26 Jun '14, 1pm

How Hard Should You Press The Gas Pedal In Paid Search?

How Hard Should You Press The Gas Pedal In Paid Search?

We don’t see all the conversions driven by paid search. There are cross-device effects, there is spillover to brick and mortar, people drop cookies reducing the observable conversions. Factoring in this hidden value makes the additional investment wise. The graph above only accounts for short-term ROI. The lifetime value of the consumers engaged is more than enough to justify additional investment. Growing the customer base is valuable in and of itself. It leads to more customers to market to via email, direct mail, re-marketing display ads, social media, etc. This increases the natural lifetime value of a customer. Growth gives additional clout with vendors. Volume discounts and co-op marketing dollars go to the companies that sell more product. Publishers can charge more for advertising on site. Insurance companies can spread risk over a larger base. Bigger is better. Br...

Full article: http://searchengineland.com/hard-press-gas-pedal-194226

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