Presentation: What Are The Top 5 Emerging Search Categories and Why?
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What are the Top 5 Emerging Search Categories and Why?
Richard StokesCEO, AdGooroo.com@AdGooroo
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AdGooroo – A Leading Provider of Search Intelligence
More than 4,000 users, including:• AdGooroo founded the Search Intelligence industry in 2004
• Global scale across 50 countries, 14 search engines and 920,000 search advertisers
• Why AdGooroo? Our clients are three times more likely to be seen on the search engines than their top 20 competitors
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Methodology
• Start with $100M+ of known ad spend• Combine with various sources of objective search data
(“occurrences”)– Millions of terms– Billions of impressions
• Utilize machine learning techniques to produce component models
• Combine component models to produce spend model
* Many steps omitted!
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Methodology
CTR Model
CTR Model
CTR Model
Known Data
Occurrence Data
Estimated Spend
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Why Do We Care?
• US AdWords spend flat for the year– Desktop (not mobile)
• Some categories are booming• Invaluable information for agencies• Advertisers in these industries can profit by
emulating more successful competitors
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#1 – Online Education
• Estimated Spend:– 2011: $87M– 2012: $196M– Increase of $108M (223%)
• # of Advertisers: Up sharply• CPC prices higher in 2012
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Who Are the Big Players?
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WaldenU.edu
• Campaign Strategy– Online classes– Specific careers
• Highly targeted• High CTRs: 6-8%!
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#2 – IT Solutions and Services
• Estimated Spend:– 2011: $49M– 2012: $109M– Increase of $59M (220%)
• Flat in 2010-2011• Explosive growth in 2012
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Who Are the Big Players?
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More Opportunities on Bing
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SAP.com
• Campaign Strategy– CRM– Analytics– ERP
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#3 – Internet Marketing Services
• Estimated Spend:– 2011: $18M– 2012: $45M– Increase of $27M (250%!)
• Significant growth in 2012• # of advertisers has doubled since 2010
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Share of Voice
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Commonalities
• Most are targeting SMBs• High churn means the marketing funnel must be
constantly filled• High acquisition costs
– CPCs vary, but most are in the $3-6 range– Some keywords as high as $25
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Creative Survey
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Expanding to Brazil?
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20% of Paid Clicks Coming From Bing
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#4 – Pharmaceuticals and Supplements
• Estimated Spend:– 2011: $121M– 2012: $181M– Increase of $60M (150%)
• # of advertisers has doubled since 2010
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Higher in 2012 but Trending Down
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Notice Something About the Top 10?
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Targeting Varies By Subcategory
• Prescription drugs– Symptom-based minisites offer better traffic opportunities– Higher impressions, lower CTR– Cholesterol-info.net– Managingmybloodpressure.com
• OTC drugs and supplements– Brand name sites offer better traffic opportunities– Lower impressions, higher CTR– Offline advertising support critical to drive traffic– Claritin.com– Viagra.com
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#5 – Home Improvement
• Estimated Spend:– 2011: $105M– 2012: $145M– Increase of $40M (138%)
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Category Dominated by Two Advertisers
$7-10M spend
#3: $580k spend
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Ditto for Bing
$915k spend
$423k spend
$25k spend
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Highly Seasonal Category
Most spend occurs in March - August
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What Drives Traffic In This Category?Highly fragmented but ~30% comes from a few categories
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Takeaways
• Paid Search campaigns benefit heavily from offline branding efforts
• Most categories exhibit differences in– Campaign strategies– CPC ranges– Successful tactics– Possibility for cross-engine or international campaigns– Seasonality– Targeting
• You need to understand the dynamics of your category if you expect to succeed
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THANK YOU!
Want to Learn More About How Competitive Intelligence Can Help Your Paid Search Campaign?
Website: www.AdGooroo.comPhone: 312-205-4260Email: [email protected]: @adgooroo
P.S. We’re hiring!