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Paid Search Continues to Produce

Paid Search Continues to Produce

By | 11.04.15
Paid Search Continues to Produce

A set of studies generated by several companies (Adobe, Kenshoo, Merkle/RKG, and IgnitionOne) finds that the surge in search ad spending continued during Q3, sustaining its growth from the first half of the year and up 12 percent YoY. Click-through rates (CTR) rose also, as did costs-per-click (CPC).

According to the IgnitionOne “Q3 2015 Digital Marketing Report,” the relationship between CPC and CTR indicates ads have become significantly more efficient despite their increased expense and that mobile advertising may be pushing that growth.

Mobile search spend has also seen a year-over-year uptick, increasing by 56 percent. The trend towards mobile phones and away from tablets and desktops is behind this as smartphones pulled almost two-thirds of mobile spend shares. Each of the studies pointed to an increased understanding of and focus on mobile traffic as the key elements behind this. Subsequently, CTRs increased to 67% for phones and 20% for tablets, while CPCs jumped almost 20 percent for both.

Facebook leads the pack when it comes to social media ad spend, up 40 percent. And while their ad costs increased, their effectiveness cannot be dismissed as their eCPMs are up by 33 percent over last year. In a related matter, Facebook is the leader when it comes to social media site visits, garnering more than 60 percent of all traffic and responsible for almost 65 percent of all social media referrals and the revenues they generate.

References:

MarketingCharts staff. “Paid Search Trends in Q3 2015,” November 2, 2015.

Adobe. “Adobe Digital Index’s Q3 Digital Advertising & Social Intelligence Report,” November 2015.

IgnitionOne. “Q3 2015 Digital Marketing Report,” November 2015.

Kenshoo. “Infographic: Kenshoo Digital Marketing Snapshot: Q3 2015,” November 2015.

Merkle/RKG. “Digital Marketing Report for Q3 2015,” November 2015.

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