Instant Impact: Paid Search Spending Climbs
The latest Global Search Spending Analysis, released each quarter by search marketing software firm Covario, reveals some interesting trends since the September launch of Google Instant and the summer integration of the Yahoo and Bing platforms. Encompassing search spending on all of the major search engines by Covario’s technology and electronics client companies, the report provides a valuable snapshot of the paid search landscape.
Findings in the third-quarter report included the following:
• Paid search advertising was up nearly 20 percent since the previous quarter, and an astounding 47 percent higher than the third quarter of 2009.
• 2010 paid search spending growth is headed for a 20-percent year-over-year increase
• Google Instant has already led to 20 percent higher click-through rates on the Google engine, with the overall proportion of paid search clicks up by 4 percent at the expense of organic search
• Paid search spending on Google was up nearly 18 percent from the second quarter, and 34 percent from the third quarter of 2009
• Paid search budgets on the combined Yahoo-Bing platform increased by about 5 percent overall in the third quarter, and the combined global market share rose to more than 22 percent (27 percent in North America)
• Bing had its first market increase since the fourth quarter of 2009
Covario is one of the largest independent SEM and SEO firms in the U.S., and the combined annual paid search advertising spending of the brands represented in the report exceeds $250 million. The analysis spans the first quarter of 2007 through the third quarter of 2010, and all of the data was compiled using the Covario paid Search Insight software solution.