Undoubtedly, you have been reading about online marketing and keep seeing references to keywords. So, what exactly are keywords? Here is a definition of keywords and some advice.

A Definition of Keywords

Surprisingly, there are a variety of definitions for keywords. You are probably wondering how that can be, but it becomes pretty clear when you consider the different applications that use keywords.

Generally, keywords can be defined as a word or words identifying something on a page. This article is about defining keywords. As such, the title of the article is the keyword phrase which identifies the content of the page, to wit, “Definition of Keywords.”

More accurately, however, keywords can be defined as the specific terms used by person to search for something on the net. To find this page, you may have searched for “keyword definition” or “define keywords” or some such thing. This application is of great interest to Internet marketers. We want to know how you search for something so we can get our sites listed under those keyword phrases.

For pay-per-click advertising [ppc], keywords are defined as words used by prospects for which advertisements can be created and placed on search engines. In this sense, keywords are defined broadly. Because of the way ppc platforms like Google and Overture work, I just need a general idea of how you search for a subject of interest to me. I can place an advertisement under “travel gift” and the platform will list the ad for all searches close to this phrase, to wit, “traveler gifts,” “gifts for traveling” and so on.

For search engine optimization [seo], keywords are defined as the exact phrases used by prospects to search for something. Unlike ppc, seo requires the identification of the exact phrases because the page will rarely appear under similar keyword phrases. Using our previous example, I would have to build three individual pages for travel gift, traveler gifts and gifts for traveling. The different arrangement of words and tenses require as much.

Identifying a definition of keywords is entirely dependent upon how you intend to use them. In general, you want to identify the phrases being used to search for your produce or service and then incorporate those in your Internet marketing.

Keyword research is a vital first step to any Internet marketing plan. Fail to take this step and you are going to have a very difficult time making money on the web.

Keyword Research

Keyword research is critical because it tells you the exact phrases potential customers or clients are using to search for your service or product. Put in practical terms, the research will reveal the problems your prospects are having. Your job is to provide solutions on your site to those problems. If you provide a quality solution, prospects will gladly convert into paying customers. It really is that simple.

Keyword research can be done in a couple of ways, but I prefer using the Word Tracker program. This program is really the key to everything you will do on the net. You can read how to use Wordtracker here, but a quick overview should show you the value.

Assume I want to start or have a dog grooming business providing grooming services and selling grooming products. I would log into Wordtracker and do a search for all keyword phrases related to “dog grooming”. Here are a few of the keyword phrases being used by my potential customers:

• Dog grooming
• Dog grooming supplies
• Dog grooming supply
• Dog grooming products
• Professional dog grooming products
• Dog grooming tools
• Dog grooming tips

You would expect to see a number of these phrases, but a few are surprises. “Dog grooming tools” is one I didn’t expect, which means there may be a marketing opportunity. To verify this, we use an additional tool provided by Wordtracker.

Wordtracker gives you the ability to perform “competition analysis” for keywords. Essentially, this tells you how many hits you can expect for a keyword and the number of other sites trying to get rankings for it.

Having performed a competition analysis on the above keywords, I find a couple of prime marketing opportunities. “Professional dog grooming products” has roughly 60 searches a day and only 372 sites trying to get ranked under the phrase. On the other had, dog grooming tools has over 12,000 sites trying to get ranked under it. What this research tells me is I should focus on professional dog grooming products instead of the tools keyword phrase.

Obviously, this example represents an analysis of only one keyword phrase. When you do keyword research, you want to run the analysis on all phrases related to your site, service and/or product.

Search engine marketing is the key to your online promotion efforts. Yes, there are other avenues of marketing, but search engine marketing is where you will succeed or fail.

Search Engine Marketing

Search engine marketing comes down to two areas, pay-per-click and search engine optimization. If you can master both of these areas, you are going to be so far ahead of the competition that it will not be funny. Well, at least for your competitors. Following you will find some general articles on the subject as well as specific articles on pay-per-click and search engine optimization.

The average search engine optimization company is in high demand, and with rising pay-per-click costs and growing exposure of SEO in the mainstream media, this is unlikely to soon subside. Unfortunately, many organizations that willingly embrace SEO as a marketing tool also unknowingly sabotage the efforts of the search engine optimization company they have chosen.

What follows is a list, by no means complete, of some of the most common errors made by companies that can harm their SEO efforts.

Demand Rankings with No Changes to the Site

It is a common assumption that search engine rankings are determined by a magical formula rooted largely (or almost exclusively) in technology. In reality, long-term search engine rankings are generally achieved through an equal mix of technology and updated website content. An ethical search engine optimization company will usually turn down work when told that under no circumstances can any of the visual elements or content of a site be changed.

It is largely a site’s content–from the text to the images–that allows search engines to determine what that site is about. That same content also helps other sites and directories to decide whether or not a site is worthy of a link (and link popularity is, of course, a major factor in rankings). Many companies do not want to hear this, especially after they have paid a sizable amount of money to a web designer. The bottom line? That site built entirely in Flash for which you spent $50,000 is not going to achieve high rankings for a variety of phrases without substantial changes that will allow its content to be indexed by the engines. The truth hurts sometimes–but so can the cost of lost opportunities.

Update the Website without Consulting Your Search Engine Optimization Company

A very common and innocent mistake can have disastrous consequences. It generally happens when a webmaster is updating a website, perhaps simply adding a press release or uploading a graphic. Accidentally, the webmaster saves an older version of the site over the new version, removing many of the elements that the search engine optimization company had added to achieve high rankings. This can result in a loss of positions for which the search engine optimization company, of course, is blamed.

Worse yet, since most sites are developed on a “test bed,” damage can be done when the site goes live. Test beds are not intended to be crawled by search engine spiders, and so responsible webmasters include instructions in the site code requesting that spiders not index the site–the Internet equivalent of a “do not disturb” sign. The major search engines dutifully obey this request on the test bed site. They also dutifully obey when these instructions are accidentally transferred over to the live site during an update. As you might imagine, the results from such an oversight are somewhat less than ideal. Once again, the search engine optimization company generally gets the blame.

Since constantly accepting blame can be demoralizing, a good search engine optimization company monitors the code on all of its clients’ sites on a daily basis, analyzes any changes, and quickly reacts if anything potentially harmful has been done. In this way the website can be repaired before ranking losses occur.

Link to Other Sites

Everyone that has a website has received at least one email requesting a link exchange. Unfortunately, this type of exchange defeats the purpose of link popularity, and engines are starting to take notice. Since inbound links are essentially counted as “votes” for your site, a simple trade-off between sites does not necessarily indicate that those sites are advocating one another. Worse, if you actively link out to a site that becomes penalized (and sites that seek reciprocal links are likely to be very aggressive in their optimization tactics) your site can become penalized in turn.

This does not mean that you should never link out to another site, especially if you believe that the site contains information that is of value to your visitors. Your search engine optimization company, however, should be given the opportunity to review any site to which you want to link. Additionally, a thorough search engine optimization company will frequently review the outbound links on your site, making sure that none of the websites to which you are linking begin using questionable SEO practices. This ensures that your site stays out of danger of penalization.

Create Additional Domains

There are legitimate reasons for wanting to have several domains mirroring your site (tracking the performance of offline website advertising, for example), but few, if any, are search engine related. If you are hoping to get a double listing for duplicate content on multiple domains, you are wasting your time–the engine will typically choose one version of the content and keep the other version out of its index.

Not long ago, there was a danger of all versions of a website being removed from search engine results for having multiple domains with the same content. Most engines, as mentioned above, now will simply choose one of the websites and discount the others. The problem is that promoting multiple domains with duplicate content can water down your link popularity as it is spread over several sites. This obviously hinders campaign performance.

Vanity domains can still be used, but they should redirect to a single version of the website using a 301 redirect. This means that if anyone adds an outbound link to one of your vanity URLs, your site will still get credit for the link.

Try Your Own SEO Tactics

The worst nightmare a search engine optimization company can face is when clients begin to see great results from the campaign and then believe that they should pitch in and help “accelerate” the results. Unfortunately, while the intentions are admirable, this is usually much like someone observing an auto mechanic screw on a radiator cap and believing that this observation now qualifies him as a certified radiator technician (and his tool of choice is generally a hammer). There is much going on in a typical search engine optimization campaign involving page elements, behind the scenes factors, linking strategies, and many other facets. If your search engine optimization company were to take the time to explain exactly how everything worked and why it was important, your campaign could take years. Many tactics, particularly those that SEO beginners might try, can put your site at risk of penalization. I suggest you steer the car and let your search engine optimization company fix the radiator.

Change the Marketing Direction

This may seem like an obvious issue that is easy to avoid, but often a search engine optimization company is the last to know that your company is no longer offering a certain product or service, that you no longer desire certain types of clients, that you are launching a new product or service, or that you are trying to drum up additional business in a certain product or service line. Organic search engine optimization takes time. When marketing issues like this arise, your search engine optimization company should be on your speed dial, so that it can be ready to take action based upon your current marketing strategy.

When people hear about online marketing, they often think of two of the more popular methods that a company can use to enhance its visibility on the Web: organic search engine optimization and pay-per-click advertising.

In an ideal world, you would use both strategically to maximize your site’s profile. However, budgetary constraints often make this impossible, and trying to do both on a limited budget or with minimal resources can result in neither campaign producing ideal results. In this case, it’s usually better to focus on one or the other. But which is best for you?

Organic Search Engine Optimization

Organic search engine optimization campaigns offer several distinct advantages over pay-per-click advertising campaigns, as many recent studies have shown. What follows is a brief listing of some of the findings.

Propensity to Click

Study after study indicates people are less likely to click on paid search ads rather than on results from organic search engine optimization. For example, one study found that search users are up to six times more likely to click on the first few organic results than they are to choose any of the paid results[1], while an eye tracking study[2] showed that 50 percent of users begin their search by scanning the top organic results. Other studies have shown that only 30 percent of search engine users click on paid listings, leaving an overwhelming 70 percent who are clicking the organic listings.[3] And a 2003 study found that 85 percent of searchers report clicking on paid links in less than 40 percent of all of their searches, and 78 percent of all respondents claim that they found the information they we searching for through sponsored links just 40 percent of the time.[4]

Trust

Studies are beginning to indicate that the trust level for organic results is much higher than that of paid results, and that paid results are looked upon as a nuisance by some searchers. One study found that only 14 percent of searchers trust paid listings, and 29 percent report being “annoyed” by them.[5] Another study found that 66 percent of customers distrust paid ads.[6] Clearly, it’s not generally a good idea to upset potential customers before they even click on your link.

Value of Visitors

Organic search engine results tend to be seen as non-biased, and they therefore are able to provide visitors that are more valuable. The overall conversion rate, or the rate at which searchers take a desired action on a site, is 17 percent higher for unpaid search results than the rate for paid (4.2% vs. 3.6%).[7] Trends also have shown that more of the sales that result from search engines originated in organic search listings.[8]

Visitors Becoming More Aware of Pay-Per-Click as Advertising

As more and more people turn to the Internet for research and information, more searchers are becoming aware of paid results as a marketing tool. One study showed that not only are 38 percent of searchers aware of the distinction between paid and unpaid results, 54 percent are aware of the distinction on Google, which is widely recognized as the most popular search engine.[9]

Pay-Per-Click Costs Rising

Meanwhile, pay-per-click costs are rising steadily. Between October 2004 and December 2005, average keyword prices rose from around $25 to just under $55.[10] And the cost of keywords can increase by as much as 100 percent during the holiday season.[11] These costs aren’t going unnoticed either; one study of problems experienced by U.S. companies found that 57 percent of respondents felt that their desired keywords were “too expensive,” while 51 percent expressed concern that they are overpaying for certain keywords.[12] On the other hand, when you outsource to an organic search engine optimization firm, your costs will likely remain more stable than the prices for pay-per-click advertising.

Long Term Results

While a pay-per-click campaign may produce results more quickly than an organic search engine optimization campaign, organic search engine optimization campaigns can give you results that last. When the budget runs out for a pay-per-click campaign, or when your company decides that the pay-per-click campaign should be terminated, the results end as well. With organic search engine optimization, the optimized site content and other changes made to your site can have an impact on your search results until the next change in a search engine’s algorithm, or possibly even beyond.

Relevance

Users also have rated organic search engine results as more relevant than paid results. On Google, 72.3 percent felt that organic results were more relevant, while only 27.7 percent rated paid results as more relevant. Yahoo offered similar results, with 60.8 calling organic results relevant compared to only 39.2 percent for paid.[13]

Pay-Per-Click

While the above statistics may make organic search engine optimization seem the clear choice in all cases, in certain situations it actually can make more sense to do pay-per-click advertising. For those looking for fast results on a small budget, a pay-per-click campaign may be the answer.

Results

As previously stated, the results from pay-per-click advertising are immediate. On the other hand, an organic search engine optimization campaign may take up to three months or more for results to be apparent. In this case, pay-per-click is advantageous for those who are looking to promote an initiative that will go live in a short amount of time, or whose business is seasonal in nature and who only do promotion during certain months of the year.

Budget

Small businesses with extremely tight budgets may find that pay-per-click is a better investment than organic search engine optimization because a pay-per-click campaign will almost always cost less – good search engine optimization companies simply do not work for $100 per month. By limiting a campaign’s keyphrases to highly specific terms relevant to a company’s business, there will not be a large amount of traffic generated, but the traffic that is generated will be specific to the desired result. Plus, choosing such specific phrases can make them less expensive on a per click basis. Moreover, in niche markets with a high average dollar sale, where there’s not a great amount of search activity because the prospect pool is limited, it may not make sense to engage a quality organic search engine optimization firm at several thousand dollars per month when you can instead buy varying niche-specific keyphrases and generate traffic in that way.

Easier to Handle In-House

Non-complicated pay-per-click campaigns can be handled much more easily in-house than an organic search engine optimization campaign. Such campaigns generally involve business to business and high-end, service oriented companies, not those geared toward a large consumer base. Since organic search engine optimization requires a steep learning curve and since there are so many questionable tactics that can put a site at risk of penalization (the tactics that neophytes to search engine optimization are likely to use), it may make more sense to run a pay-per-click campaign. Since you are dealing directly with the engine, i.e., Yahoo Search Marketing and Google AdWords, you don’t need to pay a middleman, and these sites offer helpful tutorials on how to use pay-per-click marketing. Perhaps most importantly, the concept of pay-per-click is much easier to grasp and understand at the outset.

No Contracts

Most organic search engine optimization campaigns require a contract of a certain length because SEO companies know that meaningful results will rarely happen overnight. When dealing with an in-house pay-per-click campaign, obviously a contract is not an issue. But in general, even when you are dealing with an agency, you will not tend to need to sign a contract because the agency instead makes money on a percentage of the spend, although there may be a setup fee. Without a contract, you are free to reallocate marketing dollars elsewhere if you discover that the pay-per-click campaign is not providing the desired results.

Conclusion

Clearly, organic search engine optimization has some distinct advantages over pay-per-click advertising. However, there are undoubtedly certain situations and scenarios where pay-per-click advertising makes more sense fiscally and strategically. With a high enough budget, you would be able to have an effective organic search engine optimization campaign running in tandem with an effective pay-per-click campaign. But if you have to choose one, look into your unique situation before you decide.