value based charging models for paid search, net media planet , nma interactive summit 2008

Thriving in a difficult climateAn innovative approach to Paid Search charging models

Agenda

• What you pay your Paid Search Agency to do

• Paid Search Agency Charging Models

• How Campaigns are Optimised

• The Advantages of Value-Based Remuneration

• The Challenges of Value-Based Remuneration

• Suggestions on how to Structure Yours

Upload to Engines

Complete Transaction

Review Performance

Pay Service Provider

Develop Campaign Search & Find

Traditional Charging ModelMedia Spend

Value-Based Charging ModelRevenue/Profit

£0.00

£50.00

£100.00

£150.00

£200.00

£250.00

£300.00

1 2 3 4 5 6 7 8 9 10

Pro

fit

Search Engine Ranking Position

Client Traditional Charging Model Value-Based Charging Model

Client Risk

Agency Risk

Agency Profit

Client Profit

Agency Commitment

Client Commitment

Sales Funnel

Search Engine

Goal Setting

Measurement

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Sop

his

tica

tio

n

Levels of Tracking Sophistication

Goal Setting

Profit Share Full Support

10

Private & Confidential

Sri Sharma | Managing Director | Net Media Planet

T: + 44 (0) 20 3008 8321M: + 44 (0) 79 39507 664E: sri@netmediaplanet.comW: www.netmediaplanet.comTwitter: srisharma