Don’t Put All Your Eggs Into One PPC Basket

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March 5th, 2008 by Click Consult

Any good business man knows the theory behind conglomerates and diversification, the corporate strategy that was all the rage in the 80s and is still employed somewhat successfully today by the likes of Siemens and General Electric. By operating in a number of markets and business sectors, you can spread risk and hedge your bets. If one industry under your umbrella is in decline, you can withdraw investment and allocate more financial resources to an industry with better growth prospects.

This strategy can also be applied to Pay-Per-Click (PPC) marketing. Many companies only advertise on Google and don’t bother with Yahoo and MSN. Although Google commands around two thirds of the market for internet searches, its traffic volumes are very volatile and can fluctuate wildly by the day or even by the hour. Indeed, traffic volumes on Google are like the weather – hundreds of variables must be considered and you can only paint Google with the broadest brush when it comes to predicting traffic trends. The same goes for conversions – a great week on Google can easily be followed by a week where your Cost Per Conversion rockets.

Therefore, it is important the spread risk across three search engines and not just one. If your PPC is performing badly on Google, Yahoo and MSN campaigns can act as an insurance policy or a back up.

Moreover, by having live campaigns in Google, Yahoo and MSN, you know that your keywords will be covered in 99% of all internet searches. So whenever anyone uses a search engine to look for something you offer, your sponsored link ad will appear to them 99 times out of a 100.

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