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Gazelle Interactive, LLC.
 Google   TM
               AdWords
Agenda



Presentation Topics:

  1. Introduction to AdWords

  2. Google’s Ad Distribution Network

  3. Primary Benefits of AdWords

  4. Online Advertising Stats and Trends

  5. Appendix: Basic AdWords Features




                   Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                         Slide 2
Introduction to AdWords
What Is Google?
•Google has a search engine that will gather, sort & report information from the Internet,
based on your topic of interest
•But, Google also offers a lot more than search alone…
                                www.google.com




                    Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                                 Slide 4
What is Google Advertising?


    Your customers see your ad when they search




                                             Your ad reaches users at the
                                         moment they demonstrate interest


        Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                     Slide 5
What is Google Advertising?

Your customers see your ad when they surf Google Network properties




             Google technology places your ad on the
             most relevant content pages
               Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                     Slide 6
Keyword Advertising




• Targeted advertising
• Better advertiser ROI than
  untargeted ads
• Improved user experience




                   Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                         Slide 7
A Typical AdWords Ad




   •Ad Title (25 character limit)
   •Ad Text (35 character limit)
   •Display URL (35 character limit)



       Gazelle Interactive, LLC www.gazelleinteractive.com
                                                             Slide 8
Google’s Ad Distribution Network
Google Network Basics – Ad Distribution
The Google Network consists of Google sites & partner properties that use Google AdSense to serve
  AdWords ads
These properties include: Search sites, content pages, newsletters, email services & discussion boards


                                    Other
                                    20%                           The Google Network reaches
                                                                   over 80% of Internet Users
                                                                          worldwide*
                          network
                            80%
                                                                          Content publishers,
                                                                                   including:
 Google properties,
        including:                   Search partners,
                                           including:




                                                                          * Source: comScore Media Metrix (September, 2004)
                           Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                                                            Slide 10
Google Network Basics



With the Google Network advertisers can:

• Reach a vast and highly-targeted audience

• Target ads to search results and relevant Web content

• Opt-in or opt-out of search and content distribution (default is opt-in for
  all advertisers)



Note: by default, AdWords ads appear on Google.com




                    Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                          Slide 11
Ad Distribution Example




                                          Search query:
                                             ‘SUV’




                                        Four AdWords ads
                                          under the title
                                        ‘Sponsored Links’




        Gazelle Interactive, LLC www.gazelleinteractive.com
                                                              Slide 12
Benefits of AdWords
What Google can do for Advertisers


•   Advertising on Google can help an advertiser meet many objectives
•   Determining, measuring, and tracking metrics helps ensure success

    Objective                                        Example Success Metrics

     Generate awareness                         • Targeted impressions
     Build brand                                • Qualified visits your website
     Educate prospects                          • Depth of involvement

     Generate leads                             •   Request for proposals
     Identify prospects                         •   Coupon downloads
                                                 •   Newsletter registrations
                                                 •   Email address opt-ins

     Customer acquisition                       •   Sales conversions = $$$
     Sales                                      •   Lower cost per lead/sale




                      Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                                  Slide 14
Benefits of AdWords


The primary benefits of AdWords include:

  - Reach

  - Cost

  - Timing

  - Flexibility




                  Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                        Slide 15
Benefits of AdWords: Reach


    The Google Netw reaches over 80% of Internet users*
                   ork



                                              Other
                                              20%



                                            Network
                                         80%
Google Properties                                                        Content Publishers
                                                                          New York Times

                                                                          About.com
                                Search Partners
                                AOL
                                Amazon
                                Earthlink                      * Source: comScore Media Metrix (September, 2004)
                Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                                                 Slide 16
Google Reaches Global Markets


Reach customers around the world on one platform

  Your customers                                    #1 search engine in                                  Ranked #1 in 2005
 search Google in                                       17 out of 20                                     Web Globalization
over 100 languages                                  countries measured                                     Report Card




                            “Google is arguably the most global
                             commercial Web site ever built.”
                                                                               – John Yunker, Chief Analyst,
                                                                                        Byte Level Research




Sources: Measured by Media Metrix and NetRatings (September 2004); “2005 Web Globalization Report Card,” Byte Level Research (November 2004)
                                      Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                                                                                        Slide 17
Benefits of AdWords: Cost
• No minimum spend
• You choose your own maximum daily spending limit (daily budget)
• Choose how much you want to spend per click for every keyword
• Pay Google for users who click on your ad
• More cost-effective than Yellow Pages, Banner Ads & Direct Mail*
• Conversion tracking = real-time return-on-investment data




   ** U.S. Bancorp Piper Jaffray, New Methods in Search Marketing: Contextual Advertising and Other Evolutions (Safa Rashtchy), June 2004
                                        Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                                                                                           Slide 18
Example: How AdWords Can Pay for Itself



                 $1,000 initial investment in AdWords
Increase revenue by reinvesting profit
                         $1.00 CPC ≥ 1,000 clicks


                   10% conversion rate = 100 sales


                            Average sale = $100


                 $1K investment returns $10K in sales


                   Reinvest profits, increase budget

                   Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                         Slide 19
Benefits of AdWords: Timing



Timing
• Ads are continuously matched to Internet users’ interests

• Ads are placed as buying decisions are made



The Result:

• You reach your audience at the right time, with the right message




                  Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                        Slide 20
Example: Ads Show on Relevant Content Pages

Your customers see your ad when they surf relevant Google Network properties




                 Google technology places your ad on the
                 most relevant content pages
                   Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                         Slide 21
Benefits of AdWords: Flexibility



Flexibility
• See your ads on Google quickly

• Optimize and change your ads continually to increase ROI

• Target multiple locations and languages




                  Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                        Slide 22
Benefits of AdWords: Summary

• Reach
    - Access to ~80% of Internet users worldwide
• Cost
    - Low costs for high ROI
    - Pay Google when users click on your ads
• Timing
    - Ads are seen by users looking to purchase
    - Reach your audience at the right time, with the right message
• Flexibility
    - Start advertising quickly
    - Unlimited changes, whenever you want
    - You can target ads to the specific location & language of your
      customers


                     Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                           Slide 23
Online Advertising
     Stats & Trends
Search Now the Largest Share of Online Ads



% Online Advertising Revenue
                                                                      Growth of Search:
                                                                      Marketers are voting
100%
                      6%                 Other
                      8%

                      9%
                                         Rich Media
                                                                      with their dollars
80%                                      Sponsorships

                     17%                 Classifieds                  • Search now the most
60%
                                                                        dominant form of online
                                                                        advertising
                     20%                 Banners
40%
                                                                      • Nearly 3x growth in since
                                                                        start of 2003
                                                                      • 35 searches per user per
20%                 40%                  Search                         month in U.S.
                                                                      • 73% search penetration
 0%

          Type of Online Media



       Source: Interactive Advertising Bureau, PricewaterhouseCoopers (September 2004); comScore (October 2004)
                       Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                                                                 Slide 25
Search Advertising is Far More Cost Effective


Search Advertising is cheap and effective vs. other ad methods




                                                                     40%
                                                                   Search




   * U.S. Bancorp Piper Jaffray, New Methods in Search Marketing: Contextual Advertising and Other Evolutions (Safa Rashtchy), June 2004
                                      Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                                                                                          Slide 26
Benefits of AdWords: High ROI

     Google contextual advertising ROI increased over 50% in 2004

                                                                         Ads Quality                         2004 Product Launches
                   Content Traffic                                       Launch #2
                  Continues to Grow
                                                                                                          April – Launch of SmartPricing
ROI Index *




                                               Ads Quality
                                               Launch #1
                                                                                                          Aug & Oct – Ads Quality
                                                                                                          Enhancements
                  SmartPricing                                                    + 50%
                                                                                                          2004 – Google continued to
                                                                                                          grow its content distribution
                                                                              Data Provided by:           network
              =



                  Advertiser ROI has been steadily increasing throughout the year as Google has
                  launched new targeting features and an automatic CPC discounting mechanism


                      * ROI index uses anonymous Atlas and Google customer conversion data. Growth in ROI is tracked against 2003 ROI index
                                                   Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                                                                                             Slide 27
Appendix: Basic AdWords Features
Basic Features of AdWords



The basic features of AdWords include:

• Cost-per-click pricing

• Ad impressions & click-through rates

• Language & location targeting




                  Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                        Slide 29
Basic Definition: CPC



                          CPC: cost-per-click
• Click: The action a user takes to select your ad and be taken to your
  website.
• Google charges the advertiser when a user clicks on your ad




                 A sample AdWords ad
                                                               The Destination Website

                  Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                               Slide 30
Basic Definition: CTR




                           CTR: clickthrough rate


Impression: The appearance of your ad on Google or one of our partner sites



             Clicks
                               = CTR (expressed as %)
         Impressions




                     Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                           Slide 31
CTR Examples



         CTR is how Google measures relevance




                                       20 clicks
Example Advertiser A:                                          = 0.02 = 2%
                                1000 impressions




                                         3 clicks
Example Advertiser B:                                          = 0.03 = 3%
                                  100 impressions




             Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                            Slide 32
Benefits of AdWords – Location & Language Targeting

Targeting options: you can target ads by location and language
   •Regional/Local, Country, Global & Customized Targeting
   •Roughly 40 different language targeting options to choose from




                 Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                       Slide 33
Region/City Targeting Examples


When should you use regional targeting?

•   Example: you have local flower shops in the San Francisco Bay
    Area

•   Example: you run a restaurant in Chicago




                  Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                        Slide 34
Country Targeting


When should you use country targeting?

   • Use if you have national or global customers

   • Example: you ship to the U.S. only. Target your campaign to the U.S.




                   Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                         Slide 35
Global Targeting



If you have a global business, give your campaigns global exposure

• Example: If you sell DVDs and have worldwide distribution, you should
  target your campaign to all countries




                 Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                       Slide 36
Customized Targeting



Use Customized Targeting to target highly specific areas
For example, to reach customers located in an area that cannot be
  targeted accurately using region or city targeting
• Example: pizza delivery service




                  Gazelle Interactive, LLC www.gazelleinteractive.com
                                                                        Slide 37
Contact US




Please feel free to contact us at 561.732.3187 or at
             info@gazelleinteractive.com




         Gazelle Interactive, LLC www.gazelleinteractive.com
                                                               Slide 38

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Gazelle Interactive Adwords Presentation

  • 1. Gazelle Interactive, LLC. Google TM AdWords
  • 2. Agenda Presentation Topics: 1. Introduction to AdWords 2. Google’s Ad Distribution Network 3. Primary Benefits of AdWords 4. Online Advertising Stats and Trends 5. Appendix: Basic AdWords Features Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 2
  • 4. What Is Google? •Google has a search engine that will gather, sort & report information from the Internet, based on your topic of interest •But, Google also offers a lot more than search alone… www.google.com Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 4
  • 5. What is Google Advertising? Your customers see your ad when they search Your ad reaches users at the moment they demonstrate interest Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 5
  • 6. What is Google Advertising? Your customers see your ad when they surf Google Network properties Google technology places your ad on the most relevant content pages Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 6
  • 7. Keyword Advertising • Targeted advertising • Better advertiser ROI than untargeted ads • Improved user experience Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 7
  • 8. A Typical AdWords Ad •Ad Title (25 character limit) •Ad Text (35 character limit) •Display URL (35 character limit) Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 8
  • 10. Google Network Basics – Ad Distribution The Google Network consists of Google sites & partner properties that use Google AdSense to serve AdWords ads These properties include: Search sites, content pages, newsletters, email services & discussion boards Other 20% The Google Network reaches over 80% of Internet Users worldwide* network 80% Content publishers, including: Google properties, including: Search partners, including: * Source: comScore Media Metrix (September, 2004) Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 10
  • 11. Google Network Basics With the Google Network advertisers can: • Reach a vast and highly-targeted audience • Target ads to search results and relevant Web content • Opt-in or opt-out of search and content distribution (default is opt-in for all advertisers) Note: by default, AdWords ads appear on Google.com Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 11
  • 12. Ad Distribution Example Search query: ‘SUV’ Four AdWords ads under the title ‘Sponsored Links’ Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 12
  • 14. What Google can do for Advertisers • Advertising on Google can help an advertiser meet many objectives • Determining, measuring, and tracking metrics helps ensure success Objective Example Success Metrics  Generate awareness • Targeted impressions  Build brand • Qualified visits your website  Educate prospects • Depth of involvement  Generate leads • Request for proposals  Identify prospects • Coupon downloads • Newsletter registrations • Email address opt-ins  Customer acquisition • Sales conversions = $$$  Sales • Lower cost per lead/sale Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 14
  • 15. Benefits of AdWords The primary benefits of AdWords include: - Reach - Cost - Timing - Flexibility Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 15
  • 16. Benefits of AdWords: Reach The Google Netw reaches over 80% of Internet users* ork Other 20% Network 80% Google Properties Content Publishers New York Times About.com Search Partners AOL Amazon Earthlink * Source: comScore Media Metrix (September, 2004) Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 16
  • 17. Google Reaches Global Markets Reach customers around the world on one platform Your customers #1 search engine in Ranked #1 in 2005 search Google in 17 out of 20 Web Globalization over 100 languages countries measured Report Card “Google is arguably the most global commercial Web site ever built.” – John Yunker, Chief Analyst, Byte Level Research Sources: Measured by Media Metrix and NetRatings (September 2004); “2005 Web Globalization Report Card,” Byte Level Research (November 2004) Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 17
  • 18. Benefits of AdWords: Cost • No minimum spend • You choose your own maximum daily spending limit (daily budget) • Choose how much you want to spend per click for every keyword • Pay Google for users who click on your ad • More cost-effective than Yellow Pages, Banner Ads & Direct Mail* • Conversion tracking = real-time return-on-investment data ** U.S. Bancorp Piper Jaffray, New Methods in Search Marketing: Contextual Advertising and Other Evolutions (Safa Rashtchy), June 2004 Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 18
  • 19. Example: How AdWords Can Pay for Itself $1,000 initial investment in AdWords Increase revenue by reinvesting profit $1.00 CPC ≥ 1,000 clicks 10% conversion rate = 100 sales Average sale = $100 $1K investment returns $10K in sales Reinvest profits, increase budget Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 19
  • 20. Benefits of AdWords: Timing Timing • Ads are continuously matched to Internet users’ interests • Ads are placed as buying decisions are made The Result: • You reach your audience at the right time, with the right message Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 20
  • 21. Example: Ads Show on Relevant Content Pages Your customers see your ad when they surf relevant Google Network properties Google technology places your ad on the most relevant content pages Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 21
  • 22. Benefits of AdWords: Flexibility Flexibility • See your ads on Google quickly • Optimize and change your ads continually to increase ROI • Target multiple locations and languages Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 22
  • 23. Benefits of AdWords: Summary • Reach - Access to ~80% of Internet users worldwide • Cost - Low costs for high ROI - Pay Google when users click on your ads • Timing - Ads are seen by users looking to purchase - Reach your audience at the right time, with the right message • Flexibility - Start advertising quickly - Unlimited changes, whenever you want - You can target ads to the specific location & language of your customers Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 23
  • 24. Online Advertising Stats & Trends
  • 25. Search Now the Largest Share of Online Ads % Online Advertising Revenue Growth of Search: Marketers are voting 100% 6% Other 8% 9% Rich Media with their dollars 80% Sponsorships 17% Classifieds • Search now the most 60% dominant form of online advertising 20% Banners 40% • Nearly 3x growth in since start of 2003 • 35 searches per user per 20% 40% Search month in U.S. • 73% search penetration 0% Type of Online Media Source: Interactive Advertising Bureau, PricewaterhouseCoopers (September 2004); comScore (October 2004) Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 25
  • 26. Search Advertising is Far More Cost Effective Search Advertising is cheap and effective vs. other ad methods 40% Search * U.S. Bancorp Piper Jaffray, New Methods in Search Marketing: Contextual Advertising and Other Evolutions (Safa Rashtchy), June 2004 Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 26
  • 27. Benefits of AdWords: High ROI Google contextual advertising ROI increased over 50% in 2004 Ads Quality 2004 Product Launches Content Traffic Launch #2 Continues to Grow April – Launch of SmartPricing ROI Index * Ads Quality Launch #1 Aug & Oct – Ads Quality Enhancements SmartPricing + 50% 2004 – Google continued to grow its content distribution Data Provided by: network = Advertiser ROI has been steadily increasing throughout the year as Google has launched new targeting features and an automatic CPC discounting mechanism * ROI index uses anonymous Atlas and Google customer conversion data. Growth in ROI is tracked against 2003 ROI index Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 27
  • 29. Basic Features of AdWords The basic features of AdWords include: • Cost-per-click pricing • Ad impressions & click-through rates • Language & location targeting Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 29
  • 30. Basic Definition: CPC CPC: cost-per-click • Click: The action a user takes to select your ad and be taken to your website. • Google charges the advertiser when a user clicks on your ad A sample AdWords ad The Destination Website Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 30
  • 31. Basic Definition: CTR CTR: clickthrough rate Impression: The appearance of your ad on Google or one of our partner sites Clicks = CTR (expressed as %) Impressions Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 31
  • 32. CTR Examples CTR is how Google measures relevance 20 clicks Example Advertiser A: = 0.02 = 2% 1000 impressions 3 clicks Example Advertiser B: = 0.03 = 3% 100 impressions Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 32
  • 33. Benefits of AdWords – Location & Language Targeting Targeting options: you can target ads by location and language •Regional/Local, Country, Global & Customized Targeting •Roughly 40 different language targeting options to choose from Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 33
  • 34. Region/City Targeting Examples When should you use regional targeting? • Example: you have local flower shops in the San Francisco Bay Area • Example: you run a restaurant in Chicago Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 34
  • 35. Country Targeting When should you use country targeting? • Use if you have national or global customers • Example: you ship to the U.S. only. Target your campaign to the U.S. Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 35
  • 36. Global Targeting If you have a global business, give your campaigns global exposure • Example: If you sell DVDs and have worldwide distribution, you should target your campaign to all countries Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 36
  • 37. Customized Targeting Use Customized Targeting to target highly specific areas For example, to reach customers located in an area that cannot be targeted accurately using region or city targeting • Example: pizza delivery service Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 37
  • 38. Contact US Please feel free to contact us at 561.732.3187 or at info@gazelleinteractive.com Gazelle Interactive, LLC www.gazelleinteractive.com  Slide 38