Google’s not the only one growing. MediaPost reports that the entire search marketing industry is poised to grow as well.
Jupiter Research finds that 26% percent of companies with annual revenues of $50M or more “plan to increase spending on search engine marketing by more than 25% this year.” Another 28% of those companies will increase their SEM spending by 11% to 25%.
Reasons cited for the budget increases include rising keyword costs.
MediaPost also got comments on the findings from search marketers at SES this week. Unsurprisingly, most of them, like me, insisted that search is important and that large companies are beginning to see that. In fact, two people interviewed blamed the creative side of marketing agencies for holding the industry back:
“There’s a shocking lack of interest from creatives,” [David Rittenhouse, Group Planning Director at neo@Ogilvy] said.
This view was repeated by Harry Gold, CEO of Overdrive, which helps clients generate leads through Internet campaigns. “Search is ignored by creatives,” he said, adding, “Search continues to grow for clients, and is even being used for branding.”
I, too, would like to think that more than half of all large companies are increasing their SEM budgets by more than 10% because they’ve finally begun to realize how important search marketing is, but MediaPost says it ain’t so:
In addition to keyword inflation, complex campaign management and methods of tracking the success of search engine marketing activity continue to elude marketers, according to Heisler. More collaboration among company CEOs, CMOs, and CTOs could change that, the [Jupiter Research] report states.
When will we learn?