I recently read an article on the decline of paid search traffic in the last year due to the recession. The article noted that pretty much across the board the numbers were down for all results for paid search traffic except for the category of education. Apparently all the people that have lost a job or are still in danger of loosing a in the last year or the near future are searching for further education or re-education. The article went on to profess how the amount of clicks to big brand big name companies like Orbitz and other companies of that size and bigger are seeing declines in their results.
Well that’s a no brainer isn’t it? The point about the amount of money big companies are spending on search market advertising. There comes a certain point for the big brand name companies that you have to wonder why they would spend even a penny on search engine marketing? For example if you want to find something at a big brand store like Home Depot or Wal-mart are you going to go to a search engine to look for those names? No of course not you are going to type in walmart.com or homedepot.com just like everyone else.
These are companies that have gone beyond the tipping point of flooding the internet marketing scene with their name brand and their website address. Especially in a recession like we are in right now I would be very surprise if any of the big nationally know companies are spending any marketing or advertising dollars on search engine marketing. Which to me leads to the more obvious point as to why the amount of dollars spent on paid search traffic is down as much as it is. Big name companies have wizened up and realized that they can allocate their marketing dollars and marketing budgets on things that are more cost effective.
So why did I point this out? Well to me that article I was reading came across as another one of those negative doom and gloom blurbs that the economy is in this terrible tail spin. Enough already for goodness sakes we get it, the economy is in a mess we know! To me I just thought that the more obvious reason as to why paid search traffic spending is so down is probably because some of the standard big spenders in the past have smartened up and realized that they get the same results for the most part with out having to pay for their search engine traffic because they have gone beyond that tipping point like I said and their brand names and websites are known on a national level. Why spend good money on something that everyone know by now like your website address. Larger companies should not be spending budgets on stuff like that and that after all is good business sense.
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