1. Google Confidential and Proprietary 11 Introduction to AdWords Elyse Guilfoyle AdWords Account Strategist December 6, 2010

2. Google Confidential and Proprietary2 Agenda 1 Why Search is Exciting 2 Digital Advertising 3 Google AdWords 4 Showing Value from Digital Advertising

3. Google Confidential and Proprietary Some History…

4. Google Confidential and Proprietary In the Beginning…

5. Google Confidential and Proprietary Old Paradigms for Organizing Information… Card Catalogs Business Directories

6. Google Confidential and Proprietary Search Was New… Search allowed users to define their queries rather than rely on predetermined categories… Suddenly queries could be unique and infinitely specific. Octopi Jujitsu Nihilistic Agorophobia Vigilantes Jerkiness Funicular Swizzle

7. Google Confidential and Proprietary The Search Advertising Revelation

8. Google Confidential and Proprietary The Search Advertising Revolution Search Advertising Meant: Inbound/Pull Marketing: Direct Access to The Easiest Client Targets Trackability: Accurate Statistics on Reach & Impact Accessibility: A Self-Service Platform Without Financial Barriers to Entry Immediate Responsiveness: Immediate Results

9. Google Confidential and Proprietary The Inflection Point Google’s primary innovation in the Search advertising space was the Performance Incentivized Auction This new model allowed Google to increase revenue while improving efficiency for advertisers…

10. Google Confidential and Proprietary10 Search: Where We Are Today 74.2B Internet searches conducted worldwide in June 08; that’s 11.1 searches for every person on Earth, in one month. If every search were a mile, we’d go to the sun and back nearly 5 times every year. Sources: comScore qsearch, June 2008, (divided over 30 days for per day value); world population as of July 2008, distance to the sun, Wikipedia.org.

11. Google Confidential and Proprietary Digital Advertising 11 1 Why Search is Exciting 2 3 Google AdWords 4 Showing Value from Digital Advertising Agenda

12. Google Confidential and Proprietary While total ad spend is expected to increase 25% in the next five years, the Internet’s share of ad spend will increase by more than 50% 12 Marketers Are Shifting Spend Online Source: Jupiter, “U.S. Online Advertising Forecast, 2008 to 2013,” June 2008.

13. Google Confidential and Proprietary13 Consumers Increasingly Turn to Digital 3% 36% Source: Yankee Group, "2009 Advertising Forecast Update: Less TV, More Internet," provided to eMarketer, April 14, 2010 Consumers spend 36% of time online – More than with any other media format

14. Google Confidential and Proprietary14 1 Why Search is Exciting 2 Digital Advertising 3 Google AdWords AdWords Overview Building a Campaign 4 Showing Value from Digital Advertising Agenda

15. Google Confidential and Proprietary15 Google Search Makes Finding Information Simple car insurance

16. Google Confidential and Proprietary16 Google’s Paid Search Offering: AdWords Top sponsored ads: Up to 3 listings Side sponsored ads: Up to 8 listings Sponsored “Paid” Advertising Advertisers can bid on these positions

17. Google Confidential and Proprietary17 Pull Marketing: On-Demand at the Moment of Relevance Push Marketing works for some things… Pull Marketing …but there is value in reaching consumers who seek your message Commercials Yellow Pages has known this since the 1800s!

18. Google Confidential and Proprietary18 What terms should a car insurance provider target? cheap Geico car insurance SUV insurance car insurance great rate insurance good finances driving safety cars Narrow Broader/generic Enter Google: Keyword Advertising 1. Advertisers select relevant keywords 2. Users search on those keywords 3. Google ranks ads (ad auction) 4. Winning ads appears 5. Marketer only pays when ad is clicked

19. Google Confidential and Proprietary19 *Marketer is responsible for translating ads into selected languages. Region City Radius Set borders Regional and Local Targeting: Sharpen Your Focus Country, Regional, and City-level Targeting Reach customers searching for results in geographic areas you choose Customized Targeting Reach customers searching for results in an area you define Language Targeting Reach users searching in a specific language, wherever they are*

20. Google Confidential and Proprietary20 Google’s Paid Search Offering: AdWords Top sponsored ads: Up to 3 listings Side sponsored ads: Up to 8 listings Sponsored “Paid” Advertising Advertisers can bid on these positions You can’t pay for a specific placement… so how is ad rank determined?

21. Google Confidential and Proprietary21 A Closer Look at the Ad Auction Ad Position is determined by... Ad rank… which denotes ad position = …but what do advertisers actually pay? Relevance Quality Score is determined by a combination of factors, including: Click-through-rate on Google.com (clicks divided by impressions) Keyword and ad text relevance Landing page quality Quality Score X Willingness to pay Max CPC is the highest $ amount an advertiser is willing to pay for one click on their ad Max CPC

22. Google Confidential and Proprietary 22 For Example: Bidding and Paying for Ad Position 1 Improving Quality Score is an effective way to raise ad position, while controlling costs. Ad Rank = 0.72 0.65 = = Quality Score ACME is more relevant for users 1.8 1.0 = = X Max CPC $0.40 $0.65 But John Doe is willing to pay more X X …Position 2 …Position 1 ACME wins position 1: Google rewards relevance in combination with the bid, not the bid alone Ad Position

23. Google Confidential and Proprietary Campaign Creation: Keywords The importance of synonyms and plurals – book ≠ books – novel ≠ book Not case - sensitive – James Balch = james balch Misspellings – perscription The only symbols our system acknowledges – Ampersands (&) – Underscores (_) – Apostrophes (’) – Example: click - through = click through

24. Google Confidential and Proprietary Coming up with Keywords Research your product Study the landing page: – Authors: james balch, mark stengler – Book title: prescription for drug alternatives – Topics: alternative medicine, nutrition guidance, natural cures

25. Google Confidential and Proprietary Coming up with Keywords Research industry - specific terms, products & brand names Multiple terms to define or describe products Colloquialisms Nicknames complimentary and alternative medicine, or CAM mind-body homeopathy herbal remedies mind-body homeopathy herbal remedies

26. Google Confidential and Proprietary Using the Keyword Tool The Keyword Tool is within the Opportunities Tab of every account. Use the Keyword Tool to: – Build your initial keyword list by typing in a word, phrase, or URL – Refine your existing keyword list – Expand upon your existing keyword list – Develop negative keywords – Anticipate traffic and competition on certain terms

27. Google Confidential and Proprietary Keyword Relevancy Irrelevant tom clancy Too general books, health General alternative medicine natural remedies More relevant james balch book drug alternatives book Extremely specific the prescription for drug alternatives

28. Google Confidential and Proprietary28 Creating Ad Groups Once you create a campaign in your account, you’ll use ad groups to house the keywords you’ve chosen. Ad groups should be broken out by themes. In this case, you’d have ad groups for: author name(s) book title genre(s) of book related subjects of book

29. Google Confidential and Proprietary29 Example Ad Groups Authors James Balch james balch books james balch book books by james balch book by james balch PFDA Mark Stengler mark stengler book mark stengler books books by mark stengler book by mark stengler PFDA the prescription for drug alternatives prescription for drug alternatives prescription for alternatives drug alternatives book Book Title Alternative Medicine Books alternative medicine book alternative medicine books book of alternative medicine book on alternative medicine book about alternative health Natural Remedies natural herbal remedies natural home remedies natural health remedies natural healing remedies Book Genre Relevant Topic

30. Google Confidential and Proprietary Ad text is important because it is the only part of the account that is visible to the user Inform the user Persuade the user Compel and entice the user Relevant, Clear Ad Text Users Click on Ad Achieve Desired Action Writing Ad Text

31. Google Confidential and Proprietary Test multiple ad texts Put keywords in headline Describe the product Use promotional language Discounts Award-winning Bestseller Use call-to-action phrases Buy Order Get Use intercapitalization Writing Ad Text: Best Practices

32. Google Confidential and Proprietary Writing Ad Text: Example ‘James Balch’ Ad Group‘PFDA’ Ad Group Drug Alternatives Book Check out Dr. James Balch’s Newest Book on Natural Remedies. Buy Today! www.Wiley.com/DrugAlternativesBook prescription for drug alternatives prescriptions for drug alternatives drug alternatives book drug alternatives books prescription book james balch prescription books james balch New James Balch Book The Prescription for Drug Alternatives. Order the Must-Read Health Guide. www.Wiley.com/JamesBalch books by james balch book by james balch james balch book james balch books james f balch book new james balch book

33. Google Confidential and Proprietary Choosing the Right Landing Page Now, let’s look at some examples… The landing page is essential to the user completing the action you want them to take once they get to your site. The landing page should be: Specific to the product Contain lots of information Depict a clear, easy next step

34. Google Confidential and Proprietary First cut: Dropping the user off at a home page

35. Google Confidential and Proprietary Better: Take user to search results for ‘james balch’

36. Google Confidential and Proprietary Even better: Go to the specific product page

37. Google Confidential and Proprietary Best: Show users what to do when they get there Buy Now

38. Google Confidential and Proprietary The one-page cheat sheet 1.Consider which terms users will search for. 2.Keep keywords to 2-4 words. 3.Don’t use too many; 10-15 per ad is about right. Keywords Ad Text 1.Invite the user to do something; be compelling! 2.Be specific. 3.Be transparent about what the user will get. Landing page 1.Follow through on your ad text’s message. 2.Specific is better than general. 3.Don’t make users work.

39. Google Confidential and Proprietary39 1 Why Search is Exciting 2 Digital Advertising 3 Google AdWords 4 Showing Value from Digital Advertising Agenda

40. Google Confidential and Proprietary What do we value? E-Commerce: Sales Revenue Lead-Gen: Leads Publisher: Advertising Revenue Nonprofit: Donations/Awareness

41. Google Confidential and Proprietary Leading Indicators Clicks Downloads Video Views Map Views Time On Site Newsletter Sign Ups

42. Google Confidential and Proprietary Questions? 42