The PPC panel was called “Will the PPC model hold up as click prices rise?”. Avi Wilensky (CEO of Promedia Corp) had a few words on the keywords inflation, saying it has to do with more advertisers appreciating the PPC market, click fraud and “ROI Blind Bidders” (those who bid on any possible keyword no matter if it is or isn’t convertible).
Speaking of which, he mentioned “MicroHoo!” – the possibility of Yahoo and Microsoft ad center to merge, an act that will definitely lead to a greater keywords inflation (less keywords supply).
PPC vs PPA (CPA)
Avi defined the PPA (Pay Per acquisition) as an affiliation model of revenue sharing and said that in this model the risk is on the publisher and that is why search engines prefer the PPC way.
The PPC model is the most common and profitable one,. Especially for Google and Yahoo! (their other services don’t get them so much money as the PPC advertising does).
10 Tips to Fighting Keywords Inflation and Staying ahead of the Competition:
10. Buy text link ads via brokers such as TLA (Text Link Ads) and TLB (Text Link Brokers). There are ads acquisition possibilities other than Yahoo and Google adwords.
9. Invest in the “Shvartz” (tail). Long tail keywords are cheaper and can still get you traffic and / or sales.
8. Geo targeting. If you aim to a local market don’t forget to geo-targeting your campaign. There are less players on the local market.
7. Landing Page Optimization for conversion purposes. Check what version of your landing page has the best conversion ratio, check the effectiveness of different areas on you landing page, etc.
6. Don’t ignore usability.
5. Write some kick-ass creatives.
4. Diversification. There are search engines other than Google…
3. Demographic Targeting. Target your campaign to the appropriate age, gender, etc.
2. Experiment with Dayparting. Check the effectiveness of you campaign on different hours of the day.
1. It’s OK not to be on the 1st spot. Your goal is to be on positions with higher ROI!
The PPC Q&A section mentioned the negative keywords that can be used on PPC campaign to make it a better more targeted one, as well as the possibility of buying ads directly from the buyer (and not via google) as long as you are a big advertiser.
Read about the SEO panel on Sphinncon