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| Search optimisation makes a comeback |
| 08.24.04 (7:16 pm) |
25 August 2004
Search optimisation makes a comeback Susie Harwood
Traditional search engine optimisation (SEO) looks set to make a comeback as the paid listings market becomes saturated and cost-per-click (CPC) rates rise.
Paid listings services like Espotting, Google and Overture have had massive growth and now account for over 40% of UK online ad spend. But traditional optimisation to improve position in natural search results has been neglected.
Jupiter Research analyst Julian Smith warned, 'CPC rates are rising rapidly and it's unlikely that response rates will rise as fast, which means returns will diminish and cost effectiveness of paid listings will reduce.'
More importantly, said Danny Sullivan, editor of Search Engine Watch, many users - as many as 70% - don't look at paid listings at all, while new software is capable of stripping out paid search ads.
'Ideally you need to be doing both paid search and traditional optimisation,' said Sullivan. 'Companies that only do one or the other are making a terrible mistake.'
Both believe traditional SEO will see a resurgence over the next couple of years. 'I think people are starting to recognise that they have to focus as much on natural search as paid search,' said Smith.
Stefan Bardega, head of digital at direct marketing agency All Response Media, agreed. 'We're already seeing the pendulum swing from paid to natural in the more mature online industries, such as gambling, where average CPCs have forced advertisers to assess their search marketing strategies.'
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