How New & Existing Customers Interact With Your Paid Search Ads Differently
Columnist Andy Taylor shares data from Merkle|RKG that illustrates how users behave when clicking on ads and how they evaluate ad choices on a SERP.
Analyzing paid search orders based on whether they were placed by new-to-file or return customers can be a valuable exercise in determining how different areas of an account help drive new buyers to your site or aid in customer retention.
Beyond that, it can also give you some insight into how searchers behave when clicking on ads and how brand recognition impacts decisions made on the SERP.
To illustrate, I’ll be unraveling some of our new versus existing customer data for one large Merkle advertiser.
The Obvious: Differences In Brand Versus Non-Brand
Let’s start by looking at a keyword segmentation that reveals a likely obvious difference in the share of orders that are placed by new customers: brand versus non-brand.
For the advertiser studied, the share of non-brand orders placed by new customers was more than 3x that of brand keywords.
This makes a lot of sense, as someone who is typing in a brand name for a search is more likely to have purchased from that brand in the past than someone typing in a generic query relevant to the brand. Thus, pretty much all advertisers observe this to some extent.
But we’ve got more interesting insights than that to get into. Next up is differences in performance based on the category of product.