Want Free Search Engine Traffic? Choose the Correct Keywords!
If content is king, make your keywords your servants! It’s pretty simple; good keywords bring lots of traffic, bad ones don’t. If you want that free search engine traffic, the first thing you need to do is to find out what exactly it is that people are searching for in the area that you are interested in. Then you pick key words that relate to your topic of interest, and that people are really searching for. You can have the best content in the world, but if you optimize for the wrong keywords you still won’t get that sought after traffic.
For example, let’s assume I am going to build a site about water heaters, and I want people to come to my site. I need to find out what kind of information about water heaters that people are looking for so I can build pages optimized for the keywords that people are really using.
The first thing I do is go to a keyword tool to do my keyword research. There are a number of keyword tools online, my favorite is Wordtracker. Others include KeywordDiscovery, and the Google AdWords suggestion tool There is simply no substitute for doing your keyword research. With these tools you can put in a seed word or phrase, and the tools will provide you with lists of related keywords and keyword phrases that are searched for, and how many times per month they are searched for. Using these tools there are ways to estimate the size of the market for products and services, ways to optimize you web pages, find new niche markets, and much more.
With Wordtracker I find quickly that many more people search for "tankless water heater" than search for water heater…which surprises me. Nearly as many people search for "hot water heater" as search for "water heater". Wordtracker also informs me that there are far fewer websites trying to be ranked high for "hot water heater" than for "water heater". Ah-Ha! I’ll be sure to optimize a few pages for "hot water heater". In fact, I find that the terms "tankless water heater", "tankless hot water heater", "tankless water heaters", "electric tankless water heaters", and "tankless heaters" all have more people searching for them than "water heater".
Single word keywords are very difficult to get high rankings for, so it’s wise to shoot for longer keyword phrases. Three and four word phrases are what I use most often.
After finding out what information people are looking for, and what keywords they are using to find that information, you can build the appropriate pages and optimize them for those keywords that have significant traffic searching for them.
Now that we have our keyword list and we are ready to build our pages, where do we put the keywords?
The first and probably one of the most important places to have your keywords are in the title tag. This is one of the tags in the head section of the html code of your web page and lists the title that is displayed in the web browser. Internet Explorer displays this tag in the top bar of the browser window. It’s very important that you always write for humans. The search engines are getting smarter and smarter, and they are looking for sites optimized for humans, not search engines.
Get some of your keywords into the keyword meta tag, not crucial but it won’t hurt.
Make sure you have some keywords in your Alt tags for your images…don’t overdo it though. Write it for humans, but try to work a few keywords in if you can. Alt tags are displayed as a popup when you pass your mouse over an image.
The Description Meta Tag is still a valuable place to use your keywords. Many search engines will look at the description Meta tag for keywords to compare against your body copy. Yahoo uses your description tag as the description of your site in their listings. Consider the description tag just like it is named, a concise description of your site. Keep under 50 words.
Your body copy is obviously a very important place for placement of your keywords. Remember, write for humans. If your keywords don’t appear in your body copy, you won’t place high in the search engine results for those keywords. Work your keyword into the text appropriately. Select one or two keywords and make the page specifically about those keywords.
Use your keywords appropriately for humans on your site where you can. This will increase your search engine effectiveness.
source: Entireweb
Optimizing for top Google rankings includes a number of factors. In Part 1 of 3 we discussed onsite optimization. In Part 2 we will touch on incoming links as well as using Google Webmaster Tools.
LINKS
Links are very important in today’s Google rankings, but just how many links you need will depend on both the competitiveness of your target phrases, and the quality of the incoming links themselves.
Essentially the number one rule of links is to keep it relevant! Topical relevance is very important in order for inbound links to give your site the most value. If the page that links to you is relevant that is good, if the entire site linking to you is relevant, that is better.
First to get an idea of how many links you may need, take a look at the top 10 ranking sites in Google and record how many links Yahoo is noting for each site. (This is because Google does not display anywhere near all the links they have noted). The average of this count is often a good indication of how many links your site may need.
There are many different ways to get links to your site including the age old reciprocal link trade, directory links, article based links, and links from press releases.
Reciprocal Links
Reciprocal linking has seen its value drop considerably over the past few years, however, if the site you are trading with is relevant you can still receive value from these links.
Paid Links
Google frowns on paid links, however that is not to say that they don’t work. Often you can find highly reputable and relevant websites which are offering paid advertising spots. If these links are coded to link directly to your website without passing through any tracking redirects, you will in many cases see value in the form of both direct traffic and increased link densities and rankings.
Articles
Writing and distributing industry specific articles is a great way to help boost both your link counts and site traffic; for examples of such content see StepForth’s SEO Blog News articles. Consider writing articles on a regular basis and submitting them to some of the more popular services such as EzineArticles. Be sure to include a link to your site from somewhere within the article, or at the very least within your bio. Try to use a target phrase as part of the anchor text for additional value.
Press Releases
If something of importance has happened to your company such as a new product launch, or other notable achievement - essentially anything news worthy, put out a press release. Submit this press release through services such as PRWeb or PRNewsWire. Again, be sure to include a target phrase as part of the anchor text.
There are also a number of places you can get links that have basically turned south, and are not generally recommended. These include signatures in form posts, guest books, and other typically free links.
Forum Posts
Forum posts can help to marginally raise your link counts; however, with this one you must be careful. Only add a link to your site in your signature if both the forum allows it, and you are a respected member of the forum. If you are a solid contributor and your posts have depth and meaning, and the forum is highly relevant to your site, then having a link in your signature may give your site some juice. Posting wildly to random forums will in most cases get yourself banned, and will be both a waste of time and potentially make you and your site look bad.
Guest Books
In nearly all cases, do not post your link to guest books. If you happen to stumble upon a guestbook that is highly relevant to your site, the other comments are relevant to your site, and you have something useful (and again relevant) to say, then perhaps consider it, but typically focusing on links from guest books is considered SPAM and is best avoided all together.
Blog Comments
Having a link from your blog comments is not necessarily a bad thing. If you find a relevant blog post of use, and have something relevant and constructive to say, don’t be afraid to enter your link into the "URL" field of the form, but don’t try stuffing links into the comment itself.
Link Farms & Bad Neighborhoods
These are sites that allow you to simply post your link no stríngs attached. They are mostly long scrolling pages with countless links. Stay away from them. If you see one, run in the other direction. These links are bad, will not help with your rankings, and in some cases can actually damage your rankings.
Stay away from sites that cross link with obvious spammers. These networks of SPAM sites are not ones you would want your site associated with, and if you achieve links from enough of these sites it can adversely impact your rankings. Even more important, NEVER link to any of these sites - as that will certainly tie in your connection to them and give Google reason to discount your rankings.
DMOZ, Yahoo and Other Directories
Directory based links can be of significant help, especially if they are from highly reputable directories, the two biggest being DMOZ.org and the Yahoo Directory.
Getting a site into DMOZ is like Gold. Google loves links from DMOZ and your site will reap the benefits. The big catch however is actually getting your site into the directory in the first place. Find the perfect category for your site and check to see if it has an editor. If you see a link "Volunteer to edit this category" try and find another relevant location. Pages without active editors take much longer to get listed into. Once you find the perfect directory submit your site every 4-6 months until listed. If you are lucky you will get in eventually.
Yahoo Directory is seen as an authority in the eyes of Google, and getting your site in will help your link reputation. This link does come at a price of $299 per year, but will play a role in helping your website achieve top rankings.
There are a number of other valuable directories out there that can help you with your search rankings. Before submittíng to any directory the key is a combination of relevance and authority. If the directory is relevant and active, it may be worth considering.
GOOGLE WEBMASTER TOOLS
Google Webmaster Tools can be very useful for your optimization efforts. It may not directly help you obtain higher rankings, but can help you trouble shoot if you are experiencing problems. It will also allow you to remove URL’s that you don’t want indexed and set various preferences such as your domain, crawl rate, and geographic target.
XML Sitemaps
This is the most common reason people use Google Webmaster Tools - the submission of their XML sitemap. While you can use your robots.txt to have Google find your XML sitemap, by submitting it directly to Google you can check up on the spidering status.
Error checking
Webmaster Tools is also quite useful for checking on various error URL’s that Google may know about. Under the Diagnostics > Web Crawl you can view any errors that Google has to report on your site. By cleaning up any errors you can help boost your chances of rankings.
Links
From inside Google Webmaster Tools you can get a much clearer look at what sites Google is noting as having links to you, and give you a better indication of the need, if any, to raise your link counts.
WWW Preference
Be sure to select your domain preference under Tools > Set Preferred Domain. In nearly all cases you will want to select the version including the "www" .
SUMMARY
Inbound links play a significant role in successful Google rankings. By focusing on relevant links, as well as by diversifying where you get those links from, you can build a solid foundation for your search rankings today and into the future.
Stay tuned for Part 3 (of 3) where I will discuss other considerations including redirects, HTTP headers, and a number of other factors which play a role in successfully conquering Google.
source: SiteProNews, By Scott Van Achte, Senior SEO, StepForth (c) 2008
In today’s online world search engine rankings can make your business succeed, and while rankings in Yahoo and MSN are very valuable, their combined market value is still less than that of Google. This makes achieving top rankings in Google that much more important.
In this three-part series on How to Optimize for Google we will touch on a number of important aspects for top Google rankings including website optimization, links, Google Webmaster tools, and a number of other considerations.
The focus of Part 1 will be with on page website optimization.
THE RIGHT KEYWORDS
This article is not about keyword research so I will not spend too much time on this topic, however, I felt it was important to at least brush on this slightly. If you are interested in reading more, please see Keyword Research for Organic SEO.
Make sure that your targets are achievable. If you select the wrong keywords, it can make your entire optimization experience essentially a waste. Choose keywords that are attainable but yet still provide a reasonable search frequency for your industry. Your phrase selection should also be targeted to bring qualified traffic to your site.
Using the hotel industry as an example, targeting the word "hotel" would make very little sense but by narrowing it down to "Victoria BC hotel" you now have less competition, and a more qualified audience. Keep your targets in perspective and go after the obtainable rankings.
WEBSITE OPTIMIZATION
There are many on-site factors that play a role in your search engine rankings. Here are a number of those factors and what you can do to increase your chances of success.
Title Tag
The title tag plays one of the most important roles in search results at Google, and is almost always the heading Google chooses for each of its listings. Placement of your target phrase is best used near the start of the tag and repeated again in the middle or near the end. Three uses of your target phrase may be helpful in some instances, as long as it is not too overwhelming. For best results each page on your site should have a totally unique title tag.
It is also important to remember that because Google will use this title as the main heading for your listing, you will want to keep it attractive to potential searchers. Try to also add a call to action, or other wording to help make your listing appear attractive to searchers.
To help illustrate the fact Google takes this tag into consideration, simply do a search for your target phrase and take a look at the titles of the top 10. I tried a search for a rather broad term "hotel" and saw that all 10/10 listings had it in the title tag, and 6/10 had it as the very first word. A quick scan showed that the entire top 30 either had the word hotel, or hotels in their title tags.
If you do only one thing to your website, make sure that all your title tags are relevant, unique, and contain your target phrase for each page.
Meta Description Tag
The Meta Description tag is still occasionally used by Google as the description which appears in the search results themselves. While this used to be a more common practice Google tends to use it most often on sites with very limited content, or those which are flash based. I have seen it still used for content rich sites, however this is less common.
The Meta Description tag still has an impact on search rankings. Your best bet when using this tag is to keep it short and sweet with your target phrase close to the start and not repeated more than 3 times. Like the title tag, each page on your site should have its own unique description tag.
Meta Keyword Tag
When it comes to Google this tag is useless, and won’t influence your rankings. There is some speculation as to whether a spammy keyword tag can however, have a negative effect on Google rankings. As a result, if you do utilize a keyword Meta tag for the smaller engines, it is best to keep it clean and play it safe.
Density
Keyword density plays a role in overall rankings; however, it is not as cut and dry as it once was. Once upon a time there was a magic number that when used could almost guarantee top rankings.
This is no longer the case. Today the ideal density varies from industry to industry, phrase to phrase. To find out what density you should aim for, take the top 10 or 20 search results and see what percentage those sites are using. In most cases you will find that the majority of these sites have a very similar density to one another, and this average density is a good estimation of what you should aim for.
Body Text and Keyword Placement
The location of relevant text on your site will help establish the overall importance of your target phrase. While you do not want to overwhelm the engines and site visitors with a bombardment of target phrases at the top of the page, try to sprinkle in some instances as close to the top of the page as possible.
Synonyms
Be sure to include various synonyms for your target phrases within your body text on your site. Google will use these synonyms to tie in the overall relevance of the page for your main target phrases, which in turn can improve your odds.
To find possible synonyms you can use a thesaurus, but the best way is to search Google itself and see exactly what they consider to be similar. Simply search in Google for your target phrase preceded with a tilde, such as "~hotels". Next scan through the search results for any text Google has bolded. These are all words that Google considers to be related. Using the "~hotels" example Google brings up phrases such as ‘travel’, ‘tourism’, ‘accommodation’, as well as various hotel chain names such as ‘Hilton Hotels’.
Keywords in Domain
There is still some speculation if having a target phrase as part of your top level domain (TLD) is of use to search rankings. From my experience, yes, there is value here, although, nothing like it was several years ago.
If you are starting off in the online world and are contemplating which domain to go for, consider one that uses your target phrase, assuming that it is both relevant to your business name, and uses no more than a single hyphen. While multiple hyphens in a domain can be successful, they are very common with highly spammy websites, so it is best to not take that route if possible.
While having a keyword located within your domain can provide some ranking juice, I would not suggest heading out and doing a domain swap. In most cases you would be better off working on your existing site than starting from scratch with a new domain.
Keywords in page specific URL
Using keywords for specific page URL’s can also help add a little bit of value to your site, providing you use them responsibly. Consider using a keyword as a directory name and as part of a file name where it naturally makes sense to do so. If you have a website that focuses on tourism and includes local hotel listings, you may want to consider the following structure for your page on the Hilton:
MyTourismSite.com/Victoria/Accommodations/Hotels/Hilton.html
Heading Tags
Placement of target phrases within heading tags helps to establish the importance of those given phrases. That said do not over do it, or abuse it. Only place target phrases within a heading tag if it makes sense to do so, and don’t flood a page with numerous tags. Heading tags are not as critical as they once were, but still a good contribution to a well optimized page.
Link Anchor text
This is the actual text you clíck on as part of a link. When full or partial target phrases are used within your text links they help pass on some value to the linked page for those phrases. This is also true when considering surrounding text. When the content around the link is also relevant, the link holds slightly more value.
While a link that simply states "clíck here" or "www.domainname.com" does have its place, they provide considerably less value than a link that would use "discount hotels" as its anchor.
Image Alt Text
While image alt text still plays a minor role, its biggest part is within the use of image based navigation. If you have an image linked to another page, the alt text will be attributed much the same way as standard link anchor text is.
Image Alt text should always be short and to the point and should accurately describe either the image itself, or the page the image is linking to. Do not use alt tags as a place to stuff keywords.
Inline Links
These are links that are found mid sentence or mid paragraph as opposed to a simple listing of links as found in a menu or possibly on a sitemap. Links found mid paragraph tend to pass on a little more value from the surrounding text and can provide more relevance to the linked page.
Site Navigation
It is absolutely imperative that your website be fully spiderable by the search engines. This may seem obvious, but often webmasters overlook Google’s ability to crawl a website. Google has become very advanced in what links it can follow and how it can spider a website, but there are still some things that can cause significant roadblocks.
- Flash: One of the most commonly made mistakes is the use of flash. If flash is used as a sole means of site navigation then you can count on Google not viewing your internal pages, and having a significant disadvantage in terms of site rankings.
- Java Script / DHTML: These days most Java Script and even DHTML menus can be spidered by Google, however, this is not always the case. If your site utilizes any kind of fancy navigation and you are wondering why Google has not indexed your internal pages, check out Google’s Cached Text version of your page. If you do not see any text links, then your navigation may be invisible to Google.
- Images: Image based navigation has been safe for many years now, but if your site uses this form of navigation it is essential to have brief, relevant alt text on all your buttons. This alt text will act much like standard anchor text for text based links. This is not only for the purpose of search ranking value, but take a look at Google’s cached text version of your page. If you have image based links that do not have alt text, those links do not appear. This doesn’t mean Google won’t follow them, but for anyone viewing your site on a text based browser, your links will be invisible to them.
URL Structure
Avoid long elaborate URL’s with extraneous characters. While Google has reached a point where they can index massive URL strings, it is best to avoid them if at all possible. For dynamic sites consider utilizing mod rewrites to significantly clean up the URL to not only make it more search engine friendly, but more user friendly as well.
MyTourismSite.com/?locid="victoria"&catid="accommodations"&type="hotel"&comp="hilton"
stands a better chance if cleaned up to read:
MyTourismSite.com/victoria/accommodations/hotels/hilton.htm
SUMMARY
Basic website optimization is a critical component for successful placement in Google but is only part of the overall picture. Stay tuned for "How to Optimize for Google - Part 2 of 3" where we will discuss Links and Google Webmaster Tools.
source: SiteProNews, By Scott Van Achte, Senior SEO, StepForth (c) 2008
Grab a cup of coffee sit back and relax to this lyrical marketer rap about the do’s and don’ts of website development. The recent "Design Coding" video is great and this time instead of reading about SEO you can listen to the mellow flow from the SEO Rapper!
WordPress "Code is Poetry"
On Saturday, March 29, 2008, WordPress 2.5 was released and this release took me by surprise. If you use WordPress then you realize how often plugins are updated and the core itself is so frequent you might as well look to the source before you reuse any code from a previous project because it will have since been outdated. One thing that really impressed me was the new user interface in the admin section which is now starting to look more of a polished over CMS system.
Either way you look at it WordPress is here to stay and will become even more prominent as a CMS and blogging software which remains free, designer and developer supported open source that is extended by people who use it the most. Our Content Management System is based on WordPress and these improvements benefit all of our customers.
Related Links:
The WordPress Podcast Video: Episode 39 Live from WordCamp Dallas
WordPress Version 2.5: http://codex.wordpress.org/Version_2.5
Download WordPress: http://wordpress.org/download/
Free WordPress Themes: http://www.wpthemesfree.com/
Plugins: http://wordpress.org/extend/plugins/
www.showinabox.tv
Google’s paid clicks controversy doesn’t seem to be going away anytime soon, with advertisers joining the chorus of critics who say the search giant has given them the "Google slap."
For the uninformed, the "Google slap" is something of a double-whammy that appears to be the result of a change to the AdWords algorithm. According to a Wired blog post, many advertisers who use Google are seeing a spike in prices paid for ads with a simultaneous drop in conversion rates.
One anonymous Wired source said he could tolerate a rate hike, but not a drop in conversions. According to the Wired source, a campaign that yielded 100,000 impressions for ads served for two keywords in February dropped to about 20,000 impressions in March. The anonymous source claims the drop in impressions from February to March resulted in a parallel drop in revenue from $250,000 to nearly zero.
While the lost business may seem catastrophic, Google has maintained that its changes are meant to cut back on so-called thin sites that provide little content while raking in huge chunks of cash via AdSense.
Article Provided by: imediaconnection.com
You’ve decided to build a website. Great! Your first step is to determine its structure - the pages you want to include and the information you want provide to visitors. But how to begin?
Your first instinct may be to make your site different from everyone else’s. After all, trying to differentiate your business is what you’ve been doing throughout your branding process.
The World’s Best Shopping Cart Software!
Building a Website is Like Building a Custom Home
When you create a custom house, you can arrange your floor plan however you want, paint the walls as you please and fill the house with furniture you love. Your goal is to create a unique space that stands out from everyone else’s.
In the same vein, there are elements of your website where standing out makes sense. For example, the overall look of your site and your copy should be different from other sites - especially those of your competitors.
Differentiating your website is good for your small business - to a point. What you don’t want to do is reengineer its basic structure.
Standing Out Isn’t Always the Stable Way to Build
Underneath it all, even the most unique custom home has the same foundation and spacing between studs in the wall as every other house on the block.
By following underlying principles of construction, builders help ensure that the house is structurally sound. Why not use the same approach when it comes to your website? That way, your site is far more likely to work well for you.
To use site building rules, of course, you need to know what they are.
Rule 1: Do Competitive Research
Before someone sets out to build a custom house, they’ll probably do quite a lot of research—looking at other houses, determining the architectural styles that appeal to them, and perhaps even checking out homes in the neighborhood where they want to build.
The same goes for your website. You need find out what you’re up against. Once you’re familiar with competitors’ sites, you can make sure that your site will not only be different in the right places, such as look and feel and content, but that it will also be comparable in the right places.
Most likely, your competitors have been building their sites for some time - and probably updating them to answer customer questions and market their businesses more strongly. You don’t want prospects to pass you by because your site doesn’t answer an important question that a competitor has addressed.
Visiting other sites and making notes of basic structure, business information presented, customer questions answered and even relevant tools and articles gives you a jump start on creating a site that facilitates apples-to-apples comparisons.
Rule 2: Plan Your Site Architecture
As you may suspect, planning your site architecture is like drawing up architectural plans for a custom house, where you plan just what you’ll include and what will go in each space. For example, do you want a library? A formal dining room? And where will you put the piano?
Similarly, for your website, you must decide the pages you’ll include and the information on each page.
When planning your site architecture, think about what you’d like your website to do for your business. Do you want it to bring in clients and close sales? If so, pricing information and even a shopping cart can help do that. Do you need your site to get media attention? Then a Media Room might be the key. Make sure to include the pages and content required to get the job done.
In addition, think about how you plan to expand your website in the future. At the beginning, designing a website of more than 10 pages can overwhelm a small business - both in terms of budget and time required to write the content.
But, if you create an expanded site map at the beginning - a website wish list if you will - then you and your website strategist can determine which pages will be most important in helping you reach your goals. You’ll also have a clear roadmap you can use to add on to your website as your budget and schedule allow. For more about the pages to include on your website, see this article: Pages To Include On Your Website.
Rule 3: Name Your Pages in a Way That Makes Sense
Have you ever walked into an unfamiliar house and been unable to find your way around? You probably asked the hostess where the kitchen was so you could drop off your pot luck dish or the way to the bathroom.
On a website, though, visitors don’t have the luxury of asking where things are. So you want to make it as easy as possible for them to find the information that they need.
Some small businesses want navigation button names to be clever or interesting. But, it’s important to think about the website visit from your customers’ or prospects’ point of view. They often come to your site looking for specific information. Even if they’re just browsing, they want an organized way to look around - where clicking a link takes them to the page they expect. Remember that visitors don’t have a lot of time or the patience to bumble around your site.
You see the same navigation buttons on every site you visit for a good reason. Established usage conventions have trained visitors to look for names like "Services," "About" and "Contact" when they’re out browsing around. Capitalize on this and your visitors will be able to find what they’re looking for quickly - keeping your site and your business in their good graces.
Following these three simple rules makes it much more likely that your website is structurally sound and that your visitors will have a great experience there instead of a frustrating one.
Article Provided by: SiteProNews
As we prepare to release our SAI 25: World’s Most Valuable Startups list, we’re running through some final valuation numbers. One company that is a shoo-in for the list is Craigslist (yes, it has been around a while, but we’re defining "start-up" as private companies founded in recent memory that has yet to go public or sell out).
We’ve struggled to get formal business metrics for Craigslist, but ClickZ has summarized a recent report from Classified Intelligence that should help. CI estimates Craiglist’s numbers, but it has at least gone through the laborious process of counting listings, pageviews, etc.
So here are some metrics:
2007 Est. Revenue: $55 million
2008 Est Revenue: $81 million
Monthly Pageviews: 9 billion
Monthly Job Listings: 2 million
Monthly Ad Listings: 30 million
Employees: 25
Estimated Costs
Let’s assume that each of Craigslist’s 25 employees costs about $125,000 a year, all in. That’s probably high–Craigslist is run like a non-profit–but it should be in the ballpark. This adds up to about $3 million of salary and other HR costs. Let’s assume that Craigslist will grow this year, and let’s assume that it spends another few million on prosaic costs like rent, insurance, travel, etc. Total estimated 2008 operating expenses: $7.5 million.
On the "cost of sales" line, let’s assume that Craiglist spends a boatload on servers and bandwidth to keep the site running smoothly. Craigslist’s content is not at all bandwidth intensive–all light text, no computation or transactive processing like eBay or Google–so this should keep its costs well below those of other huge global sites. Let’s call it $50 million a year. (This is probably high–grateful for any help in refining).
Add all that together and use the CI revenue estimate, and you have a business with about $80 million in revenue and, say, $25 million in operating profit. Apply a 10X revenue multiple and/or 25X operating income multiple, and you would have a company worth about $750 million. But obviously Craigslist is worth a heck of a lot more than that.
Craigslist’s Real Value
Why is Craigslist worth more than meets the eye? Because it’s run like a non-profit. Craig Newmark and co. don’t give a damn about generating revenue or profit, and more power to them. But if Craig ever want to sell Craigslist, he’d probably want to get something closer to true value for it–which means we need to think about the company’s real earning power.
Let’s assume that, instead of charging for job ads in only 11 cities, Craigslist charged for all job ads (currently 2 million a month). Let’s assume that it also charged for another 5 million of the 30 million ads on the site each month. Let’s assume that Craigslist users were so horrified by the outrage of being charged even a de minimus listing fee that two thirds of these listers stormed off in a huff so that the 7 million of paid listings dropped to, say, 2.5 million a month. And let’s assume that Craigslist charged its standard $25 job listing fee for all of them.
What would that generate in revenue? $62.5 million per month, or $750 million a year.
Let’s further assume that this outrageous affront to a minority of users–$25 per listing!–would require huge customer service and processing costs, so that Craigslist’s overall cost base jumped to $250 million a year. Then we’d have a business with $750 million in revenue and $500 million of operating profit.
Let’s put very conservative revenue and operating profit multiples on that–say 7X revenue and 10X operating profit–and we’re conservatively looking at a business worth $5 billion.
Thoughts? Speak now or forever hold your peace.
Article Provided by: WebProNews
List of reasons pretty comprehensive
Twhirl’s service will remain free to users, so onlookers need not look to their wallets. Loic Le Meur presumably did a little digging, however, as the Twitter client has been acquired by his video chat company, Seesmic.
Twhirl’s price remains unknown, but on all other subjects, Le Meur has been extremely forthcoming. Want to know why Seesmic purchased Twhirl, for example? Le Meur lists a total of 20 reasons. "[Twhirl creator] Marco Kaiser is super cool and it is all about people" catches the PR side; "[Twhirl] is the #1 and coolest Twitter client with more than 100,000 downloads and 7% of all tweets posted per day" should convince statisticians.
The addition of video to Twhirl will remain optional, so fans who fear change needn’t worry about that. Also, in terms of what else is to come, we appear to be getting a preview thanks to a conversation on TechCrunch. Le Meur has promised Gabe Rivera a button that will return users to the main timeline, and he should "eliminate delays by getting tweets via XMPP instead of polling," as well.
There are obviously some potential sticking points - Seesmic is still in alpha, and Twitter itself is notorious for suffering untimely outages. Yet on the whole, the deal looks like it could give quite a boost to microblogging.
Article Provided by: WebProNews
Influence…Not so much
The mind is a deeply complex organ, at times influenced by small, seemingly trivial things, and at others closed off to any external stimuli. Think of it as an onion, with belief at the center and perception at the outermost layer. Subtle stimuli can alter perception not just more easily than they can belief, but also can alter perception in nearly imperceptible ways, as air overtime hardens and dries the top layer, not affecting the layer beneath.
Case in point: Associations with brand logos. No core belief is needed to deal with company logos and associations made with them, thus those associations are more easily influenced. A recent study showed people subliminally exposed to Apple’s logo were more creative with their tasks than people exposed to IBM’s.
Likewise, as posted on the Today show’s website, it’s easy to send subtle cues to other people physically in order to get them to associate certain positive traits in their mind. For example: having a picture of a dog on your desk to convey loyalty or wearing a black suit to convey authority. This is what is also referred to as "the power of suggestion."
In short, perception is easily manipulated because people are less likely to guard their perceptions than their beliefs. Changing someone’s faith, on the other hand, would be a much more difficult task, as belief is protected at the center of the onion.
Understanding this relationship is important when considering the implications of other studies and how those implications apply to marketing efforts. More than one piece of research has found, for example, that people are more likely to be influenced by friends and families than they are an A-list blogger. Part of that rests with the belief that someone is trustworthy versus the perception that someone is trustworthy. Some, though, take that information and jump to the conclusion that blogger endorsements and celebrity endorsements are over-credited for effectiveness.
The underlying assumption is that it all comes down to how much trust people put into a recommendation. People these days are much less likely to put trust in a celebrity they know is paid to say something. That distrust could extend to bloggers as well, either for that reason, or lack of certainty of the person’s identity (especially in light of recent hoaxes), or a myriad other reasons not to trust a stranger.
So, a consumer in the market for an automobile is more likely to trust a friend or relative, especially one with long-term brand experience than a blogger in another state. Yeah, well, when you put it that way, it’s not such a surprise, is it?
Veteran communications specialist Shel Holtz doesn’t think it should be shocking, either, and criticizes competing viewpoints that trust is the most important metric in marketing:
"Whatever happened to the importance of building awareness?" asks Holtz at his blog. "While the influential bloggers-the so-called ‘A-listers’-may not have influence, they do have eyeballs. They are A-listers, after all, because people read them. I may have greater trust in my friend in the next cube, but where did he hear about it? And if he heard about it from a trusted friend or family member, they read about it from a source that gets broad distrtibution [sic]. The information has to start somewhere."
A good place to start, it could be argued, is search ads (regardless of direct ROI), especially if a marketer has strong organic rankings with specific keywords. Exposure to the brand, with reinforcement along the discovery process (sponsored plus organic), sends a subtle message to viewers that will sit somewhat idly and relaxed in the perception areas. If not there, a nice endorsement from someone respected is also a good start, just for those subtle associations people don’t take too seriously but do allow to alter their behavior just slightly, either negatively or positively.
This is why branding professionals are so careful (and sensitive about) the person spreading their message. It’s not as much about trust as it is about association and perception. Perception and associations can change very quickly, which is also why OJ Simpson doesn’t get endorsement deals anymore.
Article Provided by: WebProNews