Search Spend Declines Slightly, But News Isn't All Bad

  |  January 20, 2009   |  Comments

Search advertisers withdrew dollars in Q4, according to a report from search marketing agency Efficient Frontier released today

Search advertisers withdrew dollars in Q4, according to a report from search marketing agency Efficient Frontier released today. Across the board Q4 spending was down by 8 percent year-over-year, though the retail sector increased its spend by 9 percent in the same timeframe. Some of the findings in the report were reported by the Wall Street Journal, including search in the recession.

By contrast, a slight uptick in search spending was measured by competing firm Clickable. Max Kalehoff, VP of marketing at Clickable, posted Q4 numbers that showed increases in spending among search advertisers over the last four months of 2008.

A breakout of search engine marketing trends and trends by vertical market for Efficient Frontier's report is available over at Search Engine Watch. A few key points:


  • A measured 63 percent year-over-year increase in spend on Google Content spending among spending an index of Efficient Frontier's customers was observed.
  • Finance sector spending declined by 25 percent, with a 16 percent quarter-over-quarter drop in Q4. Impressions were up by 5 percent year-over-year due to customer demand, however fewer qualified conversion reduced CPC by 10 percent.
  • Small advertisers in the U.S. accounted for a greater decrease in search advertising spend than larger, more established brands. Advertisers with budgets of $50,000 or less per month cut spending by 23 percent year-over-year, with many cuts occurring between Q3 and Q4. Larger companies with budgets over $200,000 reduced spending by about 9 percent in the same period.

ClickZ Live Chicago Join the Industry's Leading eCommerce & Direct Marketing Experts in Chicago
ClickZ Live Chicago (Nov 3-6) will deliver over 50 sessions across 4 days and 10 individual tracks, including Data-Driven Marketing, Social, Mobile, Display, Search and Email. Check out the full agenda and register by Friday, Oct 3 to take advantage of Early Bird Rates!

ABOUT THE AUTHOR

Enid Burns

COMMENTSCommenting policy

comments powered by Disqus

ClickZ Today is our #1 newsletter.
Get a daily dose of digital marketing.

COMMENTS

UPCOMING EVENTS

Featured White Papers

IBM: Social Analytics - The Science Behind Social Media Marketing

IBM Social Analytics: The Science Behind Social Media Marketing
80% of internet users say they prefer to connect with brands via Facebook. 65% of social media users say they use it to learn more about brands, products and services. Learn about how to find more about customers' attitudes, preferences and buying habits from what they say on social media channels.

An Introduction to Marketing Attribution: Selecting the Right Model for Search, Display & Social Advertising

An Introduction to Marketing Attribution: Selecting the Right Model for Search, Display & Social Advertising
If you're considering implementing a marketing attribution model to measure and optimize your programs, this paper is a great introduction. It also includes real-life tips from marketers who have successfully implemented attribution in their organizations.

WEBINARS

Jobs

    • Web Writer
      Web Writer (Money Map Press) - BaltimoreDo you have a passion for the markets and investing, and writing? Do you want to spend your days providing...
    • Web Production Specialist
      Web Production Specialist (Money Map Press) - BaltimoreMoney Map Press is looking for a self-starter to perform and oversee the production of daily...
    • Internet Marketing Campaign Manager
      Internet Marketing Campaign Manager (Straight North, LLC) - Downers GroveWe are looking for a talented Internet Marketing Campaign Manager...