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How To Tap The Profit-Producing Power of Pay-Per-Click Search Engines To Drive Qualified Traffic To YOUR Website...
by: Thom Reece
By ©Thom Reece 2004 All Rights Reserved

I have been a strong advocate and user of PPC's (pay-per-click search engines) for several years now.

I have thousands of keywords and phrases on bid at a number of PPC search engines and, as a result of managing and tracking those bids over time, I have developed a lot of valuable performance information on a number of the PPC search engines.

My on-going research reveals critical data about such factors as traffic, ease-of-use, return-on-investment, etc. This information could be invaluable to you in assessing your options regarding the use of PPC search engines to market your business.

I consider the use of PPC search engines to be an essential lead generation tool.. The days of building a website and developing enough traffic from conventional search engines and directories to be profitable are over. The competition is just too intense given the number of new sites clamoring for attention and rankings.

And...the competition is going to get heavier...not less. Given the estimated sale of over 70,000 new domain names a day, we can anticipate a lot more demand for a piece of the traffic pie.

The use of paid advertising, through PPC search engines and other media, should be a regular part of all savvy marketing plans. This should not be viewed as a negative development, however. The simple fact is... you will generate more highly qualified traffic from PPC's at a higher return on investment then you will receive from almost all other marketing approach.

Why Pay-Per-Click?...

Generate High Quality Traffic Instantly: Depending on which PPC engine you are using, you can begin receiving qualified traffic within minutes. Considering that ranking on conventional search engines could take you weeks or months (or never), this has to be a major benefit. If your site is a direct selling tool... it is essential that you generate potential buyers to your site quickly and inexpensively if you are to begin making sales and profits. Waiting around for conventional search engines to list you is just not a viable option in e-commerce.

Control Costs: Budgeting your PPC advertising is simple and easy. You can define the budget you have available to the penny and only spend what you can afford to spend. No surprise billings!

PPC Advertising Is Measurable & Accountable: You will know precisely what search terms are pulling profitable traffic and which are not. The reporting systems of most PPC search engines is very comprehensive and allows you to make fast decisions regarding allocation of funds. Bidding is in real-time which means you can increase or reduce your bids, on given terms and phrases, almost instantly.


Low Start-Up Cost: Most PPC's require a minimum deposit to set up your account. This can range from a nominal few dollars...or as much as $50.00 depending on the PPC search engine. Charges for your click-thru's are deducted from this deposit amount. Some PPC's have promotions which add significant bonuses to your bidding account if you are a new customer.

An initial deposit of $25 would generate 2,500 click-thru's to your site at a 1 cent bid. Even at the more expensive PPC search engines (Overture), which have a 10 cent minimum bids, you will still generate 250 qualified visitors to your site for that $25.00 deposit. Assuming your conversion rates and profits per sale are high enough... this could be a fine return on investment.

Free Research Tools: Most of the better PPC search engines provide keyword and bidding research tools which can be very useful in determining what search terms and phrases to bid on... and how much to spend. Careful use of these free tools will give you the timely information you need to make informed ad buys.

Instantly Respond To Opportunities: This is one of the most useful uses of PPC, in my opinion. You have the ability to generate instant traffic to short term promotions, opportunistic situations, and unforeseen conditions in the marketplace. If you don't have to worry about how you are going to generate traffic to a particular offer, you can spend more time exploring new markets, ideas, etc. Broadening your market is one of the ways you will maximize returns on traffic. Keep your offers closely related so that traffic for one offer will be interested in all your offers.

Testing New Concepts, Products, Services: Testing new ideas, copy approaches, offers, pricing, etc. are fast and simple with PPC. Driving targeted traffic for short periods allows you to test those elements which have the greatest impact on your conversion and profitability. This is really the essence of good direct response marketing.

RECOMMENDED PPCS:

The following Pay-Per-Click search engines are ranked in the order of traffic generation. Please keep in mind that these are my results. Your results may be different based on the search terms you are bidding on and other variables.

1. Overture (GoTo.com)

2. FindWhat.com

3. GoClick.com

4. 123Search.com

5. 7Search.com

6. Xuppa (formerly RocketLinks then Bay9.com)

7. Kanoodle.com

8. SearchCactus.com

9. Findit-Quick.com

10.Lycos Insite

Ranked in the order of Return-On-Investment:

1. FindWhat.com

2. Overture (GoTo.com)

3. Lycos Insite

4. GoClick.com

5. 123Search.com

6. 7Search.com

7. Findit-Quick

8. SearchCactus.com

9. Bay9.com (now Xuppa)

10.Kanoodle.com


A strong new entry into the PPC arena is Google Adwords Select. This is a bit of a hybrid ad product but it can prove very powerful and responsive. The major drawback is the price. Unless you are careful to learn the nuances of this PPC you can spend a lot of money very quickly. Spend some time with this engine before you commit to large expenditures. The traffic from Google can bury you in a matter of hours and eat up a lot of money before you realize that the ROI (return-on-investment) is not sufficient to create profit dollars. Before you jump into the Google Adwords Select program you would be well advised to educate yourself on the proper strategies to use.

In summation, my results with PPC search engines have been from good to great. They have allowed me increased flexibility in my overall marketing programs, have shortened my selling cycles, increased my sales and profits, allowed me to respond to changing conditions quickly, and given me the ability to quickly act on opportunistic events. Pretty good list of benefits...don't you think?



About the author:
Thom Reece is the CEO and Senior Consultant of On-Line Marketing Group, a Hawaii based Direct Response Marketing & Sales Promotion consulting firm.

His website, the On-Line Marketing Resource Center ( http://www.e-comprofits.com) is visited daily by thousands of marketers looking for free ideas, tips, and marketing resources. Thom can be reached by email at: mailto:thom@e-comprofits.com or by phone at: 808-929-7377.

Subscribe Free: "Thom Reece's Web Marketing Strategies & Techniques Newsletter". http://www.WMSTDirect.com



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Tips to Build Your Email Address Database

WHY BUILD YOUR EMAIL ADDRESS DATABASE?

Gaining your customers' email addresses will:

  • Provide an additional channel for reaching your customers
  • Increase the ROI of your marketing investments
  • Significantly reduce your customer acquisition and marketing costs
  • Allow you to easily measure the impact of your marketing campaigns
  • Increase your customer participation and retention rates

With ongoing postal and telemarketing pressures impacting marketing budgets for many organizations this year, email marketing could become the "silver lining " for many marketers.   But how do you create a successful email marketing campaign if you do not have a substantial email database?  That question may be one of the largest Internet related challenges facing companies this year.

Research shows that the majority of organizations have email addresses for less than 10% of their postal files.  So how do you level the playing field and start to add quality permission - based email addresses to your database?

Here are some tips that you can use to cost effectively build your email address database and increase your customer participation and retention rates: 


START TO ASK FOR IT!  

Every communication or touch point with a customer should start or end with a request for an email address.   By utilizing the four points below, you should be able to add email addresses for 5% to 10% of your postal file over the course of one year.

1.  Direct Mail Collection

Think about how much time and money you spent for copy and design on your last new direct mail piece.  Most companies have started to ask their customers for their email address information within these mailings.  This is a great step forward. However, companies need to look at one major improvement if they want to increase their email address collection rates. 

To date, most requests for email address information have been pushed, shoved or jammed into whatever white space remains.  It should be no surprise that the success rate has been less than stellar.

To improve on these efforts, you need to provide your members with a reason to release their email addresses to you.  E-newsletters, purchase confirmations, petitions, and special discounts and offers are but a few of the benefits that will encourage your members to come on board.

2.  Web Page Collection

Many companies have an email address collection function in place via the web.  To improve your sign-up rates, add text below the email request box that informs your visitors of the special email benefits that they will receive (i.e. e-newsletters, purchase confirmations, delivery updates, etc.) upon registering.  You can also utilize a pop-up link to inform users of these special benefits.

Finally, your email address request function should be available on your home page. Don't make your users go and look for it.  Every click away from your home page reduces the chances of your users taking an action and providing you with their email address information.

3.  Existing Email Database Collection

Don't forget to ask the members of your existing customer base for email addresses of their friends, family and associates.  Viral marketing is a powerful tool to use and is extremely cost effective!  You could ask them either to provide you with additional addresses or simply to pass on your newsletter, email specific offers, or other information to others they feel have similar interests.

4.  Telemarketing Collection

Don't assume that your telemarketing agents are asking for email addresses from potential customers.  Ensure that your agents have an updated script, which outlines the previously described benefits to potential customers of providing their email addresses.

The suggestions above are a great start!  Yet they really should be viewed as a secondary plan for building your email database.  To exponentially and expeditiously grow your email database, please read on!


EMAIL APPENDING  

Utilizing an email appending service enables you to add email addresses for up to 25% of your postal file, all within 3-4 weeks.

Email Appending - is the process of adding an individual's email address to that individual's postal record in side your existing database.  This is accomplished by matching the postal database against a third party, permission based database of postal and email address information.

Best Practices - Email Appending is not a prospecting tool. The DMA (Direct Marketing Association) and its interactive arm AIM (Association of Interactive Marketing) have guidelines in place that dictate that email appending only be used to append email addresses to your existing opt-in postal record house file.

The Process - Your opt-in postal file is securely transferred to an email appending provider, who will do an initial gross email address match of your file against its opt-in database of postal and email address records.  Your appending provider will then send these matches a permission-based message prepared by you.  All bounces and opt-out requests will be removed from the list.  At that point a valid permission-based email address file of your customers will be delivered back to you. 

Cost - Less than the price of a postal stamp!


IN SUMMARY

The first step of any successful email marketing effort is to build a permission-based email address list of your customers.  The simplest, quickest and most cost-effective way to do this is through email appending, which will enable you to add email addresses for up to 25% of your postal file.  Secondary efforts of email address collection via focused direct mail, web, viral and telemarketing practices are also important and will enable you to add email addresses for an additional 5% to 10% of your base on an annual basis.

Best of luck in building your email address database.  As many companies have already learned, the ROI and cost savings to be achieved will far exceed your expectations.

Bill Kaplan
CEO
FreshAddress, Inc.

FreshAddress, Inc., The Email Address ExpertsTM, provides a comprehensive suite of industry leading database and email deliverability services to help companies increase their e-commerce revenues.  For more information on how we can help "Build and Update" your email list, visit http://freshaddress.com/biz or email biz@freshaddress.com.



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