given that some clients also cannot answer a resounding "Yes!" to the take-away questions listed above, here's where we'll be heading in 2007:
- Conversion rates can be better, must get better, and there's a dozen ways to make it so. Hats off to Tim Ash for tips in this regard. Our Idea Exchanges among clients have also generated testable ideas.
- Organic search has never smelled so sweet. I imagine we're heading for what might be called a 'Summer of SEO' in 2007, with initiatives in both client services and software features to renew our momentum as an organization that demonstrates the long-term value to be gained from SEO and organic search results as a traffic source.
As if I needed more convincing, I've been reading John Battelle's The Search. The part of the title that deserves the most attention by Internet marketers is the "...and transformed our culture" part. It's eye-opening to remember back to what we were doing in the late '90's and how much has changed. Battelle's interviews with those planning the next great innovations in search are thought-provoking. So, too, are his forecasts about what a shopping experience will be like when SEARCH as an underlying theme breaks out of the virtual, on-line word and touches our shopping behaviors in the physical world. Check out the book, or start with an NPR interview of Battelle about his book.
In summary, the pendulum at E-business Coach is swinging back to organic search in 2007 as the web revenue source of choice. How could I have ever doubted it? I'll welcome myself back to the club...
Author: Patrick Pitman
Recent Comments