We Make Marketing Easy

  • Home
  • Services
    • Website Development
      • Website Extras
      • Website Development FAQ
    • Local Search Optimization
    • Search Engine Optimization
  • Portfolio
  • Speaking
  • About
  • Contact

Is Pay-Per-Click Losing It’s Charm?

By Ken Partain

I read an article on TechCrunch recently that referenced another article on comScore about the decline in search ads, which are essentially pay-per-click ads.

The comScore article presents the fact that search queries have increased 68% over the past two years, but search ad clicks have only gone up 18% in the same period.

The comScore article goes on to suggest that one reason is:

“that the search engines have been working hard to improve the searcher experience and reduce the importance of less relevant advertisers…To help confirm this hypothesis we looked into the rate at which searchers clicked on paid ads and found that the rate hasn’t changed”

and two:

“An analysis of comScore data shows that search queries are actually getting longer and that as searchers become more experienced they are using more words per search query. And this apparently reduces the likelihood that an advertiser has bid to have his/her ad included in the results page from these longer queries”

The TechCrunch article suggests that one of the biggest reasons for the decline is there are simply fewer big players that spend a lot of money on paid placement.  However, the only companies mentioned are the big retailers like Sharper Image and Wickes Furniture and Macy’s.  This is just in the retail sector.  What about all the service businesses and B2B companies still advertising?

I agree that there has been a big decline in the number of advertisers but I think both of these articles are missing something.

First, I disagree with comScore that the rate at which searchers click on paid ads hasn’t changed.  In the MarketingSherpa 2009 Search Marketing Benchmark Guide, there is a chart that shows that only 3.1% to 6.8% of clicks take place in the paid placement area of the search engine results page (SERPS).  That is a huge decline from a similar report I read in early 2007 that put the number of clicks in the paid placement area between 14 and 17%.  I can’t put my finger on the report at the moment but when I do I will update this post.

I agree that longer search string queries have reduced the number of paid ads being shown, but that is really secondary to the reason people aren’t clicking on those ads.  Its because longer search queries bring back more relevant results and the searcher doesn’t have to rely on ads to find what he wants.

I also believe that more people realize that the listings on the right and at the top of the SERPS are ads and just don’t click on them as often.  Searchers are getting smarter and they realize there’s a very good chance they are going to find what they want in the natural search results.

I’d love to hear your comments.

Share this:

  • Facebook
  • Twitter
  • LinkedIn
  • Pinterest
  • Email

Filed Under: Pay-Per-Click, Search Engine Marketing Tagged With: paid placement, paid search, Pay-Per-Click

Call Us!

1-512-651-2963
1-877-334-8022

We’re Glad You’re Here!

Choosing the right partner to help with your online marketing can be a real challenge.

At IPG Search Marketing we have been very effective in working with companies of all sizes, from startups and small, local businesses to national franchises and their franchisees, to improve their entire online marketing process.

We've been taught by some of the best in website development, search engine optimization and local search optimization and we continue to stay on top of the latest developments in all of these areas.

In addition, we have a driving passion for helping small businesses succeed with their online marketing. In fact, one of our goals is to help 100,000 small businesses do just that.

Welcome!

Ken Partain - Small Business Marketing ConsultantHello, my name is Ken Partain and I personally oversee every single SEO and Website development project that we take on at IPG Search Marketing and I stand behind our work 100%.

Read Our Client Testimonials

Contact Us!

Ken Partain
Infinite Prosperity Group, LLC dba IPG Search Marketing
511 Ancient Oaks Dr
Marble Falls, TX 78654
United States
Local: 1.512.651.2963
Toll-free: 1.877.334.8022

IPG Search Marketing on Google+

Our Latest Blog Posts

  • WilcoRelo
  • Woodsman Tree Service
  • CBA – Cedar Park
  • Catapult Business Training
  • Carmanah Signs

Connect With Us

  • Email
  • Facebook
  • LinkedIn
  • Twitter
  • YouTube

Search Our Site

[footer_backtotop]

Copyright © 2023 Infinite Prosperity Group, LLC · All Rights Reserved. Privacy Policy