Mobile Search Trends: Dec. 2011

The Mobile Revolution

The wireless market is dramatically changing

Weekly launches of new devices, new features and new technologies are providing participants with choices they’ve never had to face

Since Q1 2011:Global smartphone & tablet shipments have outpaced desktops & laptops

Source: Morgan Stanley Research (2011)

2010-2015: Smartphone Sales Will Quadruple

• Tablet sales surpassed netbook sales in Q2 2011

• Global tablet sales will rise 260% YoY to $63 million in 2011o iPad accounts for 73%

• And tablet users will double between 2011 and 2012

Sources: Gartner (2011) , comScore, (2011), ABI (2011)

Tablets are the Fastest-Selling Consumer Device in History

• Tablets continue to cannibalize e-readers & netbooks/laptops in 2011

• Despite owning tablets, people continue to buy gaming devices, MP3 players & smartphones

Resolve Market Research (July 2011)

Always Present, Always On

InMobi (2011); Shop.org & comScore (2011); Chadwick Martin Bailey (2011); Briabe Media (2011)

• 74 million people in the U.S. already shop from their mobile devices

• Nearly half of people have accessed customer reviews and product info while using a mobile device in-store

• Nearly17% of mobile users have shown a store clerk a picture of a product on their mobile phone

Mobile Brings in Big Bucks

• U.S. m-commerce sales to grow 91% to $6.7 billion in 2011

• By 2015, m-commerce sales willbe $31 billion

• Black Friday shoppers embraced mobile as a research tool for finding in-store & online bargains:• Mobile traffic to online sites tripled YoY (14.3% on Black

Friday 2011 vs. 5.6% in 2010)• Mobile sales were 9.8% of total sales vs. 3.2% in 2010• The iPhone (5.4%) & iPad (4.8%) accounted for 10.2% of all

online retail traffic• Conversion rates for iPads were 4.6% vs. 2.8% for mobile

overall

IBM Coremetrics (Nov. 2011)

A Very Mobile Black Friday 2011

• 10.8% of people used a mobile device to visit a retailer’s site, up from 3.9 percent in 2010;

• iPhone and iPad ranked 1 and 2 for mobile device retail traffic • 4.1% and 3.3% respectively

• Shoppers using the iPad drove more retail purchases than any other device with conversion rates reaching 5.2% compared to 4.6% for the iPhone

Mobile Cyber Monday

IBM Coremetrics (Dec. 2011)

The Popularity of Android, iPhone & iPad have skyrocketed mobile search…

Mobile Search Influences Mobile Shopping

32% say they use mobile search more than desktop search

63% of people have changed the way they gather information

75% say mobile search makes their lives easier

49% of mobile searchers made a mobile purchase in past 6 months

Performics & ROI Research 2011 Mobile Insights Study (March 2011)

Attribution: Mobile Search Critical to Driving In-store Traffic and Initiating Leads

40% of mobile searches are local

After looking up a business on a smart phone:

61% of users call the business

59% visit the location

Google; Performics & ROI Research 2011 Mobile Insights Study (March 2011)

Advertisers have seen tremendous increases in mobile paid search impressions & clicks in 2011, especially leading to holiday . . .

Clicks & Impressions Continue to Rise• Mobile paid search clicks have steadily risen to 18% of all clicks

(desktop + mobile) in Nov. 2011

All-time highs for holiday:• All-time mobile clicks &

impressions peaked on Black Friday

• Black Friday mobile clicks were up almost 400% YoY

• Black Friday clickshare (i.e. desktop + mobile) was 23% on Black Friday 2011vs. 10% on Black Friday 2010

* Based on Performics’ aggregate client base; Google AdWords (Content & Search Partners excluded) (Dec. 2011)

Leading to holiday, mobile

clicks skyrocketed

* Based on Performics’ aggregate client base; Google AdWords (Content & Search Partners excluded) (Dec. 2011)

We predict that mobile will make up 28.7% of all paid search clicks in Dec. 2011

Tablets Now Drive 34%

of Total Mobile Search

Impressions • For some Performics clients, this number is actually approaching 50%

* Based on Performics’ aggregate client base; Google AdWords (Content & Search Partners excluded) (Dec. 2011)

Brands that tailor advertising to support tablets will achieve a first-mover advantage as tablets increase in popularity

Mobile Ad Spending Primed to Explode

• U.S. marketers will invest almost $4.4 billion in mobile advertising by 2015

• Mobile search will comprise nearly 22% of ad spend in 2012

* eMarketer (Nov. 2011)

But Mobile Paid Search Is Still a Bargain• Smartphone CPCs

remain about 40% less than desktop CPCs

• In Nov., tablet CPCs surpassed desktop CPCs, peaking at 20% higher than desktop

* Based on Performics’ aggregate client base; Google AdWords (Content & Search Partners excluded) (Nov. 2011)

“Mobile volumes and CTR are growing, while PPC prices are below desktop levels. This suggests a buying opportunity.”

SearchEngineLand (July 2011)

Advertisers can also increase visibility through mobile organic search, but face some challenges . . .

Organic Mobile Search is Splintered

• Searchers are tapping through SERPs and dedicated maps platforms

• Using succinct queries (40% with local intent)

• Across different platforms

• Yielding a blend of traditional results and highly localized results

GOOGLE SERP

GOOGLE MAPS APP

And the Local Ecosystem Itself is No Cake…

So What Are We Going to Do About It?

Provide you with 7 essential steps to ensure your mobile search campaign is connecting to and engaging your participant

Seven Steps

Paid Search: Separate Desktop, Mobile, & Tablets

Into Unique Campaigns

Paid Search:Distinctively

Optimize Tablet Campaigns

Paid/Organic:Govern the small

SERP

Paid Search:Focus on Location, Location, Location!

Paid Search:Build & Optimize Mobile Landing

Pages

SEO:Build & Optimize

SEO Landing Pages

SEO:Integrate SEO and

Local

1Desktop, Mobile, & Tablets = Unique Campaigns

• Separate campaigns guarantee stronger resultso Mobile-only campaigns perform 11.5% better on average than hybrid

desktop-mobile campaigns (per Google (2011))

• Create tightly themed ad groups per device

1 2 3

2Distinctively Optimize PS Tablet Campaigns

• Bido Because tablet users can scroll with a gesture, they’re

more likely to peruse search results and click further down the pageo Adjust bid strategy accordingly

• Copyo Gear copy & sitelinks to tablet users (i.e. “purchase now from your tablet”)

• Landing Pageso Tablet screen size & browsers are more like desktops than smartphoneso Drive tablet traffic to desktop or tablet-specific landing pageso Avoid Flash (iPad doesn’t render Flash)

3Create Big Opportunities on a Small SERP• The small mobile SERP is much

easier to dominate than desktop

5 Steps to Dominance:1. Bid for positions 1 or 22. Take up nearly ¼ of page

by adding sitelinks3. Location extensions, hyper

local formats or offers4. Click-to-call/click to download5. Optimize for natural search

4Location, Location, Location in Paid Search

• Mobile-User Nuances: o Looking for a store location, phone #o Product review or comparison while shoppingo Social recommendations & deals, geo check-ins and click to call

Google’s Location Insertion:1. Create ads that have the location inserted in

the description (i.e. Get The Best Deals On X in {city}).

2. Ensure default city name works logically in copy

3. Keep copy below max character length to allow for cities with long names

5Build & Optimize Mobile Paid Landing Pages

• Simplicityo Keep site layout simpleo Use minimalistic, clean codeo Keep images scarceo Simplify conversion path

• Usabilityo Optimize navigation with touch-friendly elementso Limit scrolling to one directiono Avoid pop-upso Avoid Flash and javascripto Avoid redirects

• People are 51% more likely to purchase from retailers that have mobile-specific websites

• Web retailers could increase engagement by 85% with a mobile-specific website

Mobile Shopper Session at NRF 2011

6Integrate Mobile & Local SEO

• Optimize mobile site hierarchy & user experience to guide conversions

• Leverage traditional site SEO efforts to increase visibility across platforms

• Generate new, qualified traffic from mobile and local keywords

• Deliver relevant local results across organic search and map listings

SEO

7Create “SEO On-the-Go” Landing Pages

1. Build a mobile version of your site or use CSS to feed mobile content to users

2. Leverage your native site’s current search visibility by way of either CSS or canonical tags plus user agent redirection

3. Keep mobile pages succinct, lean, and fast4. Ensure local information is readily and easily available

unique mobile features like location detection and filtration

5. Avoid using pixel and absolute rendering; use percentage or relative instead

6. Provide users an opt-out of the mobile experience to access your full native site

7. Use an easy, fast payment system to secure conversions

Thank You