Whether you run a Fortune 500 company or a sole proprietorship, effective search engine marketing (SEM) programs begins the same way. Surprisingly, companies often dive in prematurely--and develop severe headaches when they discover they've dived into an empty pool. Solid SEM requires solid--but simple--preparation.
1. Bring the big picture into focus. What are you trying to accomplish with SEM? The trick is to develop objectives with the right degree of precision--
Too broad--"More business."
Too specific--"20% more unit sales of Product X to new customers in the Pacific Northwest by December 31."
About right--"By 2008, annualized sales growth in Category Y products that exceeds overall sales growth by 5-10%."
2. Bring the small picture into sharper focus. While example #2 above is probably too specific for the big picture goal, it's about right as a tactical objective. The more clearly you define your tactics, the more precisely you can target keyword selection, pay-per-click campaigns, and other SEM activities.
3. Establish an annual budget. How much are you ready, willing, and able to spend? What level of ROI is acceptable? If you have long-term objectives and clear tactical goals, these calculations become much easier to work out. Without a budget, a company encounters two serious risks--
--Agonizing over monthly expenditures and giving up too early; or,
--Ignoring monthly expenditures and sticking with ineffective programs too long.
An attractive feature of SEM is its measurability. Campaigns can be monitored and improved along the way, but in order for that to happen, there must be something to measure. Obectives and budgets don't guarantee success, but they do guarantee you'll recognize it when it occurs!
