NetElixir Blog

Why We Are Optimistic about 2009 Holiday Season

Our keyword search advertising report received press coverage today-

http://www.internetretailer.com/dailyNews.asp?id=31964

The release states our bullishness about the upcoming holidays based on keyword search advertising trends.

Its important to realize the significance of keyword search trends as economic indicators. We have seen all the three parameters - clicks, click through rate and cost per click - bounce back from "the terrible lows of April and first few days in May 2009".

People are searching more. Each conversion is preceded by more clicks. The rising clicks reflect a change(improvement) in searcher intent.

Its difficult to extend our findings to anything beyond just this "improvement in searcher activity and intent".

- Does improvement in searcher intent mean potential improvement in online sales. We don't know. We definitely hope so, but its not possible for us to make such an extrapolation based on this limited data.

You can download a copy of our report here and interpret the findings as you deem appropriate:

http://www.netelixir.com/pdf/NetElixirKeyword2009Holiday.pdf

- Udayan Bose

IRCE 2012 Workshop Presentation

Wanted to share a link to download a copy of the IRCE Workshop presentation - conducted by me and Steve Cates - http://www.netelixir.com/IRCE2012p.html.

 

Udayan Bose

Last week prior to IRCE 2012. Need to work on my Conference Preso today.

A well thought out account set up is key to running successful paid search campaigns. Our GOST model helps us create a logical, measurable account framework. The model connects goals, strategy and tactics. Every tactic is measurable.

We will be launching "The Best of Fresh Online Marketing Ideas Workbook" at the Internet Retailer show next month. The workbook will contain the top 20 ideas shared by us through our whitepapers and workbooks since 2009.

Adding an exclamation mark at the end of your adwords ad increases the click through rate by 7%! Isn't that remarkable?
It's amazing how human brain reacts to symbols, words and phrases. Adwords is a great playing ground for our research team. The insights that we obtain about human behavior is valuable.

Over the past 4-5 years the searcher sophistication has increased substantially. The average search query is longer (2.9 words per query versus 2.1 in 2007) and is a stronger expression of intent (quality of query). Search advertisers need to consider this when they create their keyword portfolio.

I am getting back to regular blogging on online advertising and ecommerce thanks to the encouragement (and push) from my retailer friends.

eTail 2011, Palm Desert

NetElixir is a Search Summit sponsor as well as exhibitor (Booth#99) at the upcoming etail show - 22nd February-24th February.

At the show we will be unveiling a major enhancement to our SEM technology, LXRRetail. We are confident that this new module will be of immense help to retail search marketers in managing search programs more holistically.

- Udayan Bose

Q1 Search Advertising Data confirms strong retail bounce back

2010 has started strong. The economy is showing signs of slow but sustainable recovery, business confidence is gaining grounds and retail sales are rising.

As a search engine marketing firm that specializes in assisting e-tailers, we have the opportunity to observe the retail sector’s fundamental shifts first-hand. Search advertising parameters are great indicators of the level of confidence consumers have in the economy.

Our report is based on data collected from our ongoing research on paid search advertising campaigns of 32 online retailers. In this report, we have used our research findings to understand implications for retail search marketers in the post recessionary era. We have also shared the SEM lessons learned by us to help retailers successfully navigate the new search advertising landscape .

You can download a copy of our whitepaper here: http://netelixir.com/winner.html

Thanks,

Udayan

eMarketer's Predictions - US Retail ECommerce - Should we pay attention?

First the excerpt:

eMarketer has revised its forecast of US retail e-commerce sales growth after a lackluster first half of 2009. Retail e-commerce sales, excluding travel, are expected to contract by 3.1% this year.

Growth will resume in 2010, at 5.5%, as consumer spending recovers from the recession. By 2011, eMarketer expects pent-up demand to accelerate growth, peaking in 2012. Retail e-commerce sales will continue to increase, but the rate of growth will fall off in 2013, continuing the pre-recession trend of strong but slowing growth.

Previously, eMarketer projected flat growth for retail e-commerce, expecting declines in the first half of the year followed by second-half recovery. But August figures from the US Department of Commerce (DOC) show sales decreased more than expected in Q2, falling 4.5% year over year to $30.77 billion.

Our comments:

I am often amused by the lack of accuracy of predictions. Despite constant revisions they still fail to be accurate.

I firmly believe that predictions and forecasts should be based on "what is really happening at the ground level". However, many research associations still keep throwing macro economic data into in-house forecasting models (that are often inadequate and irrelevant) and use the results to make predictions that are "way off the mark".

There was a great article by Carl Bialik (Numbers Guy) in WSJ edition of 12th August. The article was called Forecast: Next Year to Arrive in 2010-ish. It describes how "Crystal Balls have become Hazy" in times like these.

Its "impossible to make accurate predictions". However, by keeping ear to the ground, one can make forecasts that are far more accurate than outdated forecasting models.

- Udayan Bose