IgnitionOne Releases its Q2 2013 Digital Marketing Report

Strong Quarter for Digital Ads Led by Mobile Search and Programmatic Display

IgnitionOne’s Q2 report reveals that US search spend was up 7% YoY, smartphones and tablets experienced triple-digit increases YoY, and retail and travel saw incredible growth in programmatic display ad metrics with YoY spend increases of 130% and 156%, respectively. Both verticals also saw average clearing prices for programmatic display exceeding two dollars.

Analysis of trends following Google Enhanced Campaigns migrations show that marketers experienced a jump in cost and CPCs driven by an increase in competition in the mobile (smartphone) and tablet space as well as a loss of granular/keyword level control of the mobile and tablet channels.

“Though traditional paid search continues to mature as a channel, we still see growth in this quarter and we expect that to continue moving forward,” said Roger Barnette, President of IgnitionOne. “Newer channels like mobile advertising and programmatic display are where we are seeing the greatest increases in spend as marketers continue to innovate to reach their audiences.”

To read a more in-depth rendition of the above and more about the digital marketing trends and conclusions of Q2, click here.

Attribution: Do You Have What it Takes? A Webinar Recap

 

Attribution, understanding which media exposures assist and contribute to an conversion, when done correctly, can drive valuable and actionable insights for marketers. But every day we speak with marketers who have only dipped their toes into the attribution waters. Some practice last-click while others engage in multi-channel attribution and many of whom do very little to make the information gathered actionable.

Yesterday, Dave Ragals, SVP, Client Services, hosted a webinar, “Attribution: Do You Have What it Takes?” which discussed not only the technical challenges of implementing true cross-channel attribution, but also how to overcome the political challenges associated with the task. Dave demonstrates the huge potential for marketers when they properly attribute credit and automatically optimize against those insights using client case studies and real results.

To view a recording of the webinar, click here.

IgnitionOne Wins Bronze in Online Marketing Campaign of the Year

IgnitionOne’s work for Lafayette 148 was recognized last night by the American Business Awards as a Bronze prize winner for “Online Marketing Campaign of the Year.” The award, otherwise known as a “Stevie”, was created to honor and generate public recognition of the achievements of organizations and business people worldwide. In the campaign that was recognized, Lafayette 148 implemented IgnitionOne’s Digital Marketing Suite and its media optimization and marketing automation solutions to enhance their remarketing and to generate more leads on their site.

This recognition is a further testament to the innovation and the hard work of our teams and our clients.

Congratulations to all the teams involved!

IgnitionOne’s June Industry Digest

IgnitionOne in the News

You Don’t Need to Search Far for Fun on Amelia Island
MediaPost
May 1, 2013

An article that details the events of a Search Inside Summit on Amelia Island, as well as a brief history of the meetings, mentions Roger Barnette as an attendee at the May 2013 Summit.

Ebay Plans to Share its Users’ Data with Brands
ADWEEK
May 5, 2013

IgnitionOne’s CEO, Will Margiloff, describes eBay’s data as “close to first party data [as] you can get for performance, [but] the devil is in the details. Will it be broken out into deep enough segments with full e-commerce and demographic segmentation?”

IgnitionOne Drives Integrated Marketing across Search, Display and Social Channels
Yahoo!
May 14, 2013

A Yahoo! Q&A with Roger Barnette covers the IgnitionOne President’s opinions regarding the greatest opportunity for search marketers over the next several years, a prediction for the future of the digital marketing industry, technology trends and much more.

SEO Diagnostics with Google Analytics
ClickZ
May 16, 2013

In an article about SEO and diagnosing changes in organic traffic and user behavior, IgnitionOne is mentioned as a search platform.

The Bid Management Tools Arms Race
MediaPost
May 17, 2013

A rapid expansion of automated bidding into new media is turning core bid technology into a commodity. This article mentions IgnitionOne as a search marketing player in the tools arms race.

Social Success Requires Clear Goals
MediaPost
May 20, 2013

In an OMMA Social panel, IgnitionOne’s VP, Strategic Solutions, Chris Knoch, is quoted saying that in terms of defining objectives in social media strategies, “you only hit what you aim at.”

In Defense of Attribution
MediaPost
May 20, 2013

An OMMA Social panel began discussing the need for attribution. In this context, Chris Knoch noted that “if you’re still doing last click attribution, you are light years behind.”

Meet the New AdWords Flexible Bid Strategies
Search Engine Watch
May 29, 2013

This article outlines the new bid rules available for AdWords and mentions IgnitionOne as an advanced paid search management tool.

Marketers Still Don’t Get Attribution
MediaPost
May 30, 2013

Mentions the enhancements made to IgnitionOne’s LiveMarketer in an article that discusses the increasing importance of attribution.

Is the Era of Bargain-Priced Mobile Paid Search Nearing the End?
Mobile Marketer
May 31, 2013

Roger Barnette, President of IgnitionOne, is quoted regarding Enhanced Campaigns, noting that many sophisticated marketers are switching to Enhanced Campaigns with conservative budgets but that IgnitionOne’s clients’ results have been very positive thus far, giving them “a no-excuses reason to really embrace mobile search, something they may have let lag for some time.”

IgnitionOne Enhances LiveMarketer, Real-Time Data Visualization Tool
AdOps
May 31, 2013

Announces IgnitionOne’s enhancement to the LiveMarketer, which allows marketers to see where each website visitor is within the purchase funnel by product or content category as well as detailing all cross-channel exposures that led them to the site through real-time visualization and the ability to look beyond static reports and analytics to get a dynamic visualization of the real-time interest and actions on their site.

Thought Leadership

IgnitionOne, RTB and AdX: a Global Case Study
DigitalMarketingSuite.com
May 1, 2013

A Google case study reveals how IgnitionOne expanded its global presence and unlocked new opportunities in emerging markets by working with DoubleClick’s Ad Exchange (AdX).

Centralizing Data to Optimize your Marketing
DigitalMarketingSuite.com
May 2, 2013

In the final installment in a series of integrated marketing webinars, Dave Ragals, SVP Client Services at IgnitionOne, explains how centralized data taken from one central platform rather than various point solutions is the key to understanding one’s audience and understanding how to best interact with them.

Brave New Search World
MediaPost
May 2, 2013

Roger Barnette, President of IgnitionOne, reflects on the pros (better answers, innovation and more available options) and cons (user experience and a surge in marketing channels) of fragmentation within the search landscape, and illustrates how this shift presents an opportunity for savvy marketers.

Search Marketing for Retailers: Media Levers
DigitalMarketingSuite.com
May 6, 2013

In an age where audiences are becoming less and less receptive to traditional marketing, paid search remains one of the only areas where marketing has not been rejected by consumers. Katherine Wrobleski, Associate Account Manager at IgnitionOne, discusses several steps that marketers can take to ensure success in paid search.

Achieving Accurate Currency Tracking: Reporting and Optimization in Ecommerce
DigitalMarketingSuite.com
May 13, 2013

Ed Dann, Technical Lead at IgnitionOne in Europe, discusses the issues companies face when they sell their products online globally – namely, the different currencies used throughout the world – and what companies can to do avoid these issues.

Why Marketers Are Bullish on Video
DigitalMarketingSuite.com
May 16, 2013

As consumers have become more connected online, video has grown to become one of the most popular formats for sharing content digitally. A look at how video has evolved to become a leading marketing tactic, and its pros and cons.

One Year and Counting: Review of Facebook Post-IPO Anniversary
DigitalMarketingSuite.com
May 24, 2013

Rachel Young, Marketing Coordinator and IgnitionOne EU, discusses the developments at Facebook one year after its IPO – most notably, how it has evolved to become a central figure in the marketing landscape.

IgnitionOne Enhances LiveMarketer, Real Time Data Visualization Tool
DigitalMarketingSuite.com
May 29, 2013

IgnitionOne announces the release of an updated version of the LiveMarketer, which provides marketers with a more clear view of the user’s path to conversion.

Industry News

What Marketers Can Teach Each Other About Metrics
MediaPost
May 8, 2013

A look at the dichotomy that exists between performance indicators used by brand and direct marketers (comprehensive metrics versus specific cost-base measurements), and how each could benefit by employing that of the other.

E-Commerce Outlook Is Bright
MediaPost
May 10, 2013

While the possible enactment of a bill requiring state taxation on online purchases looms in the distance, research shows that the online retail sector is stronger than ever and is here to stay.

Jump Start Innovation To Leverage Digital Potential
MediaPost
May 13, 2013

Innovation is widely considered one of the key markers of a successful company; however, it is also one of the hardest to execute and maintain. In a world that is increasingly reliant on technology, so too, is innovation.

Technology is Changing the Way We Market – and Spend
DMNews
May 17, 2013

How and why traditional budgets are being reallocated to account for increasing spending on marketing; namely, a new focus on customer engagement and risk that reflects the emergence of digital marketing.

Why Everyone’s Confused About Native Advertising
MediaPost
May 21, 2013

Marketers are faced with the challenge of engaging consumers in new and original ways. Among the solutions to crop up recently is native advertising; however, given the already hard-to-define nature of digital marketing, native advertising has proven difficult to pin down – though this in no way has hampered its success.

Retailers Use Attribution Modeling to Measure the Touchpoints Driving Sales
eMarketer
May 28, 2013

Until recently, many retailers only paid attention to “last click” attribution; however, new research shows that, in order to account for any and all factors that converts a potential customer, retailers are turning towards multi-channel attribution.

KPCB Internet Trends 2013
KPCB
May 29, 2013

The latest edition of the KPCB Internet Trends shows continued online growth and opportunity. The number of Internet users grows daily, as does mobile usage; time spent online has shifted to become more social and content-rich, with a focus on visual, video, and audio; and, looking ahead, KPCB forecasts technology that focuses on further connecting people.

13 Alarming Stats About Retail in Digital
Digiday
May 29, 2013

Despite the increasing reach of digital technology and all that it offers for marketers, few retails have taken full advantage of it.

Display

FBX Gets More News Feed Inventory And Dynamic Creative Options
AdExchanger
May 7, 2013

Facebook recently announced plans to make more media space available for RTB through their Facebook Exchange program – a move precipitated by FBX’s overwhelming success in its first six weeks. The company also announced further enhancements to the program that aims to meet and surpass advertiser demand.

Yahoo to Bring More Ad Formats to Tumblr
AdAge
May 20, 2013

In a move that is a dramatic departure from Tumblr’s traditionally negative view of advertising, Yahoo CEO Marissa Mayer announced that the site will soon be host to more “native advertising.” A look at how Yahoo now plans to establish a balance between generating advertising revenue and maintaining the spirit of Tumblr.

Forget the Year of Mobile – It’s Actually the Year of Video
AdAge
May 17, 2013

Antony Young, CEO of Mindshare, discusses the increasing importance of video in advertising, both on- and offline. Citing the ever-increasing reach advertisers have over consumers and the emerging role of dynamic content, Young explains that video is poised to be the most effective method of advertising, and urges marketers to take advantage of it.

Ad Agencies See Effectiveness in Online Video
eMarketer
May 22, 2013

Research shows that the growing popularity and complexity of online video advertising is a function of its performance with consumers. As positive consumer feedback grows, so too does online video advertising’s prominence.

Social

Facebook: 30% of Our Revenue Now Comes from Mobile
AdAge
May 1, 2013

Since its IPO last year, Facebook has vastly expanded its business from a largely PC-based social network to mobile (attributing for 1/3 of its Q1 ad revenue), and has continued to grow through acquisitions, and the Facebook Exchange which has made Facebook a more appealing platform for direct response marketers.

Facebook Marketplace vs. Exchange Ads: 3 Important Differences
Search Engine Watch
May 2, 2013

This article discusses the different approaches to data, types of intent, and approaches to buying on Facebook Exchange compared to Facebook marketplace.

Social Ads Continue to be Exceptionally Good at Delivering High Quality Users
Marketing Charts
May 8, 2013

An Aggregate Knowledge study, “Global Media Intelligence Report,” found that social performed 65% better than the industry overall in delivering quality users and 33% better than the next-best channel, portals. The study also demonstrates that the value of social continues to be underestimated when using a pure last-touch attribution model, which is the most commonly used model.

One Year After IPO, Facebook’s Biggest Bets Could Take a Long Time to Pay Off
All Things D
May 18, 2013

Following its one year IPO-anniversary, goals of Facebook are scrutinized as well as attempts at generating revenue. All the while, “the needle hardly moves on Facebook’s stock ticker.”

Twitter is Said to Ready Customer-Matching Ad Tool
Bloomberg
May 23, 2013

Twitter (privately) plans to release a feature that is similar to Facebook’s custom-audience feature that will allow marketers to use email addresses to identify and target Twitter users who match up with their company’s own customer lists.

Two out of Three Marketers Doubt Facebook Ad Effectiveness
MediaPost
May 29, 2013

According to a new survey conducted by Social Media Examiner that questioned over 3,000 marketing professionals, marketers think Facebook is an important advertising platform, but they also doubt the effectiveness of their efforts on the world’s largest social network.

Search

Marissa Mayer’s Moonshot: Yahoo! on Every Device
CNET
May 7, 2013

In the last several months, Mayer has introduced product updates at a more rapid rate, killed a bunch of products, launched new video programs, focused on mobile, extended its search relationship with Microsoft, and acquired several small companies, including Summly – all in an attempt for Yahoo to have a presence on the devices of the billion Internet users they are missing out on.

Did Google Just Try to Totally Change How Search Works?
Gizmodo
May 15, 2013

Google is making searches more personal by tying data from say, your calendar into search results. For instance, you can ask Google to find a restaurant near your next appointment and the results will reflect the neighborhood that you will be in.

What Yahoo Sees in Tumblr: A Logged-In, Cross-Channel Audience
AdExchanger
May 20, 2013

Yahoo! acquired Tumblr in part for its psychographics profiles which are different than what Yahoo has, enriching the user base. Whereas Yahoo! is known for its strength in finance, news and sports, Tumblr is a hotbed of fashion, design, architecture, and art. So the profile data Yahoo! uses to reach Tumblr users across websites and devices may be linked to related advertising categories.

Mobile

50 Mobile Marketing Facts that Will Blow You Away
Social Media Today
May 2, 2013

Most notable include: (2) 70% of mobile online searches lead to an action within an hour, while 70% of desktop online searches lead to an action within a month; (5) 74% of smartphones users use their phones for shopping, and of that 79% make a purchase as a result of using their phones; and (10) 95% smartphone users looked up local information, of that 61% called and 59% visited the business.

Tablets More M-Commerce-Friendly than Phones
MediaPost
May 13, 2013

A Forrester report projects that m-commerce, on smartphones only, will more than double from $12 billion this year to $27 billion by 2016. While growing quickly, mobile retail will remain a small portion of total U.S. e-commerce sales – rising from 5% to 8% in the next three years, while eMarketer estimated that tablets this year will drive the bulk of US m-commerce sales.

‘Geo-Conquesting’ Drives Higher Mobile Click Rates
MediaPost
May 17, 2013

Geo-conquesting, where a retailer or brand will geo-fence the locations of nearby rivals to pull in consumers, led to a 30% higher click-through rate than standard geo-fencing during the week prior to Mother’s Day, driving foot traffic to over 7,000 stores.

Consumers Want Mobile-Optimized Web
MediaPost
May 28, 2013

According to a Kentico Digital survey, 85% of smartphone owners use their mobile devices to compare information about companies, products and pricing before making a purchase.

Sabermetrics & Search Bid Management; ‘Moneyballing’ the Market

It took some time for the baseball world to accept the forward thinking Bill James. His work in advanced statistics, now known as sabermetrics, attempts to quantify all aspects of baseball to determine why teams win and lose. James’ approach has been highly contested since the late 70’s, but is now becoming widely accepted as a stat revolution in baseball.

My curiosity with Search Engine Marketing (SEM) grew with the acceptance and advancement of sabermetrics in Major League Baseball in the early 2000’s. The similarities between SEM and baseball seemed quite natural to me and easy to correlate. You have a batter and a pitcher, similarly representative of your ad and a consumer. At-bats are impressions, hits are clicks, home runs are conversions and so forth. Slightly more quantifiable stats in baseball, such as Batting Average, Slugging Percentage and On Base Percentage equate very similarly to CTR, Revenue-Per-Keyword and Average Order Value for any given keyword.

The age of “big data” for marketers had me convinced there are new sabremetrics yet to be discovered or written for search which would provide a tactical advantage for my clients in the search auction. The logical correlation seemed obvious and as with baseball, sabremetrics could help smaller advertisers/ ball clubs compete against the large advertisers/ big market clubs as many of us enjoyed in “Moneyball.”

So I began hurling ideas at the whiteboard in the spirit of Old Hoss Radbourn and his 60 win season (minus the alcoholism and shooting out his own eye) – positives, negatives, extrapolating new stats, correlating stats by macro and micro trends and the findings were quite astonishing… as well as completely inconclusive.

Although it seems SEM is poised to enter the age of advertising sabermetrics, it quickly became more complicated than it was at first glance. The issue lies at the root of aggregating data, as with individual players. An individual player will average between 450-600 at-bats per season based upon games played and order in the lineup; however there is no change in competition besides the pitcher. Keywords, on the other hand, may have millions of impressions and in very different market conditions and at different ranks over a short period of time. Factors such as day parting, budget management, geo-targeting, seasonality, competition and current bidding algorithms make the environment too variable to quantify additional metrics beyond our current capacity. Although it would be easy to assume in the age of big data someone could ‘Moneyball’ the SEM space, it doesn’t appear likely. Actually, it appears nearly impossible.

By this point you are probably asking, “So what is the right approach and aren’t you going to share something insightful?” The answer almost appears too simple, considering the complexity of the issue, but it is as basic as implementing strategic, statistical, and active management.

Bid management needs an active eye – a daily glance ensuring you adapt to ongoing market changes. This means multiple rounds of bid optimizations at different points during the week. The statistical layer includes identifying a KPI (Key Performance Indicator) and leveraging the keywords driving your KPIs. The final, strategic layer comprises a variety of external market conditions such as seasonality, inventory and actualized return around various KPI’s to ensure you are maximizing actions for your given budget.

Sabermetrics may have changed the way GMs manage baseball teams and is even impacting other industries, but ad tech won’t be joining the party any time soon. Instead, we should embrace the fact that our industry only rewards those who actively participate in bid management, and those who succeed will earn their way to the top.

IgnitionOne’s Solution to Bid Management

Although developing new sabermetrics for search may not be a feasible solution, there are other technological approaches to addressing this challenge. IgnitionOne utilizes SPOT, which uses proprietary algorithms based on advanced statistical modeling technologies to accurately forecast keyword performance at varying spend levels. This can help marketers determine how aggressive bids should be based on goals and how to optimize spend by keyword to where it will receive maximum impact. By developing a technology solution which aims to provide insights at a level beyond what any new ‘search sabermetrics’ could provide, IgnitionOne can optimize keywords to achieve maximum performance at unprecedented scale.

Free Attribution Webinar June 19 – Sign up Today

On June 19, IgnitionOne will be hosting a webinar “Attribution: Do You Have What it Takes?” that discusses attribution and how understanding which media exposures assist and contribute to a conversion, as well as how attributing credit appropriately can drive valuable insights.

We will discuss not only the technical challenges of implementing true cross-channel attribution, but also how to overcome the political challenges. Using real-life examples, we will demonstrate the huge potential for marketers when they not only properly attribute credit, but also automatically optimize against those insights.

To register for this webinar, click here.

Why Bother with a Search Management Technology?

Every once and awhile, I will come across a single three-word phrase which I never like to hear, but more importantly, I feel is unjustified in this line of work.

“Sorry, no budget”

A colleague I once worked with when I sold ad-space gleefully blurted down the phone to a prospect: “You gotta spend money to make money!” I always look back and smile on that moment. As I’m sure you can imagine, the call ended fairly abruptly, but never the less he made an impact on me.

Progressing in business is all about identifying risk, value and investment potential, then acting accordingly, whether that is investing time in your clients, assets in your workforce, or having faith in that new product. The best way to achieve this progress is by using a search management technology provider to do the dirty work.

The truth of the matter is that every day, you are in a position to make a change which will nearly always guarantee a positive ROI.*

Don’t worry, there is no small print. Those conditions are fairly simple:

  1. Have a large online presence, selling numerous products
  2. Support from a dedicated search team
  3. Contain a typical search spend in excess of £50,000 (or about $75,000) per month

First, with a large online presence, it’s assumed that you will have a vast and complex account and campaign arrangement across the major publisher engines. Furthermore, you are likely to be running a lot of activity through additional channels, such as display and social. You must ask yourself: How much time is spent operationally logging into individual systems to manage these? How much time is spent trying to compare data and draw any meaningful insights to action?

Moving onto your search team, whether in-house or through an agency: how much time is spent analysing difficult to obtain data for optimisation? This is a complex task if done manually; something which a computer can do in a fraction of the time, often with a greater degree of accuracy (sort term promotions, seasonal holidays, etc. are a different matter).

Finally, spend. The more you track, and the higher your click volume, the more you stand to gain: simple economics of scale. While online presence and search explain where the value is generated,  high spend is an indicator that you should now be starting to have those conversations with search management technology providers.

All in all, I approach many clients who exceed the above pointers and spend vast amounts of money in search but are reluctant to use a search technology. I can’t speak for everyone but I think the fact that they understand that such a change is no small feat is an accomplishment in itself. However, not forgetting the large degree of accountability, many senior marketers may be put off by taking that leap of faith.

Call me biased but I would always vouch for the use of a tool.  Whether it’s IgnitionOne’s DMS or another provider’s tool, it’s certainly a conversation worth having.

 

*assuming certain conditions are in place