Google Adwords: a Strategy for Online Communities

This report was completed in 2007 to integrate Google Adwords into overall marketing strategy for a number of community forums run by a successful UK plc.  For the purpose of publication the forums are referenced as Online Community ABC, Online Community 123 and the parent company – Parent Company ABC…

Contents
1. Introduction
2. Current Keyword Listing
3. Sales Process Benefits
4. How Much Does Google Adwords Cost?
5. Summary

1. Introduction

Google Adwords is a pay-per-click (PPC) program for advertising on Google. Advertisements appear on the right hand side of the Google Search page for chosen keywords and key phrases.  This report examines the benefits to the sales process and resulting traffic benefits for the Online Community ABC.

2. Current Keyword Listing

The appendix contains a full break down of all keywords / key phrases being used and the resulting Google Adwords position for the Online Community ABC.  These key words have been selected after an in-depth key word analysis to determine which will offer the most prominent position on Google and the most traffic.

3. Sales Process Benefits

Parent Company A has the data resources to generate upwards of 30,000 visitors per month.  To generate a similar level of relevant visitors solely using Google Adwords would cost in the region of £10,000 per month per project.  As a method for traffic generation this rules Google Adwords out as a financially viable option.

However, with a carefully researched Adwords strategy there are benefits to be had.  The attached appendix highlights the position each project website appears in for each keyword search.  This creates a level of visibility online which is important in raising search engine profile and establishing credibility as an online resource.

When the sales team is pitching a consultancy firm with a core competency for advising in financial risk they can direct the decision maker to the Sponsored Google Link for Online Community ABC currently residing in position 5 for key words 'risk+financial'.  This demonstrates a commitment to driving targeted traffic directly relevant to the potential advertiser.

4. How Much Does Google Adwords Cost?

For the purpose of evaluation we have allocated a £5 daily spend for each project.  For Online Community ABC the average cost-per-click is £1.36.  After 3 clicks our daily budget is exhausted and our adverts disappear.  Large financial institutions have driven up the cost-per-click for these keywords.  However, it is still possible for Online Community ABC to achieve a comparative good listing against other advertising driven projects of which there are very few.

Online Community 123 has an average cost-per-click of 38p.  For the £5 spend per day Online Community 123 gets 15 click throughs.  This illustrates that it is much, much cheaper to establish a huge online presence with relatively small spend for a HR related project.

5. Geography

Google Adwords give the option to create country specific Google Sponsored links.  Currently, Parent Company ABC's £5 per day spend creates adverts only seen in the US.  This creates a level of visibility for potential advertisers but the sales teams cannot communicate the benefits because they cannot see it.  For projects managed and sold on different sides of the Atlantic creating visibility for both is crucial to drive the sales process.

6. Summary

For continued evaluation, I recommend increasing the daily spend for Online Community ABC and changing the geographical region to US and UK for a period of 5 working days. 

This will facilitate a daily conversation between the sales team and to demonstrate benefits of Google Adwords and potentially integrate into the sales pitch.

Darren Henwood,
Director,
Heir-Q Marketing Consultancy,
darren.henwood@heirq.com,
http://www.heirq.com