| I discovered pay per click marketing in late 2001, | | | | these traditional advertising channels...expensive, |
| launching my first campaign with Google Adwords. At | | | | inflexible, and a return on investment that is difficult |
| the time, I was managing a search engine | | | | to measure. Furthermore, successful marketing |
| optimization (SEO) project for an industrial controls | | | | through tradeshows and trade journals depends on a |
| manufacturer and immediately recognized the | | | | wealth of skills and expertise that often cost money. |
| potential of this new channel.I opened a Google | | | | Whether these additional costs come in the form of |
| Adwords account, compiled a list of keywords, and | | | | sales training or graphic design and copywriting |
| developed a small group of text ads. Within five | | | | services, the end result is stiffer marketing costs, |
| minutes of my campaign going live, the four lines of | | | | coupled with poor ROI tracking.What can an industrial |
| text that I had crafted into an advertisement were | | | | manufacturer to do about escalating marketing costs |
| appearing on the right side of Google's search results. | | | | and aggressive competitors? I can think of three |
| More importantly, targeted visitors began trickling into | | | | words for you - Pay Per Click.Coined by sales |
| my client's website; the power of this marketing | | | | professionals as the purest form of direct marketing, |
| platform really struck a chord with me. I had | | | | pay per click advertising addresses industrial |
| achieved visibility on Google's highly coveted first | | | | manufacturers' three biggest concerns - cost, |
| page using the same keywords being optimized | | | | feedback, and return on investment.With pay per |
| through my "natural search" project.Let me distinguish | | | | click advertising, industrial manufacturers can regulate |
| between paid listings and natural search listings - I am | | | | their marketing spend on a daily, weekly, or monthly |
| not suggesting that they are equal in value, but | | | | basis. Preset budgets make it easy to control costs |
| rather competitive in value. Natural listings enjoy a | | | | and establish a baseline for measuring return on |
| higher perceived relevancy in the eyes of search | | | | investment. When advertising through the Google or |
| users; however pay per click advertising, when | | | | Yahoo paid search network, return on investment is |
| managed properly, affords businesses immediate | | | | easily calculated through comprehensive reporting |
| penetration into desirable search engine result pages | | | | that provides all of the information required to make |
| (SERPS). Additionally, paid search marketing is much | | | | smart decisions about how and when to optimize ad |
| more flexible in its approach to targeting markets and | | | | dollars, driving more leads, requests for quote, and |
| budgeting for return on investment.Search engine | | | | sales.The difference between pay per click marketing |
| optimization is a valuable strategy that can deliver a | | | | and tradeshows or trade journals is the extraordinary |
| strong return on investment when properly managed. | | | | control available to the advertiser. An experienced |
| Businesses can cultivate a web presence that | | | | pay per click manager can manipulate the quality and |
| organically ranks high in the search engine results | | | | volume of search traffic that is driven to an industrial |
| pages, delivering requests for quote and product | | | | manufacturer's website. Through keyword research, |
| sales. By the same token, the effective | | | | targeted ad copy, and an effective display URL, pay |
| implementation of SEO is a long term strategy, often | | | | per click managers can "choose" the audience seeing |
| requiring months of development and significant | | | | their advertisements. Furthermore, they can |
| project costs before a return on investment is | | | | determine the price (value) of each prospect clicking |
| realized.Pay Per Click marketing on the other hand is | | | | through to the company's website, relative to the |
| completely measurable, making it possible to monitor | | | | product or service being offered.At the end of the |
| profitability on a real time basis. Furthermore, the pay | | | | day, it boils down to simple math...lets compare |
| per click model enables marketers to revise their | | | | tradeshows and trade journals to Pay Per Click |
| advertisements, budgets, and target audience(s) on a | | | | advertising. On average, attendance at a single |
| real time basis. This flexibility, when properly | | | | tradeshow costs the average industrial manufacturer |
| harnessed, is the key to an industrial manufacturer's | | | | approximately $4,500; this figure includes registration |
| success in the world of Internet marketing.Most | | | | fees, sales staff, and travel expenses. Additional |
| business-to-business companies sell a spectrum of | | | | costs not covered in that figure may include the |
| products or services, organized under different | | | | booth display, marketing materials, and promotional |
| categories, and appealing to slightly different | | | | items.A trade journal advertisement costs |
| customers. Traditionally, industrial manufacturers relied | | | | approximately $3,900 for a half page, four color |
| on trade journals and tradeshows to promote their | | | | placement in a single issue. Expenses not covered in |
| goods and services. Unfortunately, the costs | | | | that figure may include ad photography, graphic |
| associated with these marketing channels are | | | | design, and copy writing services.Pay Per Click |
| proportional to the number of products or services | | | | marketing on the other hand is not associated with |
| being advertised.For example, if a pump manufacturer | | | | average costs because each campaign is customized |
| wanted to showcase their entire product line at a | | | | to meet the unique needs of the industrial advertiser. |
| tradeshow, more booth space would be necessary | | | | Instead, we'll look at the average cost per click, |
| to accommodate all of the pump types. Additional | | | | which represents a qualified (interested) visitor |
| costs might also include the extra freight charges | | | | accessing your company's website for more |
| associated with shipping the pumps to and from the | | | | information on the product(s) advertised. Generally |
| show. Ultimately, the resources (read = time & | | | | speaking, most industrial manufacturer's can expect |
| money) required to actively promote a spectrum of | | | | to pay between 25 to 50 cents per click.In other |
| products through tradeshows are directly linked to | | | | words, imagine a tradeshow whose participation |
| participation costs.This same dilemma extends to | | | | costs were based solely on the number of people |
| trade journal advertisements, where marketing | | | | who approached your booth looking for more |
| multiple products simultaneously translates into | | | | information on the specific products your company |
| multiple advertisements and escalating costs. If the | | | | sells. From the perspective of a trade journal |
| same pump manufacturer wanted to target market | | | | advertiser, your costs per issue would be based on |
| each type of pump they sell, they would either need | | | | the number of people who actually saw your printed |
| multiple advertisements or one very large spread. | | | | ad placement and then accessed your company's |
| Promoting an entire product line through a single print | | | | website looking for more information on the specific |
| advertisement typically dilutes the marketing | | | | product(s) being promoted.The quick math suggests |
| message and cripples the ad's return on investment. | | | | that in order for tradeshows to compete with Pay |
| By the same token, running multiple advertisements | | | | Per Click advertisements, your company's booth |
| or larger multi-page spreads cost money.Furthermore, | | | | should be visited by at least 9000 ($4,500 x .50 = |
| successful marketing through tradeshows and trade | | | | 9000) interested prospects per show. By the same |
| journals depends on more than just money. For | | | | token, each printed ad placement in a trade journal |
| example, tradeshow participation is only effective | | | | should yield at least 7,800 ($3,900 x .50 = 7800) |
| when the person manning your booth is a trained | | | | targeted visitors to your website. Apart from the |
| salesman, schooled in the techniques of business | | | | doubtful likelihood of either scenario, the absence of |
| development and lead generation. Simply placing your | | | | detailed reporting through either of these advertising |
| lead engineer or technical support rep at a table full | | | | channels makes it impossible to accurately track their |
| of products is not going to produce sales...at least not | | | | ROI performance.In summary, it would be unfair to |
| in the capacity you expect. In turn, some training | | | | suggest that a direct comparison can be made |
| may be required to maximize your presence at an | | | | between any of these marketing channels. |
| exhibition.Printed advertisements are typically created | | | | Tradeshows represent a unique opportunity to form |
| by graphic artists and experienced copy writers who | | | | personal relationships on the front lines, while enjoying |
| can communicate a product's benefits and features in | | | | valuable face time with associates. Neither a trade |
| a professional and practical manner. These skills are | | | | journal advertisement nor a pay per click marketing |
| often sub-contracted and usually require in house | | | | campaign can provide these benefits. Trade journal |
| participation to ensure that the marketing message is | | | | advertisements are a great branding tool, cultivating |
| correctly expressed. Aside from the high hourly costs | | | | perceived value and expertise that translates name |
| associated with graphic designers and copy writing | | | | recognition into product sales.In closing it is most |
| professionals, your sales team and/or engineers will | | | | important to recognize the individual strengths of |
| end up dedicating a percentage of their time | | | | these marketing channels - however it should be |
| reviewing the proposed creative, making suggestions, | | | | noted that pay per click is the most cost effective |
| and ultimately approving the finished advertisement - | | | | and measurable form of advertising available.Payton |
| and all of these steps happen before the ad is even | | | | Wolfe is a co-founder of and their Director of |
| published.Both scenarios illustrate the shortcomings of | | | | Marketing Campaign Strategy. |