SEARCH ENGINE

ADVERTISING
 INTRODUCTION
Search Engine Market Share in May 2019 https://www.statista.com/
100.00%
92.40% statistics/1381664/worldwide-
90.00% all-devices-market-share-of-
80.00% search-engines/
70.00%

60.00%

50.00%

40.00%

30.00%

20.00%

10.00%
2.67% 2.39% 0.89% 0.51% 0.38%
0.00%
Google Yahoo! Bing Baidu YANDEX RU Duck Duck Go
Percentage
 SEO and SEA
• Internet is Zero Moment of Truth
• SEO and SEA
• SEO – Organic
• SEA- Paid

• SEO is free. Why to Pay?

• Complex algorithm
• Dynamic
WHY TO PAY FOR SEARCH ADVERTISING

CAPTURES EASE OF CONTROLLED ANALYTICS COMPETITION

INTENT ACTION COST
 Capture Intent
SEA
 Analytics
 Targeted on high interest and intent of  Data Availability
customers captured  Performance reports available
 Pull medium/ customer seeks
advertisement  Competition
  Ad space – high competition
High CTR  Flipkart vs Amazon
 Ease of Action  Amazon purchased the “Big Billion Day”
 Ease of click websitevarious links domain name
 Online Ambush Marketing
 Controlled Costs
 Charge on clicks not impression
 No base charges
 Capping can be done
 Expense report from Google Adwords
Understanding Ad Placement
Understanding Ad Placement
• Google ads – top and bottom
• Maximum four ads on top and three at bottom
• Not necessary that all potential ads features
• All potential ads not served
• Huge cost of serving ads
• Ads features when probability of click is higher than threshold
• User->query->live auction in real time->Huge cost of servers and technology->
high click probability -> yes; Low probability -> no
• Coverage – increases during festive seasons when intent to buy is high, so
more ads displayed
Understanding Ad Placement
• Top
• Prime Location in Search Engine Results Page
(SERP)
• Users click on 1st page
• Top four positions, high click rates

• Side
• Right - Less attention, low click rates, discontinued
• Left – native ads (same place where organic results come)
• Bottom
• Google Categorizes bottom as “Others”
• Not repeated
• AdRank < threshold limit , ad reflects in bottom area
AdRank
AdRank
• Position at which ad appears in the search engine results
• Top 3 positions > 60% of the traffic
Bidding
• Bids for Keywords
• Buying Model is based on CPC
• High CTR for search ads
• Capture the intent of the customers and a pull medium
Process
• SE gives estimated Bid amount for each keyword
• Quote @ 70% of the bid amount
• Alerts by SE
• Google uses 2nd price auction option
• Min amount to outrank the next advertiser (Actual cost per click)
LET US UNDERSTAND AD RANK
Ad Rank = Maximum bid × Quality Score4

COMPONENTS OF QUALTIY SCORE

LANDING PAGE RELEVENCY CTR

20%

55%

25%
AdRank - Quality Score
Landing Page
• Landing page must match the ad
• Relevant and quality/original content
• Easy to navigate and quick load time
• Negative (-ves)
• Pop-ups, too little content, many links, non-readable content (images, Pdfs, flash content), dynamic and password
protected content

Expected CTR
• Relevant and interesting ad, CTR goes up
• High Bid amount , Low CTR???
• Low Bid amount, High CTR???
• Top positions ads, high CTR
• New Advertiser – No CTR, bid high and then lower bid amount
Relevance
• 1 - Search query matches with the keywords that brands are bidding
• 2 - Keywords are appearing in the headlines and description
• High relevance means better user experience
• Relevance is easiest to change and control
IMPORTANCE OF AD RANK

Primacy effect

Competition for Attention

Theory

Information Overload
AdRank- Importance
Why a consumer click on ads??
Primacy Effects
• Serial position effects – position of the items on a list on the chances of an individual recalling them.
• Primacy Effects – cognitive bias based on the relative position of an item on a list
• Individual recall the information presented to them first better than the information they are made privy to later
• User thinks that information presented 1st is more important.
• Voters preferences of undecided voters change by 20% or more when relative position of candidate changes (Epstein
and Robertson, 2015).
Competition for Attention Theory
• Biases in information processing
• Individual priorities which item to be processed (Desimone, 1995)
• Position of a particular item has an influence on an individuals choices to process (Djambasi et al., 2010)
• items higher up in list are more important (Faraday, 2000)
• Ad in higher position has a better chance of being processed than an ad in lower position.
AdRank- Importance
Information Overload
• Higher level of information, poorer decisions (Eppler and Mengis, 2004)
• Selection, evaluation and integration of information are affected by available
no of options.
• High complexity in choices, people rely on simple heuristic and go for fewer
no of options
• Items higher up in the ranks, more important and discard the items towards
the end of the list while making decisions.
 Architecture of
Search Advertising Account
Ads Account Structure for an
Online Grocery Retail Store
Anatomy of Search AD
Account
Online grocery retail store
Campaign Campaign
Home Needs Personal Care
Ad group Ad group Ad group Ad group
Fresh Produce Groceries Cosmetics Hair care
Ads Ads Ads Ad 1
Ad 1 Ad 1 Ad 1 Ad 2
Ad 2 Ad 2 Ad 2 Ads
Architecture of Search
Advertising Account
• Google AdWords Account
• Campaigns
• Daily Budget
• Different budget for diff Campaigns, city and Keywords
• Bidding model (CPC/CPA/CPL)
• Geographical location/location of interest
• Google.co.in/google.com
• Ad Groups
• Bundle of keywords and ads
• 10-15 tightly themed keywords
• Multiple ads/ ads shown in rotation
• Defaults bid vs. keywords bid
 Architecture of Search
Advertising
• Ads
Account
• Anatomy of Search Ads – Headlines (30 c) , description (80c) and URL
• Display URL and destination URL
• Description – clear action verb and benefits
• Two headlines of 30 C allowed, joined with a hyphen
• Different landing pages for diff. ads
• Keywords
• Search items
• Relevant to search term as well as the ads
• Short tail vs long tail
• Top 20% of all keywords attract 98.16% of searches, generate 97.21 clicks
 Architecture of Search
Advertising Account
• Category Keywords
generic keywords, high search volume, high price eg. Online
shopping, cars, buy cars, luxury cars
Competitio
Category Brand
• Brand n

specific brands, low search vol and low competition, low

prices eg. Myntra, Dove Body Wash
• Competition
competitor’s keywords, small player target competitors
keywords Eg. Flipkart and amazon
Ideal Situation
Keywords – High Traffic, low bid amount, low competition and
relevant business
Keywords-The most important element
Of search Advertisement
 Map Your Keywords to
consumer Buying Funnel
 ENHANCE YOUR AD CAMPAIGN

KEYWORD REMARKETING LISTS

TARGETING FOR SEARCH ADs

NEGATIVE
CONVERSION
KEYWORD
TRACKING

CREATE
ADVANCE AD SHOPPING ADs
FORMAT
 Keyword Match Types
Match Type Symbol Example Ads may Show on Searches Example
Keyword Searches

Broad match none women's hats List of words, wide range of audience, keyword term in any order Buy ladieshats

Phrase match ‘keyword.’ ‘women's hats.’ Exact keywords or with additional keywords , phrase match is Buy women's
done within the quotation marks hats

Exact match [keyword] [women's hats] Keywords text match exactly with the user term, additional Women’shats
keywords – no match, keywords placed in square brackets

Negative match -keyword -women To exclude from your target, optimise your budget Basketballhat
 Create Advance Ad Formats
App Extension

Price extension
Ad with call out action
Call extension

Structured Snippet
Location extension
Message extension
 Ad Extension
• Provide additional Call Extensions – phone no with ad and a callback facility for the
information's + Ad target customers. Directly call, call is considered as “Click”
Content Site Links – additional direct links, users directed to desired landing
page
App Extensions – downloadable app
• More information's Location Extensions- local addresses of business, integrated with
from the Ads google maps
Price Extensions – display prices for specific products in mobile ads,
increases ROI and conversion rates
• More Space on the Message Extension – allow customers to message directly
page, more chances Callout Extensions – communicate multiple benefits or value
of clicks proposition. Not clickable
Structured Snippets - preview of valuable information's before
they click on the ads
• Action could taken Affiliate Location Extension – customer know the closest retail
chain and its location
 Shopping Ads

• Created through Google Merchant

Center
• Richer Product Information's (image,
price, merchant name)
• High Conversion rates
• Directly take into landing page
• Top Position in the user search results
• Conversion rates are 26% higher than
usual ads and CPC reduced by 23%
Conversion Tracking
Remarketing List for Search Ads
• Remarketing to website
visitors
• Customize ad campaign
• Remarketing code snippet on
Google Ads
• Through Cookies
 PERFORMANCE REPORT USING
VARIOUS TABS IN GOOGLE AdS

Segments FORMATS FILTERS ROWS &COLUMNS SEARCH TERMS AUCTION INSIGHTS

You can check the One can view data in Filters One can A marketer has an It shows the keywords/ This report enables you to
performance of various formats that add various filters opportunity to view search terms that users understand who are your
your campaigns include tables and to view the data data in the form of a queried, which triggered key competitors,
by ‘time’, day, different charts for in specific table with any your ad.
week, month, getting a clearer picture formats. number of rows and
quarter, year. insights columns.
 TRENDS IN SEARCH ENGINE
ADVERTISING
GOOGLE SMART CAMPAIGNS TACKLING INVALID CLICKS – DISPLAY ADS

• AI-powered features to help manage ads • Robots clicks or self clicks

with minimal effort
• Google tracks invalid clicks
• set up your budget, choose r location
preferences, few keyword themes • IP Addresses, clicks in odd hours, odd
geographies
• goals are limited to a small number of
presets
 E-COMMERCE
Different types of advertising on e-commerce platform.

DISCOVERABLE Ads
• Power of Machine Learning &
PUSH Ads User behavior BRAND Ads
• Push notifications • Personalized and immersive
• Native ads experience
• Looks like private message • Aligns with preferences and
or notification interest of customers
THANK YOU