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Ads in a Quality Score World
Contextual Relevance
Segmentation + Targeting = Relevance




Contextual Relevance
Segmentation
Referrer
  organic search
  ppc
  email
  direct
  display
  affiliate
Site Behavior
 new/return
                   Segmentation
 clicks
 usage
 Temporal
 time
 day
 season
 recency
 frequency
Environment
 ip
 country
 resolution
 browser
★ relevance
• One entry found for relevance.

  Main Entry: rel·e·vance
•
• Pronunciation: 're-l&-v&n(t)s
• Function: noun
  1 a : relation to the matter at hand b : practical and
•
  especially social applicability : PERTINENCE <giving
  relevance to college courses>
• 2 : the ability (as of an information retrieval system) to
  retrieve material that satisfies the needs of the user

★ http://www.m-w.com/dictionary/relevance



                               4
★ relevance
• One entry found for relevance.

  Main Entry: rel·e·vance
•
• Pronunciation: 're-l&-v&n(t)s
• Function: noun
  1 a : relation to the matter at hand b : practical and
•
  especially social applicability : PERTINENCE <giving
  relevance to college courses>
• 2 : the ability (as of an information retrieval system) to
  retrieve material that satisfies the needs of the user

★ http://www.m-w.com/dictionary/relevance



                               4
Ads are the Bridge of Relevance
Paid Search: Built for Relevance

Segmentation
   Channels
   Campaigns
   AdGroups (Orders)
   Keywords

Targeting
   Ad Copy
   Geo
   SERP/Content

Relevance Delivered
   Landing Page




                       6
How Ads Help Deliver Relevance

• Segmentation
• Targeting

•   First Impression
•   Generate Interest
•   Set Expectation
•   Persuade




                        7
The Power of Ads - Case Study on Brand Terms
     Traffic:




     Conversion Rate:




     Revenue:




                        8
How the Search Engines Determine Relevance

• CTR
• CTR
• CTR
•




                     9
Google Quality Score
• Keyword Quality Score (Determines Minimum Bid)
   – CTR
   – AdsBot (Relevance of Ad Text & Landing Page)
• SERP Quality Score (Determines Rank)
   – KWQS
   – Maximum Bid
   – Performance History in Relation to Specific Query
• Content Quality Score
   – Performance History in Relation to Site
   – Landing Page Relevance



                                10
Root & Stem Relevance
          Retirement AdGroup:

          kw1 - retirement savings

          kw2 - retirement account

          kw3 - retirement information

          kw4 - retirement planning




                        11
Root & Stem Relevance
          Retirement AdGroup:

          kw1 - retirement savings

          kw2 - retirement account

          kw3 - retirement information

          kw4 - retirement planning




                        12
Root & Stem Relevance
          Retirement AdGroup:

          kw1 - retirement savings

          kw2 - retirement account

          kw3 - retirement information

          kw4 - retirement planning




                        13
Who & What Determines Relevance?
                Recipe A-C
                Title: “{keyword}”

     Recipe     Impressions Conversion Rate

     Recipe A   265,909              5.72%

     Recipe B   265,045              5.09%

     Recipe C   264,784              5.49%




                         14
Who & What Determines Relevance?
                Recipe D-F
                Title: “ Find {keyword}”

     Recipe      Impressions Conversion Rate

     Recipe D    47,093             8.59%

     Recipe E    47,289             5.24%

     Recipe F    47,066             7.76%




                           15
Who & What Determines Relevance?
                Recipe G-I
                Title: “The Wait is Over”

     Recipe       Impressions Conversion Rate

     Recipe G     46,518            9.84%

     Recipe H     46,795            8.11%

     Recipe I     46,579            11.76%




                            16
Multivariate Results

   Elements             Influence on Conversion

   Title                13.54%

   Description 1        53.55%

   Description 2        23.56%

   URL                  9.37%




                       17
Reinforcement




                18
19
Bridging the Moment of Recognition with Relevance

   Recipe      Visitors   CR     Lift      RPV   Lift

   SRP -       37,987     --     --        --    --

     Control

   SRP -       43,973            +48.35%         +71.38%
                          N/A              N/A
     Reinforce




                                20
Satisfying the Needs of Users
   NYT.com                    Users




                         21
Satisfying the Needs of Users
31 Navigation Messages   Top 50 Internal Search Queries (Sept 2006)




                                     22
February 2007
Unsatisfied?
               Top 50 Internal Search Queries




                          September 2006

                     23
Jonathan Mendez, Chief Strategy Officer

                     Thanks!
• www.optimizeandprophesize.com - My Blog
• www.ottodigital.com - OTTO Site
• www.offermatica.com - Technology & Parent




                          24
Jonathan Mendez, Chief Strategy Officer

                     Thanks!
• www.optimizeandprophesize.com - My Blog
• www.ottodigital.com - OTTO Site
• www.offermatica.com - Technology & Parent




                          24

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Ads In A Quality Score World - SES NYC 2007

  • 1. Ads in a Quality Score World
  • 3. Segmentation + Targeting = Relevance Contextual Relevance
  • 5. Referrer organic search ppc email direct display affiliate Site Behavior new/return Segmentation clicks usage Temporal time day season recency frequency Environment ip country resolution browser
  • 6. ★ relevance • One entry found for relevance. Main Entry: rel·e·vance • • Pronunciation: 're-l&-v&n(t)s • Function: noun 1 a : relation to the matter at hand b : practical and • especially social applicability : PERTINENCE <giving relevance to college courses> • 2 : the ability (as of an information retrieval system) to retrieve material that satisfies the needs of the user ★ http://www.m-w.com/dictionary/relevance 4
  • 7. ★ relevance • One entry found for relevance. Main Entry: rel·e·vance • • Pronunciation: 're-l&-v&n(t)s • Function: noun 1 a : relation to the matter at hand b : practical and • especially social applicability : PERTINENCE <giving relevance to college courses> • 2 : the ability (as of an information retrieval system) to retrieve material that satisfies the needs of the user ★ http://www.m-w.com/dictionary/relevance 4
  • 8.
  • 9. Ads are the Bridge of Relevance
  • 10. Paid Search: Built for Relevance Segmentation Channels Campaigns AdGroups (Orders) Keywords Targeting Ad Copy Geo SERP/Content Relevance Delivered Landing Page 6
  • 11. How Ads Help Deliver Relevance • Segmentation • Targeting • First Impression • Generate Interest • Set Expectation • Persuade 7
  • 12. The Power of Ads - Case Study on Brand Terms Traffic: Conversion Rate: Revenue: 8
  • 13. How the Search Engines Determine Relevance • CTR • CTR • CTR • 9
  • 14. Google Quality Score • Keyword Quality Score (Determines Minimum Bid) – CTR – AdsBot (Relevance of Ad Text & Landing Page) • SERP Quality Score (Determines Rank) – KWQS – Maximum Bid – Performance History in Relation to Specific Query • Content Quality Score – Performance History in Relation to Site – Landing Page Relevance 10
  • 15. Root & Stem Relevance Retirement AdGroup: kw1 - retirement savings kw2 - retirement account kw3 - retirement information kw4 - retirement planning 11
  • 16. Root & Stem Relevance Retirement AdGroup: kw1 - retirement savings kw2 - retirement account kw3 - retirement information kw4 - retirement planning 12
  • 17. Root & Stem Relevance Retirement AdGroup: kw1 - retirement savings kw2 - retirement account kw3 - retirement information kw4 - retirement planning 13
  • 18. Who & What Determines Relevance? Recipe A-C Title: “{keyword}” Recipe Impressions Conversion Rate Recipe A 265,909 5.72% Recipe B 265,045 5.09% Recipe C 264,784 5.49% 14
  • 19. Who & What Determines Relevance? Recipe D-F Title: “ Find {keyword}” Recipe Impressions Conversion Rate Recipe D 47,093 8.59% Recipe E 47,289 5.24% Recipe F 47,066 7.76% 15
  • 20. Who & What Determines Relevance? Recipe G-I Title: “The Wait is Over” Recipe Impressions Conversion Rate Recipe G 46,518 9.84% Recipe H 46,795 8.11% Recipe I 46,579 11.76% 16
  • 21. Multivariate Results Elements Influence on Conversion Title 13.54% Description 1 53.55% Description 2 23.56% URL 9.37% 17
  • 23. 19
  • 24. Bridging the Moment of Recognition with Relevance Recipe Visitors CR Lift RPV Lift SRP - 37,987 -- -- -- -- Control SRP - 43,973 +48.35% +71.38% N/A N/A Reinforce 20
  • 25. Satisfying the Needs of Users NYT.com Users 21
  • 26. Satisfying the Needs of Users 31 Navigation Messages Top 50 Internal Search Queries (Sept 2006) 22
  • 27. February 2007 Unsatisfied? Top 50 Internal Search Queries September 2006 23
  • 28. Jonathan Mendez, Chief Strategy Officer Thanks! • www.optimizeandprophesize.com - My Blog • www.ottodigital.com - OTTO Site • www.offermatica.com - Technology & Parent 24
  • 29. Jonathan Mendez, Chief Strategy Officer Thanks! • www.optimizeandprophesize.com - My Blog • www.ottodigital.com - OTTO Site • www.offermatica.com - Technology & Parent 24