On the internet, just as on the High Street, it’s not only the footfall that counts, but more importantly the revenue from each visitor. Keyword research is critical as an ongoing activity in your Internet Marketing Strategy.
Let’s start with Pay Per Click, we need to know what key phrases generate buyers and not just visits. So after setting up your pay per click campaign we monitor what is actually generating sales.
Measuring Cost per Sale
Simply take the number of sales generated by key phrases over a period, divide by the PPC cost for that keyword, hey presto, your cost per sale. So it is imperative to measure how often each key phrase makes an online sale or a telephone sale.
When is Cost Too High?
This will depend on your business model, but the measure we use is 20% of average sale value. Which means 20% or our turnover goes back in to online marketing.
Analysing the Data.
Once you’ve got some useful data you can start making some decisions. You will have four groups in your keywords:
- Low Conversion, High Cost
- Low Conversion, Low Cost
- Low Cost, High Conversion
- High Cost, High Conversion
Groups 1 & 2 We make a record of it for future reference but don’t use them.
Group 3 are the most interest to us. We maintain them in a PPC campaign, and we focus our SEO efforts on them. You will generally find that these are the easier of the two last groups to get Organic ratings for.
Group 4 We drop from our PPC campaigns, but do include them in our SEO efforts, but secondary to group 3.
Now you have two useable groups of keywords that will maintain your sales while saving money.