Launching a new product or business is a very difficult challenge particular when entering a market that is concentrated. A recent Capgemini report found that the UK internet economy is predicted to be worth almost £100bn by the end of 2013 and entering the online space is seen as the way forward for brands with the occurrence of fluctuating fortunes on the highstreet.
Deciding which marketing strategy to adopt is another challenge facing companies, particularly when budget is an object. Can a multi tiered strategy be implemented or will an online approach be taken due to it's accountability? These are questions businesses need to ask themselves.
Our concern here is elaborating the benefits of a paid online marketing strategy using Google Adwords (as it’s the predominant platform) and tips to make inroads into verticals that are already occupied.
Google states that it receives over one billion searches every day from 181 countries . 15% of these searches that occur on Google every day are ones that they have never seen before. If making quick leads, exposure and sales is paramount then this is a far superior tactic than organic listing or waiting to build a fan base on a social network.
So how do you go about challenging the big boys on the block when you're new in the neighborhood?
1. First and foremost, establish your budget, knowing how much you can't spend will make your targets a lot more focused.
2. When choosing your keywords list aim for around 25-30 phrases initially. The reason for this amount is that popular phrases with high search frequency will be phases that the established brands in your vertical will be targeting and normally paying a fair amount for. They will also have historical data to support their ads being shown ahead of new advertisers.
3. Have a mixture of head and long tail terms. Head tail terms are two to three words in length. They normally have higher search frequency but are more competitive to bid on, meaning higher costs due to established brands targeting these terms.
Long tail terms are three to five words in length, their search frequency is less than that of head terms but are less competitive. These are the terms that you can make inroads in and remember, knowing how much you can spend will determine how efficient you are in juggling your bidding on head and long tail terms.
4. Use day scheduling. Try and determine when your competitors are not bidding, obviously within a relevant time frame to your business. Knowing the right time to bid can get you in front of vying searchers when your competitors are not there.
5. Use first and top page bid estimates. Google Adwords has a feature that lets advertisers know how much the estimated bid is to get on the first search results page and it also has a feature for the top-of-page estimate for the first page. Use this wisely, most ads gain clicks from the first three positions but if you find that bidding in the mid range of the two estimates gets you more clicks and conversions then sticking to that amount would be more valuable than aiming for the top positions on the search results pages.
6. Remember Max Cost Per Click (CPC) is not how much you will always pay, break the fear factor in you.
Don’t think ‘Oh My God’ i’m not paying £10 a click or spending £50 per day. Think of the potential return on investment, that £10 you set as your Max CPC may actually cost you £8.50-9.00 and result in a thousand pounds worth of revenue. Be positive.
7. Last but not least - offer something unique to your competitors. You may be able to offer better deliver times or include gift wrappings. Include these offerings in your ads so your potential customers can see the difference.
Breaking into markets is a difficult task but not an impossible one and with Google Adwords you have the potential to be vying for the same space as more well to do names.