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AIR FRANCE:

INTERNET
MARKETING

Group 2
ARUN ASAWA – PGP/18/71
RUKMINI BHATTACHARYA – PGP/18/73
SURABHI TRIPATHI – PGP/18/111
UPADHI - PGP/18/113
AKSHEY BHOGRA – PGP/18/178
1. STRATEGY TO FOLLOW ACROSS SEARCH ENGINE PUBLISHERS

It would be more effective to tailor each publisher strategy to maximize return on investment

Justification:
• Differences in avg. Cost per click, engine click through and total cost per transaction across SE
players
• Differences in these parameters across various campaigns run by the same SE
• Same campaigns have different values across SE players
• Each search engine has certain factors of differentiation over another e.G. MSN allows
advertisers to target customers based on demography
2. INCREASING OVERALL VALUE FROM SEM

Sum of Total
Publisher Sum of Clicks Sum of Impressions Transactions Sum of Revenue Sum of Total Cost
Google - Global 72895 1808326 797 929550 120947
Google - US 192109 3855689 1550 1745482 353641
MSN - Global 11217 139979 129 145524 12160
MSN - US 10808 170120 140 181550 16098
Overture - Global 60899 17898727 372 430085 64296
Overture - US 119323 17062488 289 347433 141976
Yahoo - US 45598 933345 662 882289 46198

Following parameters have been calculated for each of the parameters

• Cost/ Booking = Total Cost/ Number of Bookings


• Net Revenue = Total Revenue – Total Cost
• Probability of Booking = CTR* TCR
• Transaction Conversion Rate (TCR) = Number of Bookings/ Number of Clicks
• Click Through Rate (CTR) = Number of Clicks/ Number of Impressions
• Cost Per Click (CPC) = Total Cost/ No. of Clicks
2. INCREASING OVERALL VALUE FROM SEM

Publisher Cost Per Click Through Transaction Probability of


Name Click Rate Conversion Rate Booking (%) Net Revenue Cost/ Booking

Google - Global 1.66 0.040 0.011 0.044 808603 152


Google - US 1.84 0.050 0.008 0.040 1391841 228
MSN - Global 1.08 0.080 0.012 0.092 133364 94
MSN - US 1.49 0.064 0.013 0.082 165451 115
Overture - Global 1.06 0.003 0.006 0.002 365789 173
Overture - US 1.19 0.007 0.002 0.002 205457 491
Yahoo - US 1.01 0.049 0.015 0.071 836091 70

• MSN Global and Yahoo US have a low CPC and high probability of booking:
More funds should be allocated to these search engines
• MSN- U.S., Google Global and Google US have high probability of booking but also high CPC
Focus should be on decreasing this CPC by adjusting keyword selection, match type and bid strategy
• Overture U.S. Global have a fairly low CPC but also low probability of booking.
• Strategy should be to improve the copy by increasing CTR and TCR
• Comparison between CTR vs. TCR numbers to decide whether search side or website copy should
be targeted
• Broad Keyword strategy more suited for Google while Focused Keyword strategy for MSN as Broad
Keywords result in lower conversion rates;
2. INCREASING OVERALL VALUE FROM SEM

Other recommendations:
• Find out keywords having highest conversion into sale and lowest cost/click for
every search engine
• Remove keywords having very low frequency from the campaign
• Tag keyword groups having highest frequency and conversion rate to improve
the site’s ranking
3. INCREASING ROI FROM SEM

Other recommendations:
 Perform multi-variable regression analysis was carried out for each campaign
 Take total volume of bookings as dependent variable
 Transaction Conv. %, Total Cost/Trans. and avg. cost per click should be selected as
KPIs as these factors exhibit maximum correlation to “volume of bookings”
 Remove keywords having very low frequency from the campaign
 Tag keyword groups having highest frequency and conversion rate to improve the
site’s ranking
4. FUTURE SEM CAMPAIGNS
• COMPARISON OF KAYAK WITH OTHER SEARCH ENGINES W.R.T. TO CERTAIN KEY
INDICATORS

Cost/ Click Total Bookings Revenue Generated ($)


Google - Global 1.66 797 929550
MSN - Global 1.08 129 145524
Overture - Global 1.06 372 430085
Yahoo - US 1.01 662 882289
Kayak 1.26 208 233694

PROS - Kayak Cons - Kayak


 Revenue/booking close to  Data Analytics needs to be built up
Google, MSN and Yahoo! from scratch
 Highest ‘Probability of  Past performance not very bright
Conversion’ in the industry  Lower audience coverage
 Lowest Cost per Booking and click
 Advanced targeting software
 Highest RoA
THANKYOU

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