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Finding the value of X

Every search marketing campaign has established success parameters.

10:25 pm on Jun 30, 2005 (gmt 0)

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I thought I'd put this up here. I wrote this a little while ago as a personal research paper and have been sitting on it ever since. I think what I wanted to do with it is simply crystalize all the information I retained throughout my SEM learning curve. It's actually a very lenghty paper so I cut it down to size to fit in here. Hopefully, it can offer some value to the folks in here.

Since I'm new here (not new to the industry though) I hope it's okay that I post this kind of stuff! If not, Sorry for the long post! :-)

Every search marketing campaign has established success parameters. Whether it's increasing sales, lead generation, or brand awareness. Knowing what to measure and how to measure it is key to any online marketing initiative.

Campaign target metrics

Setting your marketing targets begins by developing an initial campaign overview. It provides a thorough understanding of your specific industry, product or service. Evaluating your market and current positioning allows you to gain valuable intelligence on how to best structure your campaign once it reaches development. The following core metrics allow you to keep your campaign on-track, on budget and profitable.

Industry benchmarking
Search market visibility indexing
Target conversion ratio
Target ROI
Target Cost per sale/action
Maximum bid per click


The critical performance intelligence in this process establishes clear parameters and benchmarks, which allows you to micro-manage your marketing efforts. What's more, it tells you what key terms are under performing and allows you to adjust your strategy by re-allocating campaign budget and resources to top performing conversion areas.

Bid cap
Cost per click (CPC)
Best performing key terms
Best converting engines
Top performing positions
Traffic volume shifts (dayparting)
Bid volatility
Search Query frequency
Best performing landing page
Best performing ad copy/offer/price.
Campaign return to date

CONTENT Analytics

Landing page statistics provide you with a detailed view of user behavior.

Unique user visits
IP/referrer log
Timestamp per visit/ returning visit
Top Search strings
Browser and version
Operating system
Average time spent on page
Viral tracking

BUSINESS Analytics

Comprehensive reports will allow you to measure your marketing efforts by your total Return On Advertising Spend (roas) and overall Return On Investment (ROI). The following metrics defines campaign performance.

Total conversion ratio
Total campaign ROI
Total campaign spend
Total spend per key term
Total cost per click
Total return on ad spend (ROAS)

User search dynamics

User Search Dynamics is the study of customerís online search behavior coupled with a thorough understanding of your customer profile and applying the research to a predictive marketing model.

The development of a complete customer profile entails understanding your customerís motivating factors, and pertinent personal statistics, which would directly affect decisions made at the marketing level.


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