SiteProNews: 01/20/03 Feature Article

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Why I Don't Want a #1 Pay-Per-Click Search Engine Listing
by Dan B. Cauthron ©Copyright 2003

Pay-per-click search engines are backward.

- Your site is listed in the search results according to 
pertinent keywords and key phrases, but those have nothing 
to do with the rank or position of your listing.

- Anyone who has the bidding power can effectively buy 
themselves a #1 position, but that may not be the position 
that earns the best bottom-line profit over the long haul.

- Conventional ad writing wisdom is often blown to the 
wind. In fact, you may be better off to clearly post your 
price in your listing.

Pay-per-click is the ultimate concept in advertising cost 
control. For each keyword or key phrase that relates to 
your offer, you determine how much you are willing to 
spend/bid for each click-through your site receives. The 
higher you bid on any particular keyword/phrase, the higher 
your listing will appear in the search results.

From a marketing standpoint that's wonderful, as searchers 
who will view your listings will also be more likely to 
have a valid interest in your business and your offerings. 
Pay-per-click search results are, at least from the better 
engines, more specific and more targeted than those from 
conventional search engines like Google and Yahoo.

But recently we've heard pay-per-click advertising being 
referred to as 'fool proof' and 'risk free.' Sorry dear 
reader. That is far from the truth.

Before jumping into deep water with both feet, we advise 
that you do your homework, and arm yourself with some 
facts. An unchristened foray into PPC advertising can 
quickly become a budget-busting money-sucking nightmare.

In fact, some aspects of pay-per-click advertising seem 
backward, paradoxical, almost contrarian in nature. They 
appear to fly in the face of the principles that we know 
work well in other advertising venues. Just keep in mind 
that things are not always as they seem. Regarde vous!

Where's the Best Position? 
An almost automatic response to that question is likely to 
be, 'Number One, of course.' That's because we're 
programmed from childhood to believe that winners are the 
ones that occupy the top of the heap. Not necessarily true 
in PPC search engine advertising.

Consider this scenario. You're holding a #1 listing under 
search results for a particular keyword. Your offer beats 
the heck out of all your competitors only a few lines away. 
Your price is right, your incentives to buy are great, and 
you're locked and loaded for business.

Jane Searcher lands on your listing and clicks through to 
your page. You pay for that click out of your bidding fund.
Now, Jane likes what she sees behind your #1 listing, but 
she continues clicking on down the page to peruse 
competitive offers, hoping she will find a better deal.

Ultimately, Jane decides that your competitors don't hold a 
candle to what you're offering. She returns to your listing 
and places an order. GREAT . . . except that you've just 
paid for two clicks to get one sale. That will eat your 
lunch fast, when you're bidding high to maintain that #1 
position.

If your listing had been in position #3 or #4, Jane would 
have most likely viewed your competitors' offers first, 
before coming to yours, clicking once, and making a buying 
decision on the spot.

Include Your Price In Your Listing 
WHAT? We can't do that! We're supposed to gently and 
persuasively lead the prospect into making that all 
important buying decision, not slam her with a price up 
front. Don't we have to spend a minimum of several hundred 
carefully crafted words in convincing her of benefits and 
features before we even begin to ask for money! 

Maybe not. Again, it's contrary but true. Your price, 
clearly stated in your listing, will help to weed out 
curiosity-clickers and freebie-seekers, thus reducing your 
cost per sale. Searchers who click through to your website 
will know from the start that there is going to be a 
purchase involved. The question here is, do you want clicks 
from qualified buyers, or from penniless surf geeks?

Bid Lower . . . Not Higher
On a case by case basis of course, it might be in your best 
interest to bid lower on a particular keyword/phrase and 
accept a lower position for your listing. Keep in mind that 
one of the primary keys to success with pay-per-click 
search engine listings lies in carefully managing your cost.

It does you no good to get 2 fast sales per 100 clicks from 
a 50 cent listing, when you might just as easily get those 
two sales from 100 clicks to a 25 cent listing. Granted, it 
may take longer for those sales to occur from a lower 
ranked 25 cent listing. Your patience and optimism may be 
tried sorely while you wait. But hopefully, your goal is a 
solid and methodical bottom-line profit, and not the thrill 
of the sale at any cost. That goes hand-in-hand with 
compulsive gambling.

Pay special attention to the bid patterns on any page of 
search results. Often there is a point in the listings 
where the bids drop off dramatically, and reasonably good 
positions are available for a relatively cheap bid. If the 
drop-off point is still within the top ten, or even on the 
same page with the top ten listings, that may be the place 
to stake your claim.

Study, calculate, be patient, and make sales.

================================================================
Dan B. Cauthron offers original marketing insights and a 7-Volume 
eMarketing Library to all new subscribers. Join his list by 
visiting http://www.Earn-Revenew.com/RevTips or send your name 
with the words 'subscribe me' in the subject bar 
mailto:Dan@Earn-Revenew.com  Dan's original articles are available 
for reprint from this autoresponder. mailto:reprints@Earn-Revenew.com
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