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1 Travel Travel Shopping Shopping When Search Engines do Search Marketing Search Engine Strategies , San Jose David Roth Director, SEM HotJobs HotJobs Au t os Au t os Music Music Personals Personals Web Web Hosting Hosting Domai ns Domains Merchant Merchant Services Services

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1

TravelTravel

Shopping

Shopping

When Search Engines do Search Marketing

Search Engine Strategies, San Jose

David RothDirector, SEM

HotJobsHotJobs

Au

tos

Au

tos

Music

Music

Personals

Personals

Web Web

HostingHostingDomains

Domains

Mer

chan

t

Mer

chan

t

Servi

ces

Servi

ces

2

Agenda

Why does Yahoo! do SEM? Different Business, Different Models Paid Search, Organic and Affiliate Managing Expectations Build vs. Buy, or both?

3

Why am I standing here talking?

The Band broke up in 1985 Hate Sammy Hagar Pursued solo career (Just a Gigolo…) Got Into Radio Couldn’t replace Stern Yahoo! called….something about Panama

4

No Really, why am I standing here talking?

Agency guy from way back Paid Inclusion P4P SEO Affiliate marketing Search within Advertising

Yahoo has been doing SEM for a while in many Business Units

Need a central perspective Efficiencies Best Practices Scale

5

Why SEM?

Everyone knows SEM is the best way to acquire customers, even if you are a Search Engine

Yahoo! has extensive Search Marketing campaigns across the organization that include paid search, SEO, and Affiliate Marketing

6

SEM Coverage Across the Organization

Yahoo! is engaged in Search Marketing for a large number of properties, such as:

Personals Small Business

Web Hosting Domains Retail Services

Shopping Travel Autos Broadband Music Yahoo! Search Marketing News Finance Answers Local Messenger

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Paid Search, SEO and Affiliate

‘Holy Trinity’ of Performance Marketing Paid Search: Yahoo! advertises on millions

of keywords across multiple search engines for all business units

SEO: Yahoo! maintains SEO guidelines enforced on all BUs who spend cash on performance marketing

Affiliate: Yahoo! has a corporate affiliate marketing program that works closely with SEO, SEM.

Managing SEM/SEO policies for Affiliate program is important

8

Different Business Models, Different Businesses

Subscription Personals Music Broadband

Conversion Messenger

Transactional YSM Domains

Lead Generation Autos Shopping Travel

CPM Revenue Media

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Many Models, One Method

LTV optimization: What is the lifetime value of a conversion?

Subscription Referral CPM/CPC Revenue

What is the net present value (NPV) of that lifetime revenue stream?

What is the acceptable profit margin on NPV? Monthly Scorecard for all Business Units,

Channels

10

Managing: Centralize vs. Decentralize

Business owners know their business Search Engine Marketers know SEM Managing the tradeoffs Adding Centralized Resources

Maximize efficiency and scale Maintain business knowledge

Manage against a single standard Allow budget mobility to incentivize

stakeholders Between Channels Between Business Units

11

In-House vs. Outsourced

Yahoo! uses a blend of in-house SEM Management and agency assistance to execute SEM across the organization

SEM Infrastructure exists within Yahoo! Yahoo! will continue to leverage agency

relationships to gain industry expertise, time to market

Yahoo! has built, and will continue to build, strategic pieces of SEM infrastructure

12

Thank YouDavid Roth

Director, Search Engine Marketing