All 2 entries tagged Downturn

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January 16, 2009

Bidding on Failed & Bust Company Names | Latest 2009 Downturn Lessons

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The downturn is accelerating fast in the midlands region. In November many of the companies I rushed around could see very little to concern them but the list of failed customers, suppliers and competitors has accelerated over the holiday period.

Zavvi Store FrontStrong companies could sit back and rationalise that the market needs to lose some capacity. Except that my stories now place all of the failed and bust conpanies within somebody elses supply chain. The most famous victim was Zavvi on the high street being taken down by the failure of their major supplier, the distribution arm of Woolworths.

This year, already, clients have informed me about many competitors going under and I have run Adwords Campaigns on 7 bust company names in 4 distinct industry sectors. These ads will only work for a short period so time is of the essence. Clients have been able to take up the urgent orders that the failed company have left behind.

You need to be very careful with bidding on any competitors name, even if they are in administration as these can continue as going concerns, be subject to buy-outs etc. If you have a competitor that gone under – get in touch with Rob at PPC Promotion now!

If you believe that a competitor is bidding on your company name or brands then the simplest response is to bid on your own brand to increase the costs to them.

October 31, 2008

Credit Crunch, Recession, Increasing Adwords Competition & the new Google Adwords Quality Score

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PPC Promotion Ltd AdAll the recent bad news and forecasts of recession, whether exaggerated or prescient, is having the effect of driving more business to Adwords. Vanity marketing on broadcast media and glossy supplements is cut while spending on marketing where you can measure the cost per acquisition has increased.

Reduction in Adwords traffic due to increased competition in 2008.The number of competitors has been growing. Today there are 226 potential text Ads for the term “cnc milling” five times as many as a couple of years ago! There are many of these that are irrelevant or poorly written but even well constructed ads now need to bid over £1 to appear on the first page such is the desperate competition. (Campaigns that perform well can bring their bids down from these highs.)
Even in less competitive areas I have seen a remarkably consistent linear reduction of clicks for campaigns with a fixed budget. I have seen this 2008 trend in the graph, right, in over a dozen campaigns.

Google Adwords new Quality Score available using The way Google manages Keyword quality scores has also changed. You will no longer see “Keyword disabled” as the quality score is calculated dynamically. With an ‘OK’ or ‘Poor’ QS rating the keywords will just be shown less often and at less competitive times.
If you hover over the Magnifying Glass icon by your keywords, see example left, you can now see your Quality Score as a mark out of 10.

The lessons are that Adwords advertisers need to constantly monitor their campaigns and constantly test and improve. They need to improve their conversions, not just their traffic, to build their business not just Google’s.

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