Any marketer that has been involved in search engine marketing and search engine optimization understands never-ending quest to attract customers at a reasonable cost. With acquisition costs that can rise to $60 to $100 per customer or more, there is a constant demand for better word lists, better bidding, and better ad copy to compel click-throughs on meatiest words.The reality is that there often simply is not enough highly affordable traffic to sustain business growth unless marketer optimizes landing page offer as well as search terms and makes them work as a team!
Search Engine Marketing works -- provided you are selling a product that has some demand, that is priced reasonably, and that you are able to satisfy basics of security and fulfillment. We can buy product names, brand names, and other hot terms that are very specific to a product we specialize in, and qualified customers will find us. The Vicious Cycle of SEM
The problem with search engine marketing is when you need to increase revenue and profitability. I cannot count number of times I have heard of marketers who have developed a list of 2,000 to 20,000 words and phrases to garner traffic. This number is inevitably reduced, sometimes to 100-150 high-performing terms, when cost per customer acquired soars beyond profitability.
Growing a list definitely grows traffic, but it can often be “bad traffic.” This traffic consists of words that are cheap, but have a .01 or even lower conversion rate during visits as well as words that have a 3% or more conversion rate, but end up costing $80-100 per acquired customer because of competition from other sellers.
For example, “ecommerce” is a high-traffic term, and results in a lot of clicks for online advertisers because searchers are usually looking for at least information if not an actual product or service. Unfortunately, this traffic is so unqualified that actually converting a visitor into a buyer of a commerce platform, consulting service, or marketing service is very unlikely.
Alternatively, names of brand name electronics equipment like Olympus C-460 can be high-conversion search terms, but even when they result in a purchase yield on sale does not merit cost paid for click. In our experience, you have to buy both product terms and category terms like these to maximize volume of traffic of your online segment.
Optimize your Landing Page
To make such a traffic purchase affordable, you need to optimize your “Landing Page” or page that PPC search term ad links to, on your site. Effective landing page optimization strategies include:
1.Assortment Optimization - Develop ability to continually optimize assortment to make certain that you find right offer for “category” words. A key/supporting product scheme can work, provided you have technology to rotate and test what product to present as leading offer and what other products to provide in assortment. 2.Accessory Optimization - Deploy an aggressive accessory strategy to maximize AOV (average order value, or total dollar value of merchandise that average customer buys). 3.Substitution Optimization – With high-cost, highly specific terms, it can be advantageous to recommend higher-margin substitutes on your landing page. A slight increase in average margin can make better search positioning affordable. 4.Promotion Optimization - Test and optimize promotions including free shipping to encourage increased purchases during a qualified visit without needlessly sacrificing profit margin.