By Jonathan Baker and Jim Pasqualone, EGC’s Senior Director of Digital Growth O.K., so that is not the exact quote from Shakespeare, but it still applies today. To bid or not bid on your own brand terms has been an age-old question that Shakespeare himself would still question. New data and a new thought process suggests that bidding on brand terms causes advertisers to over-pay and ultimately hurt your results. The Battle of Brand Term Investment A recent study posted in Search Engine Land provided insights marketers should consider before engaging in a bidding frenzy to promote their own brand terms on Google. A study conducted years ago by the iconic search engine note that, when paused, most paid search ads are not replaced by organic clicks. This discovery led to the pursuit of “brand term investment” on Google, which has been a leading form of ad strategizing for more than a decade. There were two points (or shall we say “loopholes”?) this study did not address… The scenarios presented by Google were “what if” situations where a brand is facing off many competitors. (The reality is that not many ads are a particular threat in many competitive search results.) Instances where paid clicks replaced organic clicks unnecessarily, which led to extra expense on ad spend (which translates into throwing money out the proverbial window). Are you inadvertently overpaying on ad spend? It can happen. Old habits die hard. And now, with a new year upon us, you can make adjustments that will save you money and cut back on the stress from over-bidding. Let’s begin by re-evaluating the organic listings for your brand. Go Organic The Search Engine Land article states upfront that organic listings are as effective as paid listings as far as reaching a brand’s target audience. This is especially true if a potential customer enters detail-worded queries—such as branded terms and product descriptions—into the Google search bar. In short, customers who put extra effort into seeking what your brand is offering will be matched through an organic search—even amid competition. A Lesson in Customer Loyalty Let’s say you are still worried about being edged out be a competitor offering a lower price for the same or similar product—known as “brand conquesting.” You believe overbidding on paid ads is the answer. Here’s another reality to take comfort in: Most customers will continue their intention to purchase from the brand they sought out online, particularly if they have had previous positive experiences. The results from brand conquesting that do happen are minimal. This then poses the question: When should brand bidding (re: paid) be used in marketing? Knowing When and Where Yes, there are times when brand bidding is the better choice in certain situations, which include: Reputation management: Paid messaging is effective for guiding users to the right page to click, especially for resolving any questions, concerns, or complaints about a brand. Promotions with a specific time limit: When a brand needs to get the message out about special “limited time only” offers quickly and prominently. New products: A page for a new product more than likely will not be discoverable via an organic search, so paid ads are beneficial here. Genuinely high competition: A paid search is worth the money spent during especially high-volume buying-and-selling periods, such as the holiday season. (Then, once the season is over, marketers can switch back—and save—through organic search. Conclusion The effort that all-too-many marketers put into over-bidding for brand terms should be channeled into carefully choosing which strategic approach to take. If you have questions or doubts about how to best promote your brand on Google, contact The EGC Group. We will analyze and decide on the strategy that will pay off for you (not the other way around).
