Advertising methods on the web: CPM, CPC and CPA

SEM

The SEM ( Search Engine Marketing ) is responsible for sponsored links and SEO natural results. Sponsored links are a text advertising format that contains a link to the advertiser's website, which pays the search engine, only when the user clicks on said link.

This format is displayed whenever a user performs a search related to certain keywords that have previously been selected by the advertiser. The sponsored link is made up of title, description and URL. Although, sometimes, it can also include the advertiser's logo.

In just over three years, sponsored links have become the Internet advertising format that receives the most investment in Spain, accounting for 46.5% of the total investment in 2006 and confirming the continued growth with respect to the rest of the Internet channels. communication. Sponsored links have not only consolidated as an advertising model, but also registered a year-on-year growth of 134.41% compared to 2005.

The SEM has as main benefits:

1.            High segmentation , since it allows us to target our ads specifically to users who are looking for our products or services. What's more, they even allow us to prevent these from being shown to non-targeted users, who are unlikely to become customers.

2.            Flexibility and control . We can edit an ad and see the changes online in a few minutes. This helps to manage dynamically and open to any modification that occurs both at the product and market level, thus adapting our advertising to each change.

3.            Effectiveness . We can get the maximum return on our advertising investment. Starting with the fact that there is no mandatory minimum expenditure (which makes this format a profitable advertisement for companies of any size). Likewise, each advertiser can say what they are going to invest daily, if the amount will be based on Cost Per Click (CPC) or Cost Per Impression (CPM) , and how much they want to pay each time a user clicks on our ad or view it.

One of the first aspects to take into account when developing an advertising campaign  is the establishment of our objectives. By specifying them, we will ensure the proper functioning of the campaign, since at all times we will be able to quantify and know to what extent they have been achieved.

Before running any sponsored link advertising campaign, we will have to plan some details such as:

1.            How much do you want to spend on search engine advertising?

2.            Who is my target audience?

3.            What is my competitive advantage?

4.            What kind of results would you be interested in?

5.            What ROI (return on investment) do I want to achieve?

Although objectives will vary depending on the brand and the communication strategy of each company or company, we can broadly identify them as:

1.            Generate leads (email, address, phone)

2.            Increase traffic

3.            Convert ads into sales

4.            Reduce cost per acquisition

5.            Publicize our services

6.            Create brand

7.            Have a presence

Once our objectives have been defined, we have to select the keywords that will form each ad group. We have to be very clear about the content of our website to identify the keywords that describe the main categories of our business activity.

From this basic selection, we will follow the following steps:

1.            Grouping : Organizing and grouping your keywords is vitally important, as we have to assign specific creatives to each ad group. Ad groups will also make managing your campaigns and your overall account easier. So, we will be creating different keyword packages based on our main product lines.

2.            Expand : on this first approximation, we must expand the list including plurals, synonyms and possible spelling errors. Regardless of the limitations of your campaign, it is very important to collect keywords and expand your list using these methods first. You can then review and trim the list, but at first, the more keywords we have, the better.

3.            Segment : we can now segment the keywords that we have obtained with the search engine's keyword matching options, which will allow us to specify the publication of the ads so that they reach users when they search for your product or service.

4.            Optimizations : once we have created, expanded and segmented our list of keywords, we can define it better. To do this, let's continue to include the relevant synonyms and variations of our core themes, and then remove the irrelevant ones.

Already having the selection of keywords, we can create the advertising messages. These are found in different formats (text, graphics, for local ads and for mobile), although for search engines we are going to use mostly text.

The keys to creating a good advertising message are:

1.            Place the keywords in a prominent position within the text . They are usually placed in the title. This creates a very clear relevance effect for the end user and generates better click rates.

2.            Focus on competitive advantage . This helps us to differentiate ourselves from the competition and to stand out from it. Sometimes, this advantage is focused on the type of product and others on the service offered or the benefits it brings to the user.

3.            Use interactive phrases . These are a very effective element, as they are designed to encourage customers to take immediate action. Interactive taglines set user expectations and provide a great transition between your ad and your site. Make sure these phrases are clear and that the action you want them to take is enabled on the landing page.

 

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