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Facebook Search- The fall of the machines

Increasingly I am beginning to search more and more on Facebook. This is for the following reasons-

1) Facebook is walled off to Google (mostly). While within Facebook , I get both people results and content results (from Bing).

Bing is an okay alternative , though not as fast as Google Instant.

2) Cleaner Web Results When Facebook increases the number of results from 3 top links to say 10 top links, there should be more outbound traffic from FB search to websites.For some reason Google continues to show 14 pages of results… Why? Why not limit to just one page.

3) Better People Search than  Pipl and Google. But not much (or any) image search. This is curious and I am hoping the Instagram results would be added to search results.

4) I am hoping for any company Facebook or Microsoft to challenge Adsense . Adwords already has rivals. Adsense is a de facto monopoly and my experiences in advertising show that content creators can make much more money from a better Adsense (especially ) if Adsense and Adwords do not have a conflict of interest from same advertisers.

Adwords should have been a special case of Adsense for Google.com but it is not.

5) Machine learning can only get you from tau to delta tau. When ad click behavior is inherently dependent on humans who behave mostly on chaotic , or genetic models than linear CPC models. I find FB has an inherent advantage in the quantity and quality of data collected on people behavior rather than click behavior. They are also more aggressive and less apologetic about behavorially targeted  ads.

Additional point- Analytics for Google Analytics is not as rich as analytics from Facebook pages in terms of demographic variables. This can be tested by anyone.

 

Using Google Adwords to target Vic Gundotra and Matt Cutts stochastically

Over the Christmas break, I created a Google Adwords campaign using the $100 credit generously given by Google. I did it using my alumni id, even though I have a perfectly normal gmail id. I guess if Google allows me to use the credit on any account- well I will take it. and so a free experiment was borne.

But whom to target -with Google- but Google itself. It seemed logical

So I created a campaign for the names of prominent Googlers  (from a list of Google + at https://plus.google.com/103399926392582289066/posts/LX4g7577DqD ) and limited the ad location to Mountain View, California.

NULL HYPOTHESIS- People who are googled a lot from within the office are either popular or just checking themselves.

Since Google’s privacy policy is great, has been now shown billions of times, well I guess what’s a little ad targetting between brother geeks. Right?

My ad was-

Hire Ajay Ohri
He is
Awesome
linkedin.com/in/ajayohri 

or see screenshot below.

Here are the results-88 clicks and 43000 impressions (and 83$ of Google’s own money)

clearly Vic Gundotra is googled a lot within Mountain View, California. Does He Google himself.

so is Matt Cutts. Does HE Google himself or does he get elves to help him.

to my disappointment not many people clicked my LI offer, I am still blogging

and there were few clicks on Marissa Myers. Why Google her when she is right down the corridor.

The null hypothesis is thus rejected. Also most clicks were from display and not from search.

I need to do something better to do with Christmas break this year. I still got a credit of 16$ left.

 

Quantitative Modeling for Arbitrage Positions in Ad KeyWords Internet Marketing

Assume you treat an ad keyword as an equity stock. There are slight differences in the cost for advertising for that keyword across various locations (Zurich vs Delhi) and various channels (Facebook vs Google) . You get revenue if your website ranks naturally in organic search for the keyword, and you have to pay costs for getting traffic to your website for that keyword.
An arbitrage position is defined as a riskless profit when cost of keyword is less than revenue from keyword. We take examples of Adsense  and Adwords primarily.
There are primarily two types of economic curves on the foundation of which commerce of the  internet  resides-
1) Cost Curve- Cost of Advertising to drive traffic into the website  (Google Adwords, Twitter Ads, Facebook , LinkedIn ads)
2) Revenue Curve - Revenue from ads clicked by the incoming traffic on website (like Adsense, LinkAds, Banner Ads, Ad Sharing Programs , In Game Ads)
The cost and revenue curves are primarily dependent on two things
1) Type of KeyWord-Also subdependent on
a) Location of Prospective Customer, and
b) Net Present Value of Good and Service to be eventually purchased
For example , keyword for targeting sales of enterprise “business intelligence software” should ideally be costing say X times as much as keywords for “flower shop for birthdays” where X is the multiple of the expected payoffs from sales of business intelligence software divided by expected payoff from sales of flowers (say in Location, Daytona Beach ,Florida or Austin, Texas)
2) Traffic Volume – Also sub-dependent on Time Series and
a) Seasonality -Annual Shoppping Cycle
b) Cyclicality- Macro economic shifts in time series
The cost and revenue curves are not linear and ideally should be continuous in a definitive exponential or polynomial manner, but in actual reality they may have sharp inflections , due to location, time, as well as web traffic volume thresholds
Type of Keyword – For example ,keywords for targeting sales for Eminem Albums may shoot up in a non linear manner after the musician dies.
The third and not so publicly known component of both the cost and revenue curves is factoring in internet industry dynamics , including relative market share of internet advertising platforms, as well as percentage splits between content creator and ad providing platforms.
For example, based on internet advertising spend, people belive that the internet advertising is currently heading for a duo-poly with Google and Facebook are the top two players, while Microsoft/Skype/Yahoo and LinkedIn/Twitter offer niche options, but primarily depend on price setting from Google/Bing/Facebook.
It is difficut to quantify  the elasticity and efficiency of market curves as most literature and research on this is by in-house corporate teams , or advisors or mentors or consultants to the primary leaders in a kind of incesteous fraternal hold on public academic research on this.
It is recommended that-
1) a balance be found in the need for corporate secrecy to protest shareholder value /stakeholder value maximization versus the need for data liberation for innovation and grow the internet ad pie faster-
2) Cost and Revenue Curves between different keywords, time,location, service providers, be studied by quants for hedging inetrent ad inventory or /and choose arbitrage positions This kind of analysis is done for groups of stocks and commodities in the financial world, but as commerce grows on the internet this may need more specific and independent quants.
3) attention be made to how cost and revenue curves mature as per level of sophistication of underlying economy like Brazil, Russia, China, Korea, US, Sweden may be in different stages of internet ad market evolution.
For example-
A study in cost and revenue curves for certain keywords across domains across various ad providers across various locations from 2003-2008 can help academia and research (much more than top ten lists of popular terms like non quantitative reports) as well as ensure that current algorithmic wightings are not inadvertently given away.
Part 2- of this series will explore the ways to create third party re-sellers of keywords and measuring impacts of search and ad engine optimization based on keywords.

Google Webinar on Web Analytics

Google webinar on web analytics-

recommended for anyone with anything to do with the WWW

From

http://analytics.blogspot.com/2011/11/webinar-reaching-your-goals-with.html

 

Webinar: Reaching Your Goals with Analytics

 

 

Is your website performing as well as it could be? Do you want to get more out of your digital marketing campaigns, including AdWords and other digital media? Do you feel like you have gaps in your current Google Analytics setup?

We’ve heard from many of our users who want to go deeper into their Analytics — with so much data, it can be hard to know where to look first. If you’d like to move beyond standard “pageview” metrics and visitor statistics, then please join us next Thursday:

Webinar: Reaching Your Goals with Analytics
Date: Thursday, December 1
Time: 11am PST / 2pm EST
Sign up here!

During the webinar, we’ll cover:

  • Key questions to ask for richer insights from your data
  • How to define “success” (for websites, visitors, or campaigns)
  • How to set up and use Goals
  • How to set up and use Ecommerce (for websites with a shopping cart)
  • How to link AdWords to your Google Analytics account

Whatever your online business model — shopping, lead-generation, or pure content — these tools will deliver actionable insights into your buying cycle.

This webinar will be led by Joe Larkin, a technical specialist on the Google Analytics team, and it’s designed for intermediate users of Google Analytics. If you’re comfortable with the basics, but you’d like to do more with your data, then we hope you’ll join us next week!

Search Engine Advertising sweet spot for arbitrage.

Assume I am a blogger using both Adsense and Adwords.

Suppose Adwords costs me X dollars per click, and Adsense pays me Y dollars per click.

Then a unique arbitrage opportunity would arise if

Y times CTR on my blog > X times CTR on my Ad Campaign

Is it possible. Theoretically yes? Long Tail of Internet yes.

However since there is a lag of time in which the Rates would converge , the Adsense rate would go lower or Adwords rate would go higher

Is there a tool that you can use to pump keywords with short times arbitrage opportunities , much like trading algols and quants do in finance.

Just asking !

 Hint- Its a trick math puzzle :)

 

Web Analytics Certifications by Google

Google has a whole list of certifications for people wanting to be certified in analytics, and advertising related to internet.

(more…)

New Google Ad Planner

Dusan's User Interface challenge

Image by moggs oceanlane via Flickr

The new Google Ad Planner is really nice-seems better than old Adwords interface, though needs a UI redesign before it can complete with the clean cut slice and dice of Facebook Ad Planner.

It’s the interface, stupid that makes an Iphone sell more than the Symbian even with 90% functionality. Same reasons why Google Storage is okay but Google Prediction API gets slower liftoff than Amazon Console (now with FREE instances) – though the R interface to Prediction API sure helps.

Prediction API is a terrific tool dying for oxygen out there (and will end up like Wave- I hope not)

Sometimes you need artists as well as engineers to design query tools, G Men- and guess the Double Click anti trust rumours have quietened down enough because why the heck did double click interface integration take so loooong.

( and btw why cant Google just get into the multi billion dashboard business if they can manage ALL the data IN THE INTERNET ——they sure can do it for specific companies- – but wait-

they are probably waiting for AsterData to stop sucking thumbs ,chanting on MapReduce SQL,  MapReduce SQL nursery rhymes and start inventing NEW STUFF again (or atleast creating two product brands from nCluster (when you and I were in school together giggle)

Btw the time Google make up their mind to enter BI or wait for Aster to finish- IBM would have gulped and burped all there it is- and thats the way that market rolls.

Back to Ad s and Mad Men.

Here are some screenshots-of the new Google Ad Planner-

I found it useful to review traffic for third party websites (even better than Google Trends) and thats a definite plus over Facebooks closed dormitory world of ads.

Click on them for some more views or go straight to http://google.com/adplanner and Enjoy Baby!

Which websites attract your target customers?

View a site listing: 

Ad Planner top 1,000 sites

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  • Define audiences by demographics and interests.
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Easily build media plans for yourself or your clients

  • Create lists of websites where you’d like to advertise.
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and

Take charge of your DoubleClick Ad Planner site listing

View a site listing: 

Ad Planner top 1,000 sites

DoubleClick Ad Planner is a media planning tool where advertisers find sites for their media buys. As a site owner, you can access the DoubleClick Ad Planner Publisher Center and
Market your site
Write a site description to present your audience and unique value to advertisers.
Help advertisers search for you
Choose categories for your site and ad formats you support.
Improve the data that advertisers see
Share your Google Analytics data to reflect the most accurate traffic numbers for your site.

 

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