Search engine advertising
In the year 2000, Google introduced Ads (then called AdWords) and revolutionized the advertising model in internet search engines. Until then, everything was focused on display and email marketing. Technically, not much more was possible at that time (e.g., video marketing via YouTube, the corresponding bandwidth was not yet widely available), and social networks like Facebook were not yet a mass phenomenon. However, Google had the plan to monetize its search engine. In addition to the normal or organic search results, paid advertisements were now also displayed in the search engine, and voilà, this is the birth of search engine advertising.
What is search engine advertising?
Search engine advertising is part of search engine marketing. It allows advertisers to place ads on search engine results pages. Advertisers must bid on keywords in an auction. This allows specific ads to be placed on products.
Advantages of SEA
Unlike SEO, or search engine optimization, SEA provides the opportunity to immediately improve visibility in search engine results through immediate actions, often leading to a better conversion rate. By using relevant keywords, a broad audience of ready-to-buy individuals can be reached through the search engine. With the help of analytical tools and regular evaluations of the campaigns, the ads can be continually optimized to reach even more people.
SEA means first of all that you always have to invest a certain budget. However, this can be completely controlled. With a budget limit, you do not spend more money on search engine advertising than you want to. Another advantage is that SEA works locally. Through regional marketing, an ad can be targeted in specific cities or around a location.
What ad formats are available?
With search engine advertising, text ads or product ads can be placed. The majority of search ads are made up of text ads:
The text ads are clearly identifiable by the word "Sponsored" that appears above the meta-title of the site. On Google, a maximum of four ads are displayed above the organic search results, but ads can also appear in between or on page two.
Product ads are often found above the organic search results as advertisements, but sometimes they are also displayed on the side. These are also clearly recognizable as advertisements.
Search engine advertising – No longer a mystery today
In the meantime, this model has been adopted by most companies and shops, and its added value is recognized. Search Engine Advertising (SEA) together with Search Engine Optimization (SEO) forms the field of Search Engine Marketing (SEM). While SEO represents a somewhat "nebulous" (but absolutely essential) discipline that generates free traffic, SEA allows for precise control and success measurement. You can determine which search queries you want to appear for, compose the texts yourself, and direct the user to exactly the page from which you expect the highest possible success in relation to the search query. Billing is done via the Pay-Per-Click (PPC) model, which is also referred to as Cost-per-click (CPC). This means the advertiser only pays when a potential customer clicks on the ad. If the focus is on billing only after the user has performed a corresponding action, it is referred to as Cost-per-acquisition (CPA).
How does search engine advertising work?
To be able to run search engine advertising, one must first be registered on an advertising platform. This can be, for example, Google Ads, where the ads can be created and designed. A campaign typically consists of ad groups containing several ads. In each individual ad, keywords must be entered on which the advertisements should run, a budget must be set, and, of course, the target page, i.e., the landing page, where the searcher should land after their click must be specified.
In the background of the advertising platform, an auction always takes place when a user makes a query, where all advertisers who have booked the keyword compete against each other. Who gets displayed in the end depends on various factors, such as whether the user left the page immediately after clicking or how relevant the landing page is.
For a good performance of the advertisement, it is important that all elements are in harmony with each other: the ad text, keyword, and landing page must fit well together.
Controlling and search engine advertising? Yes, that's possible!
A day-specific budget control is possible to avoid exceeding one's limits. This way, one always maintains control over their search engine advertising budget. Additionally, Google provides a variety of Key Performance Indicators (KPIs), enabling successful performance monitoring and optimization, provided the necessary time is invested. Data on the number of conversions, the click-through rate, the number of impressions, the average click price, and the ad position form the basis for a successful increase in revenue through search engine advertising.
Incidentally, the advertiser has the option to not only run ads on Google but also on partner sites in the search advertising network (e.g., aol.de, web.de, gmx.de, or T-Online). However, this can be deactivated so that search engine advertising activities are concentrated only on google.de.
What advertising platforms are there for SEA ads?
We have already talked in detail about the most well-known platform, Google Ads. But there are other ways to place advertisements, not just on Google as a search engine:
Microsoft Advertising: for running campaigns on Bing and Yahoo!
Yandex Direct: for advertising on Yandex, Russia's largest search engine
Baidu Promotion: for the search engine Baidu, the largest in China
SEA for a higher conversion rate
SEA is therefore indispensable as part of online marketing. With search engine advertising on Google, especially when it comes to promoting specific products, you can achieve a higher conversion rate with the campaigns. If searchers are looking for a particular product and you have your ads, keywords, and landing page perfectly aligned, sales will surely increase soon.