Tropical_Island - 11:30 am on Dec 22, 2010 (gmt 0)
Fortunately that represents only a small % of the business it has brought us.
We are fortunate that we actually get to meet our customers face to face - we have a B&B.
One of the comments we hear most often is that everywhere they went on the Internet searching about information on our area they ran into our listing whether it was natural serps or AW.
As you say the conversion numbers are not realistic because the potential client may run into the ads many times. They count as impressions but not conversions.
This is reinforcement of our marketing & reputation which together with many excellent reviews in sites like TripAdvisor & FlipKey makes it easier to close the reservations from potential guests.
It's interesting that we live in a market where foreign tourism has fallen more than 80% however we continue to have acceptable occupancy rates. Mind you most our competition can't see the forest for the trees. They only see the monthly expenditure - not the results.