PPC grew 24% in 3rd Quarter
I usually get several blogs in my inbox that I never take the time to read. However, this one caught my eye. According to a new report done by Covario shows that Paid Search Advertising increased by 24% year over year in Q3. Yes we know kids are back in school and the retail sector is getting ready for the holidays, however what is interesting is the fact that the CPC or Cost Per Click prices were down. This means that either marketers are getting up to speed on managing their own campaigns or more advertisers are outsourcing the management of their campaigns to marketing agencies. I prefer to believe the later but it’s probably a combination of both.
Also, you can assume that the lower CPC caused businesses to spend more on advertising. Google saw a 19% increase in clicks with 24% drop in impressions. That to me sounds like Google is doing a better job of matching the ads with the search terms. More clicks on less impressions means the user is finding what they want more times than not. I for one applaud this trend and hope it continues. Some of the minimum bids on keywords can really eat up the budget of the small business person. Hopefully we will see adwords spending become more affordable with better returns for Joe Plumber.
This is also encouraging from a economy standpoint as it looks like the consumer might actually make a comeback this year. Yeah for Santa! Sounds like he is going to be working overtime this year.