Super Keywords
Ok - so my last posting on the Superbowl until next year's game.
Many companies were bidding up key search engine words on pay-per-click engines like Google this past Superbowl. These keywords - like Pizza (think Domino's)- are essentially heavily searched during game parties and the like and ultimately lucrative. I hope.
As a survivor of the great mortgage refinancing boom, I had to consult a client that was continually over-paying for clicks on the word "refinance". Often, the cost-per-click would top $40. The client wanted to be first - maybe it was just their competitive nature.
When I ran the numbers, I found that it took 3 clicks to generate a lead and 12 clicks to generate one deal. Ultimately, they paid $120 per lead and $480 per deal. The metrics still worked - since they made roughly $3,500 per transaction. However, I was able to convince them that simply bidding to be in the fight was not the cheapest way to win business. There were other avenues we introduced them to that generated a deal around $300.
The bottom line - whether you're selling pizzas or mortgages - is to know your allowable cost per acquisition and make sure you stick to it. Don't get caught up in bidding wars that may or may not be profitable for your business in the long-run.
A bidding frenzy for search engine keywords during the Super Bowl
http://www.latimes.com/business/la-fi-superbowl6-2010feb06,0,5406157.story
Back
Many companies were bidding up key search engine words on pay-per-click engines like Google this past Superbowl. These keywords - like Pizza (think Domino's)- are essentially heavily searched during game parties and the like and ultimately lucrative. I hope.
As a survivor of the great mortgage refinancing boom, I had to consult a client that was continually over-paying for clicks on the word "refinance". Often, the cost-per-click would top $40. The client wanted to be first - maybe it was just their competitive nature.
When I ran the numbers, I found that it took 3 clicks to generate a lead and 12 clicks to generate one deal. Ultimately, they paid $120 per lead and $480 per deal. The metrics still worked - since they made roughly $3,500 per transaction. However, I was able to convince them that simply bidding to be in the fight was not the cheapest way to win business. There were other avenues we introduced them to that generated a deal around $300.
The bottom line - whether you're selling pizzas or mortgages - is to know your allowable cost per acquisition and make sure you stick to it. Don't get caught up in bidding wars that may or may not be profitable for your business in the long-run.
A bidding frenzy for search engine keywords during the Super Bowl
http://www.latimes.com/business/la-fi-superbowl6-2010feb06,0,5406157.story
Back