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Survey: search engine marketing pays off

Posted by Michael Bloch in web marketing (Tuesday May 18, 2010 )

A new report from Internet Retailer confirms what most of us already know – a solid paid and natural search engine marketing strategy and budget really racks up online sales.

According to the Internet Retailer survey, 28.0% of merchants said more than 25% of their web site traffic comes from paid search advertisements and 51.5% stated more than a quarter of their traffic comes from natural search; i.e. the “free” search engine listings.

37.7% of survey respondents said over half of their online marketing budget went towards search engine marketing, being both paid search and search engine optimization combined.

The “show me the money” results? 27.0% reported cranking more than 50% of their online sales to search engine marketing and only 17.0% report 5% or less.

The survey also found Google remains king in search referrals, with over 87% saying Google refers 50% or more of their search engine traffic.

Google also produces the highest conversion rate according to nearly 70% of those surveyed with Yahoo and Bing coming in second and third respectively. However, it seems Bing traffic has a higher average order value in many cases compared with Yahoo. This year, increasing numbers of online retailers will move more of their search engine spend from Yahoo to Bing.

There’s all sorts of other interesting results from Internet Retailers search marketing survey – well worth a read.

In related news, both Yahoo! and Bing grabbed a little more market share at the expense of Google recently according to comScore’s April 2010 U.S. Search Engine Rankings. Between the two they capture over 29% of the search market – an important figure for Bing, which will be providing Yahoo!’s search results soon.


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