Report on top paid-search advertiser trends reveals improved campaign efficiency
SAN FRANCISCO – Marin Software, provider of the leading online advertising management platform for advertisers and agencies, today released the findings of its Paid Search Quarterly Benchmarking Report, which indicates a 20 percent year over year increase in paid search advertising spend. According to the report, which sampled data from more than 800 advertisers and agencies, click-through rates rose 12 percent compared to the same quarter a year ago, while overall costs-per-click remained the same. A closer look reveals this increase in efficiency is a result, in part, of an increase in clicks on Phrase and Exact match keywords.
Marin Software’s Paid Search Quarterly Benchmarking Report consists of key trends and statistics uncovered through an examination of the Marin Global Search Index. The Marin Global Search Index is comprised of data from more than 800 large-scale advertisers and agencies that collectively spend in excess of $2 billion annually on paid-search through the Marin platform.
Paid Search Key Findings:
- North American advertisers increased spend on paid search in the second quarter by 20 percent on a year over year basis, increasing click-through rates by 12 percent while holding overall cost-per-click in check.
- On Google, advertisers saw a dramatic decline in impression volumes in the second quarter, with the average marketer experiencing a 15 percent drop compared to last year. At the same time, however, advertisers increased click volumes on an annual basis, growing clicks by 8 percent for the time period. This data suggests that either search marketers took steps to improve efficiency or Google modified its algorithm for matching ads to queries.
- The share of paid clicks directed towards Exact and Phrase match keywords increased by 10 percentage points during the last year at the expense of Broad match clicks. Exact and Phrase keywords have higher click-through rates and lower costs than broad match terms, in part explaining the gains advertisers have realized in terms of efficiency.
- Spend on Yahoo and Bing increased by a median 52 percent on a year over year basis as advertisers built out their campaigns on the combined platform in earnest. Advertisers also experiencing a boost in effectiveness on the combined platform, indicated by a 6 percent increase in click through rates on Yahoo-Bing.
The full report, including trends within vertical markets can be downloaded at: http://www.marinsoftware.com/resources/whitepapers/q2-2011-benchmark-report.
Those interested in attending a webinar discussion of the results can register at: https://www1.gotomeeting.com/register/388828545.