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Google Adwords

Accreditation Fundamentals Exam

Course Breakdown Fundamentals Exams


1. Introduction to Adwords 2. Account Set-up and Basics 3. Ad Formats 4. Targeting and Placements 5. Bidding and Budgets 6. Ad Quality Topics 11. Optimising Performance 15. Selling Adwords

Introduction to Adwords
Module 1

1.1 Overview of Adwords

1.1 Overview of Adwords

Getting Started on Adwords

Benefits of Adwords

Relevance Return on Investment Reach

Basic Features Keyword Placement Image Ad Campaign Ad group Impression Click

Basic Features Click-through Rate Cost per Click Maximum Cost per Click Cost-per-thousand Click Quality Score First page bid estimates Optimization

1.2 Getting Started With Adwords


Account types: My Client Centre (MCC)
Adwords Client Accounts

Client manager account

1.2 Getting Started With Adwords


Ad Creation marketplace
Google Advertising Professionals Search

Account Set Up and Basics


Module 2

Search Vs Display network


Google search Mobile search CPC Google search partner sites Text ads on websites Image ads on websites Video ads on websites Ads on mobile websites Managed placements CPM

Account Structure
Account Unique email address Password Billing information Campaign Daily budget Geo-targeting Syndication preference Start and end dates Ad Group One set of keywords One or more ads Ad Group One set of keywords One or more ads Campaign Daily budget Geo-targeting Syndication preference Start and end dates Ad Group One set of keywords One or more ads Ad Group One set of keywords One or more ads

2.1 Account Management Basics


Module 2

Monitoring Adwords Accounts


All critical account alerts related to payment problems, pending budget end dates, credit and bank card expirations, ad disapprovals, and other issues that will cause your ads to stop being displayed are shown in the Campaigns tab, at the All Online Campaigns level. The alerts can be changed at the Notification settings page
(under My Account) You can also set up SMS alerts

2.2 Campaign Management Basics


Module 2

Key Concepts
From the campaigns tab:
Receive alerts Create a new campaign Change campaign settings See the list of campaigns View campaign status
Enabled: Set to run normally Paused: Temporarily suspended and not currently running Deleted: Deleted and no longer running Pending: Not yet started running Ended: No longer running as end date has already passed

Key Concepts
Clicks: The clicks accrued for the ads in each campaign Impr. (impressions): The number of times that the campaign's ads have been displayed on Google or on sites in the Google Network CTR (click-through rate): The number of clicks divided by the number of impressions that the ads have received. This is expressed as a percentage: 2 clicks for 100 page views equals a 2% CTR. Avg. CPC (average cost per click): The average cost accrued for clicks on the ads within that campaign. Cost: The total costs that a campaign has accrued during the time frame that you selected. Avg. Pos. (average position): This refers to the average position on a search result page that an ad appears in when it's triggered by that keyword. Conv. (1-per-click) (conversion rate): The number of user clicks that turned into actual conversions for the advertiser. Conversion rate equals the number of conversions divided by the number of ad clicks. Cost/Conv. (1-per-click): The total cost divided by the total number of conversions. This tells you how much each conversion costs. This applies only to users who have set up conversion tracking. Conv. rate (1-per-click): Number of conversions divided by total clicks. This tells you your conversion rate. This applies only to users who have set up conversion tracking.

Key Concepts
From the campaigns tab: Account tree: Use this menu beside your account pages to switch between campaigns and ad groups. Performance summary graphs: Use these customised graphs to compare trends on every level of your account. Click the "Change Graph Options" link to see data points such as clicks, impressions and average position or to compare two of these metrics at once. Networks tab: This is where you manage your placements. You'll also see the summary statistics for both your Search and Display Networks. Campaign roll-ups: 'Roll-up' views let you see and edit all a campaign's keywords, placements or ads in one place, instead of finding and changing them ad group by ad group. Dynamic help content: Help sections display the FAQs that you most likely need for the page that you're viewing. Of course, you can also always click the "Help" link in the top corner of your account to see the full Adwords Help Centre.

Key Concepts
Actions you can take from the Campaigns tab: Campaign and ad group creation workflow: Create new campaigns and ad groups with the New+ button at the top of any table. In-line editing: Edit ads, keywords, placements and bids within the tables on the campaign and ad group tabs in your account. Just position your cursor over a row to reveal the editable fields. Copy/move: A click of this button lets you copy and move keywords, placements and ad groups between campaigns without leaving the campaign management interface.

2.3 Ad Group Management Basics


Module 2

Ad Group Management
Ad groups can be separately named, sorted by results, paused, edited Groups can host different keywords, placements, ads, bids But location and bidding occur at a campaign level Ad groups tab shows you a summary of performance/issues in all groups

Adwords Ad Formats & Best Practices


Module 3.1 + 3.2

Do you understand how ads are placed?

Text Ads

Text Ads or Sponsored Links

Text Ads
NOTE: Double-Width characters (e.g Chinese or Korean) have half the character limits. But punctuation is single width!

Text Ad Guidelines
Editorial and format:
Character limit: Your intended headline, text and URL must fit within the required limits and not be cut off. Prices, discounts and free offers: If your ad includes a price, special discount or "free" offer, it must be clearly and accurately displayed on your website within 1-2 clicks of your ad's landing page. Punctuation and symbols: Among other requirements, ads may only contain a maximum of one exclamation point.

Content: These policies relate to the products and services that you advertise, and may apply to ads and the content of your site. For example, advertising is not permitted for the promotion of certain weapons or for aids to pass drug tests. Link: These policies relate to the Display and Destination URLs in your ad. For example, the Display URL must be accurate and links to your website must allow users to enter and exit the landing page easily.

Text Ad Guidelines
Ads should:
Be simple and enticing Include prices and promotions Strong call to action Include the keywords in the text

Image Ads

Image Ads
Animated or static Never on the search network The power of the image Give each image a title
Don't exceed 50 characters Include an image description Include the campaign or ad group name

All image ads need to first be approved by Google before they start running The display ad builder allows for template designs

Image Ad guidelines
Gif, jpg or png or animated in flash Max size = 50kb Sizes 250 x 250 Square 200 x 200 Small Square 468 x 60 Banner 728 x 90 Leaderboard 300 x 250 Inline Rectangle 336 x 280 Large Rectangle 120 x 600 Skyscraper 160 x 600 Wide Skyscraper

Image Best Practice


Call to action - such as "learn more", "buy now" or "visit us today" Prominently showing your Display URL which typically contains a company's name, is a major component of a text ad. You have more room in an image ad, so don't be afraid to use your brand or logo as well Include details like prices, delivery details and relevant special offers Ads lead to a relevant landing page Use appropriate capitalisation - the nice thing about display is that you can have all caps Promote a sense of urgency in your display ads if you have time-sensitive pricing or offers. Use phrases like "hurry!", "limited time" and "special offer" to capture a user's attention and push them to take action Keep it simple Include product images Each frame should hold its own weight (has logo)

Video Ads

Video Ads
Think entertainment audience One of the largest formats of media consumption Formats
In stream text ads In stream graphical overlay Click-to-play ads

CPM or CPC + always Display network You must use the display ad builder for your ads Managed placements or keyword targeted campaign Low impressions = increase bid

Video Ad Best Practice


Video audiences are not captive (unlike TV) Display your message as quickly as possible (ppl drop off quickly) Be clear about your message (there might not be a web visit) Sight must equal sound Opening image Money shot Rich sharp colours Include a few words to describe offering Tell users to click play to learn more Different placements have different opening image sizes Dont turn your banner image into your video opening image Dont cram text

Video Ad Best Practice


Wait 30 days before testing results In interaction is low = change videos and images Rather bid by impression, if using CPC use negative keywords Focus on interaction rates not click through rates as measure of success If one site is performing better, ad more sites like it

Mobile Ads

Mobile Ads
Smaller to fit on smaller screens Mobile ads MUST lead to a mobile website They can include a Call functionality iPhones (and others) display normal ads, not mobile ads Create a separate campaign (rather) Mobile image ads work the same as the desktop versions except 12 or 18 character limits

Mobile Ads Best Practice


Link policy language wml (WAP 1.x) xhtml (WAP 2.0) chtml (imode, etc.) PDA-compliant html No flash! 6:1 Aspect Ratio 300 x 50, less than 7.5 KB file size 216 x 36, less than 4.5 KB file size 168 x 28, less than 3 KB file size 4:1 Aspect Ratio 300 x 75, less than 7.5 KB file size 216 x 54, less than 4.5 KB file size 168 x 42, less than 3 KB file size Japan-standard size 192 x 53, less than 5 KB file size

Mobile Ads Best Practice


Start early Be aggressive Separate desktop and mobile ad campaigns Choose different keywords for mobile vs desktop Catchy ads win You can still use display in mobile! Apps work too Target per device

Rich Media Ads

Rich Media Ads


Include videos, flash, animation, or a mix of text & images Gallery in the Display Ad Builder (must use) Managed placements (recommended at least 10) or keyword targeted CPC or CPM

Rich Media Ads Best Practice


Always respect copyright on the images you use All ad policies apply You may not use the ad to collect private information Strategies for bidding Compete place ad with text ads and the one that performs the best will automatically be shown more often (remember you are then bidding the same rate) Own ad group In the ad auction text ads and display compete against each other

Rich Media Ads Best Practice


Customising your ad
Colour Strong call to action Balance images and text in ad Include a visible URL Experiment! (copy, templates, colour, call to action)

Rich Media Ads Best Practice


Measurement Driving sales
Compare cost to leads or conversions Narrow targeting to focus on customers Look at hover over rate Analytics to understand website behaviour Use conversion tracking

Summary Ad Formats
Format Text Image Video Network Search or partner Only partner Only partner Cost CPC CPC or CPM CPC or CPM Format 25,35,35,35 Ad builder Ad builder

Mobile
Rich

Only partner
Only partner

CPC or CPM
CPC or CPM

18,18,18, Call
Ad builder

Adwords Targeting and Placement


Module 4

The Google Network


Search Network Google + AOL etc. Google search does not equal Search Network Display Network Gmail, YouTube, News24 etc.

By default ads are automatically placed on BOTH networks

Keyword targeting: - Search phrases


No placement

Keyword targeting: -Contextual targeting


Placement targeting - Managed placements (specific sites)

Quality score is calculated separately for the two networks, so even in one campaign the same ad may have different quality scores for search and display Text ads Text ads + images, video, rich etc.

Targeting
Search Targeting Display Network Targeting Keyword-targeted ads on Google search + Search Network Target languages, location & keywords An entire website, or subsection or even a specific ad unit on a page Contextual targeting

Device Platform Targeting

1. 2.

Desktops and laptops or iPhones or other HTML providers Applied at campaign level Can target the Google network Stats with device breakdown No impact on mobile campaigns

Keywords & Keyword Targeting

Match Types
Type Broad Characteristics Default Largest reach Includes plurals and synonyms Keywords in exact sequence Matches exactly consumer search phrase Prevent your ad from appearing when another word appears in a search Removes an embedded exact search phrase Keyword PR Agency Matching searches PR Agencies Advertising PR agency PR JHB agency JHB PR Agency FH PR Agencies PR Corporate agency PR Agency PR Agencies JHB PR Agencies PR Agency JHB PR Agency Cape Town PR agencies Philips lights Philips lighting Philips

Phrase match

PR Agency

[Exact]

[PR Agency]

-Negative

PR Agency Cape Town

-{Embedded]

-[Philips] Lighting

Keyword Lists

Build keyword list Using the Google Keyword tool

Group keywords by theme

Set the right match for each keyword

Refine list

Test & refine

Monitoring Keywords
Quality Score (disabled by default) Keyword analysis tool Remember to adjust poor performing keywords and change the match rules Keywords must match what your advertising

Keywords best Practice


Group keywords Broader match give scale but could blow budget Narrow match gives fewer targeted clicks and can save $ Negative keywords rock Dont forget about campaign level settings/adjustments Keep keyword list tight 20-30 Two or three word phrases work best Keep testing keywords and refining.

Adwords Location Targeting

Language & Location


Language Target up to 40 languages Location Any combination
Target the language spoken by the audience that you're trying to reach. This should also be the language in which your ad is written. Target countries or territories if you want to reach a wide audience across one or more countries. Target regions and cities if your business serves specific geographic areas or if you want different advertising messages in different regions. Target customised areas to reach specific geographic areas which may not be available in region and city targeting. You can combine these targeting options any way you like within the same campaign.

How this stuff works


Language = Google interface language Location = Google Domain (e.g www.google.fr = france) Search term (e.g. Johannesburg PR agency = JHB) IP address

Location
Regional or City Targeting Proximity or radius targeting

Location Challenges
IP address shows wrong location A user outside the target area searches for something specific in it (they will still see your ad, automatically) You target country level, Google then uses their domain, but the user is actually in a different location (e.g. Chris using google.co.za in Amsterdam)

Best practice
Before setting location, check Google Insights for search, optimise for country traffic Check on campaign performance where traffic actually comes from and optimise Different regions can have different landing pages Add location extensions to your ads

Placement Targeting
(Display Network)

Google Display Network Recap


Display network reaches 70% of all internet users in 20 languages in 100 countries Automatic placements: If you have keywords in your ad group and are targeting the Display Network, using contextual targeting Managed placements: If you choose to manage placements separately for increased control, you'll use managed placements. Excluded placements: You can also choose certain placements on which you don't want to run ads.

Contextual Targeting Your keywords are used to match page level content Remember this is set by default Bidding (in order) Individual placement bids Managed placements bid Display Network bid (or your campaign if you leave it blank)

Individual Placement targeting Placements No keywords required, you choose the sites. Ads appear regardless of content Can be the entire site, section or ad unit Must be part of the network Placement tool will help tell you where to place You still compete in the bid for that space Can exclude up to 5 000 sites

Managed placements Allow for placement targeting or restrictions Separate bid management First Google uses keyword contextual targeting, then managed placement rules

3 ways to select placements: Manually Automatic Placement tool


Bidding (in order): Individual bid. Ad group managed placement bid. Ad group Display Network bid Ad group default bid

Monitoring Performance
Run a URL report and check: Implement Google's conversion tracking so that you can understand how individual sites are converting for you. Don't focus on lower overall click-through rates (CTR). Remember: A low CTR on a given site does not necessarily mean that your ads perform poorly. Users behave differently on Display Network pages than they do on search sites. For more telling information, rely on your conversion data. When you find placements where ads from one ad group convert well, consider adding them as managed placements on the Networks tab in your ad group. Try raising your bid so that your ads will have a better chance of appearing whenever your keywords put your ad on that placement. Or try doing the opposite with poorer-performing placements: lower your bid to seek a better ROI on those specific placements. Respond only to statistically significant data. It may take several weeks before you can see how your ad is doing on a specific site. We recommend waiting until you have enough click and impression data before making decisions. Use the report to identify and exclude sites that are not converting for your campaign.

Other targeting options


Videos can be targeted, using the placement tool Ability to target game sites Ability to target RSS feeds Ability to target mobile sites

Best Practice
Using the right keywords Select placements that match your ad Try using rich media Use placement diagnosis to uncover problems

Bidding
Module 5

Types of bids
Cost per Click Only pay when someone clicks Automatic bidding You set a daily budget, Adwords gives you the most clicks a day for that budget. You can also still set a max CPC Manual bidding Set individual bids at group, keyword or placement level Cost-per thousand impressions Great for branding and visibility Set on group or placement level When CPC and CPM compete against each other eCPM is used (or effective CPM). I.e. working out a CPC into a CPM prising model Conversion Optimiser Set a cost per conversion per campaign Using the conversion optimiser, Google attempts to give you a lower cost per conversion, lowers your bid automatically for less likely clicks. Campaign must receive at least 15 conversions in the last 30 days and maintain a similar conversion rate You can still set a max CPA

Important concepts
When setting up an account consider the value of a click and your daily budget

Adsheduling - Adjust bids by time of day (using the bid multiplier, 10% to 1000% of the original CPC. Note this affects all ads in the campaign Demographic bidding ( Bid + %) Increase your bid when the right demographic is being targeted Best practice:
Choose the bidding strategy that fits your goals Consider automatic bidding for new advertisers

Use bid simulator to see possible advertising results with different bids and keywords
Review where the best bids come from and shift focus

Budgets
Daily budget = amount your willing to spend per campaign on average Up to 20% over budget on a given day, but never over 100% of the budget over the lifespan of a campaign Standard delivery Impressions are spread out through the day Accelerated delivery Display your ad as quickly as possible to your budget

Googles recommended budget is calculated as follows: Determining your total potential impressions Comparing potential impressions with your recent performance and costs Combining daily estimates Tempering recommended amounts to allow for testing

Best Practice
Keep your total account spend in mind when specifying your campaign Remember your bidding amount when setting your budget You may change your budget a max of 10 times a day

Ad Site Quality
Module 6.2

What is ad quality?
Google strives for relevance, in searches and ads (this makes the quality score so important) Quality Score is based on your keyword's click-through rate (CTR); the relevance of your ad text, keyword and landing page; and several other factors. This is calculated for EVERY relevant search Landing page quality is influenced by the usefulness and relevance of information provided on the page, ease of navigation, load time, how many links are on the page and more Quality score is used in:
influencing your keywords' cost per clicks (CPCs) determining whether a keyword is eligible to enter the ad auction that occurs when a user enters a search query affecting how high your ad will be ranked estimating the first page bids that you see in your account

How quality score is calculated


Google Search Network CTR Account History Ad group CTR Relevance of keywords to ad Account performance in region where ad would be shown More Display Network Contextually targeted CPC:
The historical CTR of the ad on this and similar sites The relevance of the ads and keywords in the ad group to the site The quality of your landing page

CPM:
The quality of your landing page Placement targeted

Landing Page Quality


Influenced by:
Usefulness Relevance Ease of navigation Load time How many links and more

Each keyword receive a landing page relevance score

Improving Landing Page Quality


Relevance How relevant is it to the user query Originality, feature unique content Dont link or redirect traffic Content of substance Transparency Define what your business does Honour deals No changing usual web behaviour No software installs Policy in handling user data Navigation Easy flow paths Avoid pop-ups etc Loads quickly

Sites with low scores


Data collection sites Sites designed to show ads Malware sites eBook sites Get rich quick Comparison shopping sites Travel aggragators

Monitoring quality scores


This can fluctuate Keyword analysis:
Eligible Disapproved Paused/Deleted Low search volume Below first page bid Low Quality Score

You need to enable the quality score tab to view the analysis

Performance Monitoring & Conversion Tracking


Module 11

Performance Monitoring
Track performance and conversions = identifying which clicks are more valuable and optimising budget. This requires understanding what users are doing on your site

Selling and Representing AdWords


Module 15

15.1 Adwords Value Proposition

Direct Marketing

Brand Marketing

Ads distributed to those directly interested in your product Generate leads ROI focus CPC AdWords Discounter Smart Pricing

Builds awareness Display network reach

Every stage of purchasing decision


Message testing

Adwords Proposition
Targeting Search query, Language & Location Networks devices, placement targeting & exclusion tools Pricing options CPC AdWords Discounter Smart Pricing Reporting Changes allow 24/7 Account Snapshot | Keyword Report Campaign Statistics | Ad Report Conversion Tracking | Placement Report Google Analytics | Search Term Report | Hourly Report Saves time buying ads & measuring success

15.2 Selling Adwords

Steps in securing an Adwords client


Start with a clients need assessment
You can perform a needs analysis to determine a client's current online marketing involvement, learn about their company/organisation landscape, know who the decision makers are and uncover company weak points.

Points to consider:

Review their website: Have a basic understanding of the advertiser's business. What is their flagship product or service? Do some research: Are there articles about the business online? Are they already doing online marketing? Are they in the organic search results? How competitive is the ad space? Learn to speak their language: What vertical are they in? What is their sales cycle? Are there unfamiliar terms? Is there seasonality? What challenges might they face? Begin to plan: How might you build an AdWords account for this advertiser? What products or services would you include in an initial marketing strategy? What products or services might you recommend for expansion?

Steps in securing an Adwords client


Aligning client needs with Goals and Opportunities
Typical problems:
Limited time: Unable to effectively pursue new marketing strategies Lack of experience: Mistakes in online marketing campaigns Resource constraints: Cutting corners Not targeting audience effectively: Failure to generate revenue Inability to measure success: Sub-optimal use of marketing budget Limited marketing strategy: Missing out on customer segments Limited budget: Limited investment in future

Steps in securing an Adwords client


Typical scenarios
Are you concerned that you're spending too much/not spending enough on marketing? (feature revealed: control over budget) Are you worried that your current media plan isn't as efficient as it could be? (features revealed: flexibility and local targeting) Are you concerned you may not know how to best target your advertising to your audience? (features revealed: reporting and targeting) Are you satisfied with the level of traffic, conversions etc., that you're seeing? (features revealed: marketing reach and reporting)

Invalid clicks
Manual clicks to increase your costs OR automated tools Google has three powerful tools for protecting clicks on AdWords ads: Detection and filtering techniques: Each click on an AdWords ad is examined by our system. Google looks at numerous data points for each click, including the IP address, the time of the click, any duplicate clicks and various other click patterns. Our system then analyses these factors to try to isolate and filter out potentially invalid clicks. Advanced monitoring techniques: Google uses a number of unique and innovative techniques for managing invalid click activity. We can't disclose details about the software, except to say that we're constantly working to expand and improve our technology. The Google Team In addition to our automated click protection techniques, we have a team that uses specialised tools and techniques to examine individual instances of invalid clicks. When our system detects potentially invalid clicks, a member of this team examines the affected account to glean important data about the source of the potentially invalid clicks.

Explaining the Search and Display Networks


The Google Network lets advertisers reach users across the Internet - from small newsletters to large search engines. Since search results pages make up a very small fraction of all pages viewed online, the Google Network provides a cost-effective way to reach users on the greater portion of the web. The Google Network is split into the Search Network, which includes Google and other search sites like Ask.com, and the Display Network, which includes Gmail, newsletters and sites like the New York Times and HowStuffWorks. In the Search Network, search targeting applies to keyword-targeted ads shown on Google search results pages and on other search sites. Ads shown on these pages appear alongside, above or below the search results and are specific to that particular search query. If the advertiser's keyword matches the user's search term, the advertiser's ad could appear. The Display Network has the advantage of reaching potential customers at different points of the buying cycle. Not every potential customer is focused on conducting a search. Not every visitor is ready to buy at a given moment. The advertiser's challenge is to capture their attention at the right time. For example, a user might begin a search for digital cameras with just an interest in reading reviews. However, while reading a review, that user might take note of online retailers' ads or click the ads themselves. With search-only advertising, this customer would have been missed. With the Display Network, you can run ads in text and rich media ad formats. Image and video ads can be especially important in branding and marketing efforts. Google charges no additional fee to serve these ads. That's just another benefit of partnering with Google AdWords. Here's one more benefit: If our data shows that a click from a Google Network page is less likely to turn into actionable business results - such as online sales, registrations, phone calls or newsletter sign-ups - we may automatically reduce the bid for that site. With no extra effort from you, Google technology helps you realise consistent value across Google and the Google Network.

15.3 Maintaining Client Relationships

Best Practice
Keep your client updated on progress often Offer multiple metrics for success Dont share your login credentials

Product
Why hire a 3rd party professional

Let's take a look at some pros and cons of each: Guaranteed Clicks Pros
Potentially easier to sell for an untrained sales force Simple value proposition for unsophisticated advertisers

Cons
Requires more click-fulfilment strategy because AdWords platform is not built to support Guaranteed Clicks Can create confusion by placing higher value on clicks rather than leads, phone calls, sales Does not take into consideration click differences across verticals Does not work well for very high-cost or low-cost advertiser packages

Budget-based
Pros
Facilitates operations because of Adwords platform compatibility with a budget-based product Focuses advertisers' attention on value delivered rather than click targets leading to better performing accounts Provides flexibility to allocate different CPCs based on vertical cost variations Provides more flexibility to your Account Management Team

Cons
Challenging to sell to unsophisticated advertisers Challenging to set advertiser expectations

Contracts
Short Term:
Better suited for risk averse advertisers because of increased flexibility Usually provides more signups, but higher churn rates in the long run Offer short-term contracts with auto-renew functions

Long Term
Better suited for advertisers with online experience Usually provides fewer initial signups, but lower churn rates in the long-run Offer long-term contracts with short-term cancellation policy

Metrics to share with clients


Clicks Impressions Average CPC Ad Rank Cost Spent on Google AdWords Frequency Send customers reports when they request them Send a weekly/monthly report via the AdWords interface Provide 'Report Access' into the AdWords account Provide your own UI or technology for advertisers to view their reports

Optimization Hiring an exper


Pros:
Reduced need to hire internal operations staff Can support unexpected spikes in volume or results that exceed projections Already existing search engine marketing expertise Fast cycle to launch Scale is inherent Less expertise gained than if running in-house Less control over operational decisions Less control over search networks used New Google products not accessible until built into the AdWords API May accrue additional costs

Cons:

At a high level for in-house: Pros:


Building in-house expertise for your business Complete control over operational functions Complete control over search networks used Able to experiment with new Google products not offered by SEM Additional headcount needed to run operations Sales may need to be throttled back if hiring is too slow Need to acquire search engine marketing implementation expertise Slower to launch Scale needs to be planned for - beyond hiring more people

Cons:

Prising Model
Some considerations: Ensure your pricing model fits in with your other product offerings (if you offer other products) Create price points that can be easily explained by your sales force Commonly observed pricing models contain upfront monthly service fees or percent-based markups (10-30%) Examples: 10% mark-up + 50 monthly service fee + 100 monthly budget 30% mark-up + 50 monthly budget 100 one-time set up fee + 50 monthly service fee + 100 monthly budget Deliver 100 clicks for 200 If you decide to bundle your products, here are some considerations: Offer different packages for savvy vs. less savvy customers Allow your sales force to offer customised price packages for higher spend customers

At FH
16.5% commission Plus time to set up, manage and report If we dont like them a 10% handling fee as well

Good Luck for the Exams!