How to Craft a Compelling Offer for Search Engine Marketing (SEM)
How to Craft a Compelling Offer for Search Engine Marketing (SEM)
The best way to motivate a click online is to make a compelling offer and provide an urgent call to action. We all know this.
But when it comes to search engine advertising, like Google AdWords, you need to think about your offer and call to action a bit differently.
Two important considerations drive your offer strategy:
- You only have 95 characters, spread over 4 lines of type, to play with
- Since you are paying for each click, your ROI depends more on quality than on quantity
The secret is coming up with an offer that attracts qualified prospects, to maintain conversion rates, instead of bringing in tire-kickers who are only interested in getting a quick deal, and won’t actually buy.
In direct marketing offer theory, this is called managing the “offer equation,” which says that response quality is typically inversely related to response quantity. In other words, the sweeter the offer, the higher the response, and the less likely the respondents are to become profitable customers. Conversely, a lower response brings in more committed prospects, who are likely to prove more valuable—just costlier to acquire.
So the ideal in search engine marketing is to identify an attractive offer that also qualifies. And, it needs to be very simple, so it can be communicated with minimal investment of your precious 95 characters.
Here are some excellent offers that serve both purposes: simplicity and quality control:
- Free shipping. An excellent way to differentiate yourself in a highly competitive environment. Free shipping is very appealing, but because it is only redeemed on purchase, it’s perfect at equation management.
- Free trial. Another classic equation management tactic. Only people who are serious about your product will be likely to take it on trial. But you still get the power of the word “free.” In the tech world, a free software download has been a proven winner of this type.
- Free gift with purchase. Another way to motivate conversion, versus mere click-through, and easy to explain. But it does take up a bit more real estate than free shipping or free trial.
- Free information. Always a popular and productive offer in business markets, where buyers need detailed information as part of their purchase process. Examples include free case study, research report, or white paper. Qualifies beautifully.
To be avoided are generous offers that motivate high response but poor quality. A free mug or t-shirt, with no strings attached, for example.