Dana Todd presented on the key findings from the 2011 SEMPO Global Survey on the state of search marketing. Some of the main highlights included: - 91% of brands and agencies are doing SEO activities while social media adoption has grown significantly since 2007. - 58% of brands say social media and search are handled separately within their organizations. - Agencies are seeing the impact of mobile internet and rise of tablets on search efforts as highly significant. - Brands' top objectives for SEO are driving traffic while for social media it is increasing awareness and reputation. - Measuring ROI is the greatest challenge brands face with social media marketing.

1. Presented by:
Dana Todd, VP Performance Innovation at Performics
2011 STATE OF SEARCH
MARKET REPORT

2. Tweeting? @danatodd #DEast11
Who’s the Chick with Purple Hair?
• SVP Marketing at Performics
• Co-founder and former Chair of SEMPO
• Founder of Newsforce and SiteLab
• Expert witness, advisor to industry and analysts
Performics is the performance marketing
agency for ZenithOptimedia, part of
Publicis Groupe - the world’s third
largest communications group and top
global spender in search!
2

3. Key Highlights of the
2011 SEMPO Global Survey

4. Signs of the Apocalypse?

5. Facebook is
eating the
Web!!!

6. BRANDS:
Which activities are you doing?
Is search
95% declining?
91% 91%
SEO 90%
90% 89%
86%
85%
81%
80% 79%
78%
75% 74%
72% 72%
PPC 70% SOCIAL MEDIA
70%
2007 2008 2009 2010 2011
Is social
eating it?
Note: ‘Social media marketing’ was a new option from 2010.

7. How will your Organization’s SEO Budget
change in the Next 12 months (2011)
All Respondents
© Conductor & Econsultancy 2011
Number of Respondents: 352

8. AGENCIES:
Which activities are you doing for clients?
95%
91%
90% 89%
87% 88%
86%
SEO
85%
83%
82% 82%
PPC
80%
77%
76%
Wha-? 74%
75%
Who is
doing the
70% SEO?
68%
SOCIAL MEDIA
65%
2007 2008 2009 2010 2011
Note: ‘Social media marketing’ was a new option from 2010.

9. BRANDS:
What service provider do you use for SEO?
60%
51%
50%
44% Outsourced SEO on the rise?
40%
30%
20% 22%
20%
11%
10% 7% 6% 5%
5% 6% 4%
2% 3% 4% 3% 2% 2% 2% 1% 1%
0%
2010 2011
Respondents 2011: 244
Respondents 2010: 393

10. BRANDS:
What service provider do you use for social
media marketing?
Moving from in-house to social media specialists and more general
digital/marketing/ad agencies
…
70%
Search Specialists
62% getting smallest
60% 55%
part of social pie!
50%
40%
30%
20%
12%
9%
10% 6% 8% 7% 7%
4% 6% 4%
2% 4% 3% 3% 2% 2% 1% 2% 1%
0%
2010 2011
Respondents 2011: 244
Respondents 2010: 393

11. 58% of Brands Say Social Media and Search are
Handled Separately!
70%
60% 58%
49%
50%
40%
33%
30% 29%
2010 2011
20% 18%
13%
10%
0%
Social media is very much part of We treat social media and search We don't do any social media
our search activity engine marketing separately marketing
Respondents 2011: 245
Respondents 2010: 389

12. I don’t
wanna be
an SEO

13. Spend on SEO by company size (revenue)
100%
6%
14% 14%
90% 10%
80% 38% 38% 38%
26%
70% 28%
36% 67%
60% 80%
19%
50% 23% 25% 25% 100%
24%
40% 21%
30%
25% 33% 25%
20% 34%
21% 33%
32%
10% 20%
13% 5% 13%
7% 5%
0% 3%
Less than $1 million $1m - $10m $10m - $100m $100m - $1 billion More than $1 billion

14. Social Media Budgets are Significantly Lower
60%
50%
50%
47%
40%
30%
23%
19%
20%
14%
9%
10% 7% 8%
5%
4% 4%
3%
2% 2% 1%
1% 1%
0%
0%
2010 2011
Respondents 2011: 98
Respondents 2010: 262

15. My Challenge…Your Opportunity

16. #1: Learn some
New Math Skills

17. AGENCIES:
Describe your use of social media in the context of
your search engine marketing activity?
Social media is very much part of our search activity
We treat social media and search engine marketing separately
We don't do any social media marketing
100%
7%
13%
90% 40% of you are
80% NOT integrating
Social and 39%
70%
39% Search
60%
50%
40%
30%
54%
48%
20%
10%
0%
Respondents 2011: 470
2010 2011
Respondents 2010: 697

18. BRANDS
Top Objective for SEO
45%
42%
40%
35% 34%
32%
30% 29%
26%
25%
Traffic
20%
Leads
18%
15%
Sales
10%
10%
6%
5%
Cust Svc
Awareness 2%
1%
0%
Reputation
Drive traffic to web site Generate leads Sell products, services or Increase brand awareness Improve customer service /
content directly online / enhance reputation customer satisfaction
2010 2011
Respondents 2011: 213
Respondents 2010: 365

19. BRANDS
Top Objective for Social Media Marketing
60%
51% 51%
50%
Awareness
&
40% Reputation
30%
20% 19%
17%
16%
13% 12%
Traffic
10% 8% 8%
4%
Leads
Cust Svc
0% Sales
Increase brand awareness Drive traffic to web site Improve customer service / Generate leads Sell products, services or
/ enhance reputation customer satisfaction content directly online
2010 2011
Respondents 2011: 185
Respondents 2010: 281

20. BRANDS:
What are your greatest challenges when
managing social media marketing efforts?
Measuring the ROI 61%
Integration and measurement with other online/offline
37%
marketing channels
Making the business case for investment 34%
Getting budget 27%
Obtaining executive buy-in 24%
Hiring and retaining talent 14%
Determining whether to do in-house or outsource to an
13%
outside firm
Optimizing destination pages 13%
0% 10% 20% 30% 40% 50% 60% 70%
Respondents: 176

21. 21

22. Search Marketers
need to reposition
out of
Direct Response
and into embracing
the world of
Brand
Marketing, Brand
Math, and
Brand Metrics.

23. #2: Forge New Frontiers

24. BRANDS:
In the context of your search marketing efforts, how would
you describe the impact of the following trends and
technologies?
100%
90% 21% 20% 23% 26% 31%
80% 39% 34% 39%
42% 47%
70% 55%
60% 39%
49% 49%
50% 47%
43%
36% 33% 48%
40%
47%
30% “Rise of mobile Internet” – 39%
36%
20% 40%
40% of brands say “Highly Significant” Impact
30% 29% 27% 26% 25% 25%
10% 18% 14% 14% 10%
0%
Highly significant Significant Not significant
Respondents: 243

25. AGENCIES:
In the context of your search marketing efforts, how would
you describe the impact of the following trends and
technologies?
100%
90% 16% 16%
23% 23% 26% 29%
80% 37% 39%
49% 52%
70% 56%
37% 41%
60%
46% 47%
50% 48%
38% 50%
40% 44%
30% 39% 39%
35%
20% 47% 47%
43% of agencies say “Highly Significant” Impact from mobile
31% 30% 26% 25%
10% on their search efforts 22% 16% 12% 9% 9%
0%
Highly significant Significant Not significant
Respondents: 470

26. Expect the Unexpected! Tablet are Killing it!
26

27. #2: Staying Relevant Requires Soul Searching
• Apply your tactical strengths to new situations
– Keyword research  market research
– Search visibility gaps  brand gaps
– Content optimization  content creation
• Unbundle and rebundle services
• It’s not about Search, it’s about Intent
• Deliver Experiences, not Rankings
• Learn from social media: it’s all about the Participant

28. Join Today - only
$125 for Individual
Members!
THANK YOU!