Pay Per Click Marketing - Does It Work For Industrial Companies?

I discovered pay per click marketing in late 2001,these traditional advertising channels...expensive,
launching my first campaign with Google Adwords. Atinflexible, and a return on investment that is difficult
the time, I was managing a search engineto measure. Furthermore, successful marketing
optimization (SEO) project for an industrial controlsthrough tradeshows and trade journals depends on a
manufacturer and immediately recognized thewealth of skills and expertise that often cost money.
potential of this new channel.I opened a GoogleWhether these additional costs come in the form of
Adwords account, compiled a list of keywords, andsales training or graphic design and copywriting
developed a small group of text ads. Within fiveservices, the end result is stiffer marketing costs,
minutes of my campaign going live, the four lines ofcoupled with poor ROI tracking.What can an industrial
text that I had crafted into an advertisement weremanufacturer 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 intowords for you - Pay Per Click.Coined by sales
my client's website; the power of this marketingprofessionals as the purest form of direct marketing,
platform really struck a chord with me. I hadpay per click advertising addresses industrial
achieved visibility on Google's highly coveted firstmanufacturers' three biggest concerns - cost,
page using the same keywords being optimizedfeedback, and return on investment.With pay per
through my "natural search" project.Let me distinguishclick advertising, industrial manufacturers can regulate
between paid listings and natural search listings - I amtheir marketing spend on a daily, weekly, or monthly
not suggesting that they are equal in value, butbasis. Preset budgets make it easy to control costs
rather competitive in value. Natural listings enjoy aand establish a baseline for measuring return on
higher perceived relevancy in the eyes of searchinvestment. When advertising through the Google or
users; however pay per click advertising, whenYahoo paid search network, return on investment is
managed properly, affords businesses immediateeasily calculated through comprehensive reporting
penetration into desirable search engine result pagesthat provides all of the information required to make
(SERPS). Additionally, paid search marketing is muchsmart decisions about how and when to optimize ad
more flexible in its approach to targeting markets anddollars, driving more leads, requests for quote, and
budgeting for return on investment.Search enginesales.The difference between pay per click marketing
optimization is a valuable strategy that can deliver aand 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 thatpay per click manager can manipulate the quality and
organically ranks high in the search engine resultsvolume of search traffic that is driven to an industrial
pages, delivering requests for quote and productmanufacturer's website. Through keyword research,
sales. By the same token, the effectivetargeted ad copy, and an effective display URL, pay
implementation of SEO is a long term strategy, oftenper click managers can "choose" the audience seeing
requiring months of development and significanttheir advertisements. Furthermore, they can
project costs before a return on investment isdetermine the price (value) of each prospect clicking
realized.Pay Per Click marketing on the other hand isthrough to the company's website, relative to the
completely measurable, making it possible to monitorproduct or service being offered.At the end of the
profitability on a real time basis. Furthermore, the payday, it boils down to simple math...lets compare
per click model enables marketers to revise theirtradeshows and trade journals to Pay Per Click
advertisements, budgets, and target audience(s) on aadvertising. On average, attendance at a single
real time basis. This flexibility, when properlytradeshow costs the average industrial manufacturer
harnessed, is the key to an industrial manufacturer'sapproximately $4,500; this figure includes registration
success in the world of Internet marketing.Mostfees, sales staff, and travel expenses. Additional
business-to-business companies sell a spectrum ofcosts not covered in that figure may include the
products or services, organized under differentbooth display, marketing materials, and promotional
categories, and appealing to slightly differentitems.A trade journal advertisement costs
customers. Traditionally, industrial manufacturers reliedapproximately $3,900 for a half page, four color
on trade journals and tradeshows to promote theirplacement in a single issue. Expenses not covered in
goods and services. Unfortunately, the coststhat figure may include ad photography, graphic
associated with these marketing channels aredesign, and copy writing services.Pay Per Click
proportional to the number of products or servicesmarketing on the other hand is not associated with
being advertised.For example, if a pump manufactureraverage costs because each campaign is customized
wanted to showcase their entire product line at ato meet the unique needs of the industrial advertiser.
tradeshow, more booth space would be necessaryInstead, we'll look at the average cost per click,
to accommodate all of the pump types. Additionalwhich represents a qualified (interested) visitor
costs might also include the extra freight chargesaccessing your company's website for more
associated with shipping the pumps to and from theinformation 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 ofto pay between 25 to 50 cents per click.In other
products through tradeshows are directly linked towords, imagine a tradeshow whose participation
participation costs.This same dilemma extends tocosts were based solely on the number of people
trade journal advertisements, where marketingwho approached your booth looking for more
multiple products simultaneously translates intoinformation on the specific products your company
multiple advertisements and escalating costs. If thesells. From the perspective of a trade journal
same pump manufacturer wanted to target marketadvertiser, your costs per issue would be based on
each type of pump they sell, they would either needthe 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 printwebsite looking for more information on the specific
advertisement typically dilutes the marketingproduct(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 advertisementsPer 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 trade9000) interested prospects per show. By the same
journals depends on more than just money. Fortoken, each printed ad placement in a trade journal
example, tradeshow participation is only effectiveshould yield at least 7,800 ($3,900 x .50 = 7800)
when the person manning your booth is a trainedtargeted visitors to your website. Apart from the
salesman, schooled in the techniques of businessdoubtful likelihood of either scenario, the absence of
development and lead generation. Simply placing yourdetailed reporting through either of these advertising
lead engineer or technical support rep at a table fullchannels makes it impossible to accurately track their
of products is not going to produce sales...at least notROI performance.In summary, it would be unfair to
in the capacity you expect. In turn, some trainingsuggest that a direct comparison can be made
may be required to maximize your presence at anbetween any of these marketing channels.
exhibition.Printed advertisements are typically createdTradeshows represent a unique opportunity to form
by graphic artists and experienced copy writers whopersonal relationships on the front lines, while enjoying
can communicate a product's benefits and features invaluable face time with associates. Neither a trade
a professional and practical manner. These skills arejournal advertisement nor a pay per click marketing
often sub-contracted and usually require in housecampaign can provide these benefits. Trade journal
participation to ensure that the marketing message isadvertisements are a great branding tool, cultivating
correctly expressed. Aside from the high hourly costsperceived value and expertise that translates name
associated with graphic designers and copy writingrecognition into product sales.In closing it is most
professionals, your sales team and/or engineers willimportant to recognize the individual strengths of
end up dedicating a percentage of their timethese 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 evenWolfe is a co-founder of and their Director of
published.Both scenarios illustrate the shortcomings ofMarketing Campaign Strategy.