Paid search (pay-per-click) advertising is big. And it’s getting bigger. Its bigger than radio advertising, outdoor advertising and cinema advertising. By 2016 paid search advertising is expected to grow 75% and become a $61.1 billion industry. Check out this infographic:

++ Click Image to Enlarge ++

Source: The Future of Paid Search Infographic

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I’ll admit, I was a mobile app skeptic. With HTML 5 integration and innovative web design technologies I thought mobile apps would eventually be pushed aside for more dynamic mobile websites. I thought the mobile website route was more efficient since it is less expensive and more nimble from the content creator perspective. However, the marketplace is proving otherwise. According to a new report from research firm Flurry, mobile app use is outpacing Web browsing. This includes both desktop and mobile web browsing. This is a major development.

Read more about mobile app use is outpacing Web browsing on Flurry’s website.

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Looking back at the year 2010 I see that this blog started off with great intentions but the pace slowed as the year went on. This is partly because a lot happened this year, and I wish I had devoted more time to sharing my thoughts on the major developments as they occurred. Nevertheless, I wanted to share my thoughts on some of the major developments in the world of Internet marketing (from social media and search marketing to branding and technology).

Here are the top five developments, events, news items (whatever you want to call them) that caught my attention this year.

Google Instant Search solves a non-problem

Sure it sounds like a great idea, but its a non-innovative innovation in my opinion. Plus Yahoo already had this back in 2006 and didn’t think much of it. My main problem with instant search is it improve to the search experience. The main issue with search has always been relevancy not speed. Getting irrelevant search results fast isn’t better than getting high relevancy search results a little slower (0.1s slower). Serving highly relevant search results is what made Google, not speed of search. It seems like Google is forgetting this as the years go by and very few of their recent innovation is focused on improving the search experience.

Online ad spending exceeds newspaper ad spending

This just happened in December so it’s fresh news and very significant. While it is not new news, it does confirm what everyone has been saying over the past few years. On the flip side this shift in advertising dollars means the advertising industry will be under greater pressure to deliver a directly measurable ROI. Marketing agencies will need to improve their tracking and reporting mechanisms to build confidence with clients. Furthermore, a premium will be on data analysis to continuously optimize and increase performance. In many ways marketers will need to start moving towards a mindset that CFO’s can appreciate.

Groupon puts social commerce on the map

The recent failed Google move to acquire Groupon signals the rise of social commerce and the role it will play in the coming years. However, I’m not sold on the Groupon business model because too many retailers who have used its service have indicated that they will not be using it again. This is a big problem in my estimation and indicates that once the novelty of the idea fades it will become more difficult to sustain. Groupon should have taken the Google offer, because in a year their valuation will be significantly lower.

Facebook becomes ubiquitous

It’s hard to ignore a company that is becoming increasingly ubiquitous to the web experience. From sharing data with third party sites like TripAdvisor to churning out new features, the company is always in the news. While I think marketers are spot on to try to engage customers on this social networking site, I question outsourcing company web functions to Facebook. Its akin to moving from a house you own to a rented apartment. Using precious marketing dollars to advertise your Facebook page is counter productive and very short term thinking. Marketers need to think more long term and need to figure out a way to develop their brands through social networks but still retain domain equity in the process.

The iPad paves the way for the tablet

I’m not a Mac guy and I don’t have a puppy love crush on everything Apple does. Having said that I tried a Mac laptop earlier this year and it only confirmed my thinking. I know Apple is an innovative company and it bring lots of great products, but for some reason their market share seems to tap out and the mass market always seems to move towards a better performing, lower cost alternative (see the rise of Android). I think the iPad is significant because it has now positioned the tablet as a viable product alternative to laptops. However, in a few years Android based tablets will surpass the iPad in adoption and use and relegate the iPad to secondary status.

So, there you have it. My thoughts on what I perceive as the major events of 2010. It has been a tremendous year but I’m looking forward to 2011 and all that it will bring!

Finally, I’d like to wish all my readers a very Merry Christmas. I hope you have a great celebration this season and are greatly blessed and enriched with family and friends.

Thanks for reading.

Top Photo: Slideshow Judge on Flickr
Side photo: Dan Taylor on Flickr

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With the way technology is changing there is quite a robust debate on whether it is better to have a mobile application or a mobile website. I know there is no hard and fast answer – and many situations both may make sense.  There is certainly a balance given the cost of  developing applications across multiple platforms and the loss in functionality on a mobile website. Here are some very interesting perspectives from technology experts that can help clarify the confusion – or add to it!!

Time Inc., Hachette execs go head-to-head on mobile Web versus app debate

NEW YORK – While Time Inc. and Hachette Filipacchi Media both have mobile Web sites and applications, executives from each company took different stances on the debate at Netbiscuits Partner Day 2010.

One the one hand, client applications are red-hot right now and can offer a richer device-specific experience than a mobile site. However, the mobile Web offers greater reach than downloadable applications—a mobile-optimized site can overcome the fragmentation of the various App Stores and mobile operating systems.

“The mobile browser is the killer app—mobile Web sites will come up in search results, as opposed to downloadable apps, where discoverability is an issue,” said John Paris, director of mobile products at Time Inc., New York.

Read full article.

Does HTML5 make mobile app downfall inevitable?

An Adobe Mobile Study found that consumers prefer the mobile Web over smartphone applications, which has huge implications for mobile advertisers, retailers and content providers.

Within the consumer products, shopping, media and entertainment categories, 66 percent of respondents cited that they prefer the mobile Web for accessing content compared to 34 percent who cited a preference for downloadable applications.

“I am not a great proponent of apps as a commerce destination to drive reach and frequency with your shoppers,” said Gary Schwartz, president of Impact Mobile, New York. “There is tons of value for the shopper in certain apps but they do not necessarily drive your retail sales goals.

Read full article.

The end of the app

Coming years

Now, with my thoughts on applications, I believe that in the coming years mobile developers will not be out of work. But I doubt that most of the mobile developments will be in application. The only reason we use applications is because the mobile browsing experience is not very user-friendly at the moment. The fact that we need to download, install and click on an application for every little thing is pretty awkward.

HTML5 is great for usability and easiness of use, both for the developer and the user. However, it is not a set standard yet. That HTML5 will end the immense amount of application developments is pretty sure. On the development side there is a huge advantage with HTML5.

No need to develop your application for all existing and new platforms, such as Bada, Android, Symbian, Maemo, BlackBerry,iPhone and Windows Mobile – it just works.

I think it is fair to predict that improvements to mobile Web browsers such as HTML5 and Flash will render the vast majority of applications obsolete. I give it another three to four years max.

Read the full article.

Adobe CTO Kevin Lynch Defends Flash, Warns HTML5 Will Throw The Web “Back To The Dark Ages Of Video”

Adobe’s Flash technology has been taking a beating lately. Apple still won’t support it on its upcoming iPad or its iPhone. Steve Jobs calls it buggy and crash-prone and dismisses Adobe as being lazy. Adobe is trying to fight the negative vibes emanating from Cupertino and elsewhere. It has already pointed out that it will be easy to convert Flash apps into iPad apps, and now CTO Kevin Lynch is weighing in to defend Flash.

Read the full article.

So, where do you stand? Would you recommend a mobile application or a mobile website? Or both? I don’t think neither is an option anymore.

photo credit: Benjamin Humphrey

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One of the best aspects of online marketing is the ability to measure performance almost instantly. Most webmasters these days know to have a form of web analytics software that provides insights on visitors, traffic performance etc. I use Google Analytics for this exact purpose as do most of the clients I work with. While Google Analytics is great for measuring the performance of the visitors to your website is is also helpful to be able to tie this performance directly to your online ads and activities. In other words you need to be able to measure your clients activities a full circle in order to maximize your marketing.

This is where the integration of Facebook Insights with Google Analytics becomes powerful. Until very recently Facebook didn’t offer a sophisticated analytics package. Facebook Insights was useful but in reality it wasn’t really that great. And to top it off analytics was only available if you had paid ads on Facebook. There was no real way of measuring the other things you were doing in your marketing efforts. So, for instance Facebook Insights wasn’t as useful if you were running a social media outreach and wanted to measure the performance of this traffic in Google Analytics.

Well, worry no more, Raven Internet Marketing, has introduced a tool called The Facebook Tool that is designed to fill this void. This tool helps you to manage and analyze multiple Fan Pages. The goal is to help you improve your efficiency. Plus this tool works seamlessly with Google Analytics providing that 360 view of your market.

Here is how the tool can benefit your social media campaign (from The Social Times):

• Gain better understanding of the performance of Fan Pages beyond what is provided by Facebook Insights
• Create custom, white-labeled reports on the data
• Schedule updates to ensure updates are posted during high-visibility periods
• Manage multiple Fan Pages all from within the Raven system
• Assign clients and management read-only access to view metrics at their convenience

Check it out and let me know what you think.

photo credit: The Car Spy

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I just noticed a sponsored link on Google Local Search while searching for a meeting venue in Phoenix, AZ. I noticed that the local map listing had a “sponsored link” section. I had never seen this before. I did some investigation and found that this comes from connecting your Google Places account to your Google AdWords account. In addition to connecting your accounts you then have to activate the connection. I don’t know if this is going to be a permanent feature – but apparently you’re not paying to be listed first (this only shows up on the second listing). So, the advertiser is only paying for a link. At this point its hard to be sure how that plays into the cost and value of using this feature. However, right now this feature can offer you a competitive advantage since not too many advertisers are aware.

Online reviews are the rage and while not every company may be soliciting them, customers on the other hand seem eager to post them online within any forum they find comfortable. Open ended and non-solicited customer reviews can be a very positive element for a company’s marketing.  This is because they’re genuine and consequently the most persuasive as well. Due to the pervasive nature of reviews and range of sites across the Internet companies oftentimes do not even know what is being said about them – let alone address the negative comments.

Oftentimes the topic of reputation management is not discussed as part of the marketing strategy. However, with information dissemination facilitated by the Internet and the explosion of social media, online reputation management should be one of the items to consider as part of you an overall marketing strategy. One negative comment that resonates with your customer base could undo years and years of careful brand management and messaging. Online reputation management in one aspect of social media that can have an immediate ROI for your company. So, your reputation on the web needs your complete and full attention.

Getting Started with Online Reputation Management

When considering online reputation management it is very important to have a strategic  framework for not only monitoring what is being said on the Internet about your company, but also to devise a mechanism for responding to negative comments and positive ones. The full scope of work should include the following:

1. Set up alerts with the major search engines and follow through to the links as the alerts are delivered.
2. Monitor social media sites, review sites, and online forums. It may be necessary for you to create accounts to do this.
3. Develop a company wide mechanism for responding to negative comments within 24-48 hours.
4. Respond appropriately to positive comments. You do not need to respond to every one of these but at least a few. It will make you look genuine.

Online Reputation Management Software Tools

The suggestions above are meant to be an initial start. In order to be proactive and totally alert you may need to deploy specialized online reputation management software programs. I would recommend any specialized software that is specific to your industry. This will make the process of staying on top of the conversation easier.

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I’m really curious to see how Microsoft and Yahoo merge their two independent PPC systems.  Account transitions are slated for October and from what I understand all Yahoo accounts will be converted over to Bing AdCenter accounts. This means your AdCenter account will not be affected but if you have a Yahoo Search Marketing account then you may be in for a bumpy ride.

Joseph Kerschbaum over at Search Engine Watch has a detailed article on the status of the transition as well as how differing features between the two systems will be managed. There is reason to be apprehensive of the transition and Joseph has this suggestion:

Hopefully, all of the account transitions will go smoothly and advertisers won’t feel too much discomfort during the change.

However, I have one tip that is pretty straight forward and should save you a lot of headaches. To avoid all of these account merger issues, you should just open an adCenter account now and build it exactly how you want it. If you already have an adCenter account, then you’re already covered and you won’t need to do anything.

Take a look at Joseph’s article to see why he makes this recommendation.

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An online community is an interactive group of members joined together by a common interest.  An online community can be one of the most powerful tools a marketer can deploy for retention, word of mouth marketing, and market insight. To host a successful community it is important to focus on objectives, chart a road map, assemble the right team, and plan to be flexible. Then launch the community with the backing of your most enthusiastic customers and stay engaged as the community grows. Above all, all successful communities are aware that control is in the hands of the members, so it is vital to put their needs first, build trust, and become an active part of the community. The host needs to learn to be a host and not a policeman.

Over the past decade many companies have launched online communities. There is good reason for this. Online community members visited Web sites nine times as often, stayed five times as long, and represented 65% of sales, according to a recent McKinsey & Company survey. A 2006 survey of midsize and large companies suggested that 89% of them had adopted at least one of six community-building tools, such as blogs, wikis, social networking, or content-tagging. There is therefore a great movement among companies to adopt a form of online community best suited to reach their business goals.

Benefits of an Online Community

When starting an online community it should be open to everyone interested in participating in the forum. While there will be certain restrictions imposed on the community in terms of topics and language, these will be performed with community goals in mind. In my opinion there is nothing wrong with establishing an online community  primarily as a marketing platform for your company.

There are many benefits to establishing an online community. Here are a few:

• Facilitate conversation among customers, prospects and other stakeholders
• Marketing platform for products/services
• Social media presence
• Brand building tool
• Create a self supporting user base for customers
• Gain insights into target market

Online Community Management

After setting up an online community there are a few things you need to be aware of in order to have a successful and vibrant community. Once members have signed on and agreed to the terms of participation, managing the conversations and fostering an environment of trust will be critical. To ensure the experience is beneficial for all  parties provide the following as part of the community management process:

1. A clear and concise purpose statement for the community which is visible to all members at all times.
2. Communicate the goals for the community to its members on a regular basis.
3. Develop and enforce community rules for engagement in order to maintain a fair, safe, neutral and professional environment for participants.
4. Pre-post content on the forum within 15-20 relevant categories. This ensures the forum is not deserted with the first members arrive.
5. Ensure all participants feel welcome when they join the community.  For example send an introductory gift card once a member comes online and creates a discussion thread for the first time.
6. Create a climate of trust and open communication.
7. Devise a membership reward system to encourage participation and discussion.
8. Create a regular fun activity to enjoy the lighter side of online community engagement.
9. Monitor popular topics on a regular basis in order to gain insights.
10. Monitor subjects that raise the most passion in the online community.
11. Identify the most influential members of the community and seek their assistance in community development.
12. Directly communicate with members as needed.

photo credit: Leah Gregg

photo credit: woodleywonderworks

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It had been a few months since I looked in my Google webmaster tools account. All the sites I  own and operate are in this account and it’s rare for me to not be checking this account, but for some reason I just haven’t done it the past few months. When I log-in I can literally spend hours just going through all the information. It is amazing what you can learn and how you can improve your website through the data in the webmasters account. The information can help you optimize your website, improve traffic and conversions (if you’re e-commerce website).

Here are some of the  golden nuggets that can have an instant positive impact on your website:

1. View the top search queries driving traffic to your website. This gives you a picture of how relevant the traffic is that is coming to your website. It can help you answer  why visitors may not be signing up for your e-newsletter or, not purchasing your product. At the end of the day if you’re getting lots of visitors but they’re arriving based on completely irrelevant search queries, then you have a problem. You can see this in the search queries section. As a side note there is now an enhanced graphical presentation that makes guys like me drool! Here is what I’m talking about:

2. View the sites that link to your website. Which can give you a great idea of where you need to focus your link building efforts. Perhaps your SEO is not where it is because you don’t have the right set of domains linking to you.

3. Status of the sitemap you’ve uploaded to Google. You need your sitemap current everyday. If you don’t have a sitemap uploaded one up NOW!

4. The significance of your website in relation to your top sought keywords. You might think your website needs to be found for “XYZ” keyword, but what is your content saying to drive traffic on “XYZ” keyword searches? The significance scale can help you make the necessary changes to your content.

5. A bunch of diagnostic tools so you know where the Google spider is going, where it’s not going and where it’s failing.

If you have a website and don’t’ have a Google webmaster tools account, then you need to get one set up. I suggest you regularly log in to your webmasters tool account so you can stay ahead of the curve!

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