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Cyber Monday Search Ad Spend Up 23 Percent

Posted on 11.29.2011

Digital marketing software provider Kenshoo has released its findings focusing on paid search advertising activity on Cyber Monday and the week leading up to 2011’s busiest day of online shopping.

Kenshoo examined more than 12 billion total search advertising impressions, 160 million clicks and 3 million online sales transactions across U.S. online retail advertisers.

The Cyber Monday findings include the following:

•    Online search advertising spend increased 23 percent year-over-year (YoY) on Cyber Monday

•    Online retail revenue driven from search advertising increased 6 percent YoY on Cyber Monday

•    Average search advertising cost per click (CPC) increased 13 percent YoY on Cyber Monday

•    Online retailers' return on advertising spend (ROAS) decreased 13 percent YoY on Cyber Monday

•    Total sales driven by search advertising for the week leading up to Cyber Monday increased 22 percent YoY

By comparison, Kenshoo’s Black Friday findings showed a 29-percent increase in revenue driven by search advertising on Black Friday and a 40-percent revenue increase on Thanksgiving Day.

“Cyber Monday showed continued year-over-year gains on all key volume metrics, but the lifts were not as dramatic as Thanksgiving Day and Black Friday,” says Kenshoo chief marketing officer Aaron Goldman.

“It appears that retailers and shoppers front-loaded their activity to get a jump on the holiday season. Overall efficiency metrics are down slightly year-over-year with increased competition in search advertising auctions inflating cost-per-click prices for retailers.”


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