Category Archives: Industry Standards

SEMPO – From Greatness to Mediocrity?

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Valiant ArbiterDid you know that within the search marketing industry, there exists a professional non-profit organization built to provide a foundation for industry growth through fostering awareness, providing education, promoting the industry, generating research and creating a better understanding of search and its role in marketing?

No? Well, there is: SEMPO – Search Engine Marketing Professional Organization.

Maybe as a first phase, SEMPO should focus on ‘fostering awareness’ of its own existence and promoting itself in the search industry.

In 2003 perhaps, when the search marketing industry was fledgling, barely in existence and Google started to gain some traction, SEMPO came galloping in, the valiant arbiter in a lawless, unchartered online world.

Suddenly there was a professional institution that stood for the search marketer – creating credibility where mostly business was done in dark waters. In the world of black hat, cloaking and doorway pages, there was little to define the ‘white hat’ marketer.

The SEMPO logo was the sign of a professional elite that stood for ethical search marketing and upholding the integrity of the field. Brandishing the SEMPO logo was a sign of a safe haven for hundreds of businesses that tried in vain to navigate these murky online SEO waters.

What happened to SEMPO as a professional organization? For an organization that calls itself ‘international’, its 700 strong membership base is modest at most if not rather embarrassing.

What went wrong?

This is not something that an impartial observer can hope to answer, but it certainly seems that in the tempestuous evolution that has swept the search marketing industry in the last few years, SEMPO lost sight of what it wanted to be. In this struggle, without a clear goal or direction, the organization has continued to trudge along, but perhaps rather aimlessly.

Even the SEMPO website looks rather tired and outdated. One could say that SEMPO has completely missed the boat on Web2.0 and could do with a significant revamp of the site. Even the case studies section seems to have hit a standstill with the archive only going as far back at October 2005!

What about a blog? Twitter? Real-time updates? Interactivity?

It all just feels a little bit stale, which is sad, depressing in a way. How is it that the organization purporting to be the official representative of one of the most exciting, fast moving and evolving industries in the world, can be getting it so wrong?

The irony lies in the fact that it is some of the best of the best in search, who came together to start SEMPO. Has all this amalgamated greatness resulted in a formula that produces mediocrity?

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Going Off Track, Hurts You & Your Clients

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Going Off TrackSitting at the first Manic Street Preachers concert in Vancouver in 10 years, I began musing about all the people who came to the show so many years on, to show their continuing support of the band. We waited in line for the doors to open, then we waited for another two hours until 10pm for the band to get on stage, but when they started playing, it was a new flavour and it took many a song before any of the 90s classics were sung. This got me thinking.

Over the 10 year absence on the Vancouver stage, the band would not doubt have gone through an evolution. This is to be expected, but if their performance was so foreign to what they used to be, is that not forgetting about the people who supported them all those years ago? How many people walked out of that concert feeling bittersweet, going home to play some of those old records because their expectations were not met?

One for All, All for Me?

Remember those first few major clients that catapulted your company in the right direction with that major case study that featured your strengths or the solid reviews that drove more business?

How often in business are those first clients put into the legacy client pile and considered ‘small’, whereas once they were ‘the client to please’? I guess the key question here becomes whether your company is to your legacy clients what it once was or are they scratching their heads wondering whatever happened to that company they supported in the early days?

The same can be said for employees. Companies that uphold core values that have been developed upon fundamental principles are rare. Having said that, employees that work towards a common goal in which they believe, are arguably just as rare. Today it seems that to an increasingly large number of people, a job is just that, a job, work, a daily grind.

Are you recognising the people in your organisation that continue to oil the cogs and keep the machine running smoothly? Too quickly do we forget how intricately our success is interwoven with the support of our clients; the demand for our service offering and the service delivered by the people who deal directly with our clients. This can be said of a rock band that relies on its fans, as much as it applies to a company whose offering is built on the collective intellectual property of the people who work there.

So, no matter how much your company evolves and grows over the years, do not lose sight of the type of company you strove to be to your clients and your employees in those early days, when you had everything to lose. Financial success has this tendency to take the ‘we’ out of the achievement and focus solely on the ‘I’. Well, you didn’t get to the top alone and the faster you recognise this, the sooner you will be a better company, boss or colleague to the people around you.

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Oh, That’s Right, We Don’t Need SEO Standards

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What is SEO?

“Suppose it’s got something to do with when doing a search, getting the most and best hits back, i.e. no crap.”

“A practise that improves performance and relevance of result sets for search engines. Never heard of it as a service.”

“No understanding at all…is it something that makes Google work better?”

“My guess is that you pay for a good position on the search engine.”

That is how 4 of 33 respondents in a closed study defined SEO. This very basic study was conducted among tertiary qualified professionals to provide a snapshot of the ‘general public’s ’ understanding of search engine optimization.  All respondents were asked not to perform any research prior to answering the questions.

Interestingly, quite a few people (30%) considered SEO to be a practice performed by the search engines themselves, such as changing the algorithm to improve performance and deliver more relevant results.

In addition, a surprisingly high number of respondents (42%) had a basic idea of the practice of SEO, citing that changes would need to be made to a target website to improve its ranking in the search engine results pages (SERPs).

Putting a PRICE on the SEO service was a problem

SEOCostExpectations

There was a very wide gap in pricing expectations:

  • 46% of respondents had ‘no idea’ how much they could expect to pay for search engine optimization services
  • A collective 21% expected SEO to be either FREE (9%) or to cost less than $1,000 (12%).
  • 21% proposed a performance fee structure based on increase in bottom line generated through the SEO. Notably these were professionals from tertiary service industries such as banking, public relations and consulting.

Observation 1: If most people have no idea what to pay for the SEO service while a proportion would hand over potentially $1,000s in percentage based fees this indicates a significant gap in client expectations.

A website offering services at $200 is as believable as one providing the service for $2,000, because people literally do not know what to expect.

For SEO to be considered among other professional fields such as law or medicine, the SEO industry has to deliver its services at a certain benchmark standard in order for those services to be valued at a particular price.

Searching for SEO
Overwhelmingly, most respondents would use Google (64%) or a search engine (15%) to find out more information about SEO.How People Search for SEO
So, if people are using Google to research SEO, what do they find?

Sample of some of first page SERP results on Google.ca for phrase ‘search engine optimization’:

- Guaranteed Page 1 or Pay Nothing, Page 1 in Seven Days $69.95/Month
- Search engine optimization is the way to pull massive amounts of free traffic
- Get listed on 200+ search engines in 8 hours!
- 300+ Top 10 And Top 3 Rankings In Every Search Engine For $179.95

Observation 2: Guarantees! Promises! Refunds! First page Google rankings for a $100 per month! Free search engine submission to hundreds of search engines!

Search for a lawyer or dentist online and you will not see this type of price undercutting. The focus is on quality, expertise, value and years of experience.

The SEO industry is diluting the value of its own service with this type of advertising. Searchers form the opinion that SEO is a cheap; easy-to-implement service offering that any SEO business listed on the SERPs can perform.

Cognitive dissonance begins to form between client expectations and perceived value of the service. Clients expect top rankings to be delivered at a low price point.

Final Thoughts
Though the basic study that has been discussed was small and from a statistical perspective has limitations, the insight that just 33 respondents provided is significant:

- If most people would search on Google for SEO, where can searchers find quality information that will assist them in developing their expectations of SEO services?

- SEMPO does feature in the SERPs for some search terms and though the website is a valuable resource, does it adequately help shape a searcher’s understanding of why they would pay $100 for one SEO service and $10,000 for another?

- A standard definition of SEO would help the public understand what to expect from SEO and more effectively find services that suit their business requirements and budget.

- SEO standards would assist in setting a minimum benchmark for SEO service delivery, which would ultimately increase the client value perception of these services, and so many SEOs would no longer have to feel like they are working for FREE!

In the words of Ian McAnerin: ‘Standards? We don’t need no stinkin’ standards. But the public does. I think it’s time we grew up and took responsibility for our own profession, before someone does it for us.’

Originally published as an entry in Marketing Pilgrim’s 4th Annual SEM Scholarship Contest

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How Accountable is Your SEO Agency?

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Most SEO companies still talk about rankings as the first measure of SEO success, but is this really the best measure of their clients’ success?

Surely, clients would rather receive a monthly report that highlights the ROAS (Return on Advertising Spend) of the SEO investment, instead of a ranking report with arrows pointing out whether organic rankings have dropped or increased?

According to a 2007 iProspect and JupiterResearch study, 58% of search marketers’ job performance was evaluated on the amount of traffic driven to a client website. This was the leading metric used to evaluate how successfully search marketers were doing their job, on the traffic generated to a site. Similarly, in 2005 the same metric was the lead indicator of success.

Two years later, it would be interesting to see comparative figures for 2009, but even without this, it still appears that many SEO agencies shy away from solid monetary business metrics in the evaluation of SEO campaigns. Perhaps this trend would be more prevalent among smaller businesses and agencies targeting the SME market, because the top tier agencies have bigger client budgets, larger campaigns and more demanding corporate metrics on which to deliver, but it remains a serious problem.

Poor measurement and reporting of key metrics is a concern because the majority of businesses fall into the SME category, which means that apart from multinationals that have the budgets to commission top tier agencies, most businesses are being fed these non-monetary metrics, that do not offer any accountability, as measures of SEO success.

A ranking report and traffic volume chart do not tell a meaningful story unless they are backed up by conversion metrics, sales figures, customer acquisition costs, return on ad spend calculations and ROI percentages from the search marketing efforts.

Keeping the Waters MurkyMurky Waters
It would appear that most companies are reluctant to make web traffic and search engine ranking secondary measures of success because this would make them far more accountable for the work they do. The SERP positioning for a particular keyword does not actually mean anything. A keyword’s positioning only begins to have meaning when incorporating further metrics relative to this positioning.

A number one ranking in the SERPs that does not deliver traffic because the keyword is not searched, is like no ranking at all. The same goes for a keyword that receives traffic but does not convert – whether this is because the page to which searchers are taken does not satisfy search criteria or because of the questionable credibility of the page to which traffic is driven.

By focusing on monetary metrics, companies could more easily justify a higher spend on SEO to their clients, especially if clients could see positive ROAS figures. In this way, SEO agencies could grow client spend from the existing client base rather than aggressively hunting new sales.

Unfortunately, a certain stigma appears to linger in the SEO industry, that the lowest hanging fruit is the easy money. It’s not the smoke and mirrors of the past, in which anxious clients were stalled by the mystical ‘sandbox’ but the SEO relationship still seems to be built on a ‘need to know basis’. This usually translates to keeping the client in the dark because from the reporting that is done, it does not seem that the client needs to know much!

If the client knew how little value those rankings were actually driving, well, that would create more accountability and work for the company, wouldn’t it?

Ironic though that companies choose this path because this creates agencies that become like factory lines, doing the same thing for every client, not pushing the status quo, bringing in more clients but generating minimal growth in the existing client base. The great companies will always rise to the top, but unfortunately, not every business has the budget to work with the top agencies. What this means is that clients need to become more educated and accountable for the types of SEO agencies with which they choose to work.

Next time you receive your monthly SEO reporting, ask yourself what it’s really telling you. Does it share ANY valuable data? If not, it is up to you to do demand the monetary metrics that speak to your business bottom line.

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Guarantees in SEO – 100% Hocus Pocus?

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An interesting commenter dialogue discussing ‘SEO guarantees’ took place on my Marketing Pilgrim guest post. An innocent comment supporting the article’s take on the vast array of grandiose guarantees and claims made in the SEO industry, led to a debate on ‘SEO ranking guarantees’ vs. guarantees based on ‘performance based pricing’.

There is a clear difference between the two. This post will shed some light on the straight SEO rankings guarantee that should be avoided at all costs and the pay for performance (PFP) scenario that can actually cushion the risks of SEO.

SEO Ranking Guarantees – The Big No-No!
When making ‘guarantees’ the ultimate business faux pas in ethical SEO is guaranteeing SEO rankings. This is not because 1st page rankings cannot be achieved but rather the back door tactics that are traditionally implemented when making the guarantee statement.

According to the Oxford dictionary, a ‘guarantee’ is:
“a formal promise or assurance, esp. that an obligation will be fulfilled or that something is of a specified quality and durability”

The intrinsic problem with most SEO guarantees made online is that expected ‘quality’ or ‘formal assurance of fulfilling an obligation’ is devoid in these guarantees. There is absolutely no element of customer value because the guarantee is driven by the notion of making an easy buck through the manipulation of the uninformed rather than fulfilling a value proposition.

Let me illustrate. Below is an example of an SEO ranking guarantee:
‘Submit Express will guarantee at least 20 top 10 rankings within 6 months across the major 15 search engines or your money back.’ (source)

What’s wrong with this you ask? 20 top 10 rankings across 15 search engines, that sounds pretty good! That is exactly the problem, it sounds good, but it’s not!

Let’s break up this statement – where are the loopholes?

  • ‘will guarantee at least 20 top 10 rankings’

•    How do you know how valuable or competitive these keywords will be?
•    Are these long tail keywords for which your site may ALREADY rank?
•    How much valuable traffic will these keywords drive to your site?
•    What is the expected ROI on the traffic from these keywords?

  • ‘across the major 15 search engines’

•    First problem – there are ONLY 3 major search engines, they are referred to as the ‘Big 3’ or ‘Tier I’ search engines, they are:
- Google
- Yahoo!
- Bing

4th on the list is Ask.com, this engine actually has its own search engine and feeds other engines. The other search engines such as (AOL.com, iWon.com, EarthLink.com, DogPile.com, MyWay.com etc) feed their search results from the above four engines in some form or other.

For a clearer picture of market share, a July 2009 Hitwise report summarises the current market share picture:
Hitwise U.S. Search Market Share

In other words, In June 2009, Google was utilised for 74.04% searches performed by the sample of 10 million U.S. Internet users.

The search engines (Google, Yahoo, Bing, Ask.com) account for 98.63% of the total searches, leaving all the other search engines with 1.37% share for which to compete!

The final word: The above ‘guarantee’ will rank your site across 15 ‘major’ search engines, 11 of which account for 1.37% search engine market share for keywords whose value impact on ROI are questionable without further information.

For further insight on some of the shady practices used by certain businesses that guarantee rankings, check out this YOUmoz entry.

Guarantees like the one discussed, abound and it is primarily for this reason that reputable SEO firms don’t promise guaranteed search engine rankings.

Pay for Performance Guarantees
Success / performance based pricing or pay for performance (PFP) as this pricing model is often referred to works on the premise that the client will make certain payments based on the rankings / traffic / ROI that has been achieved. The exact model will vary from contract to contract but the premise remains that the client must see real traffic value before making any significant payments.

This model has its benefits for the uncertain client as it provides a safety net and minimises client risk. It is different from the straight ‘SEO ranking guarantee’ because it says: ‘If SEO company achieves X, client pays Y, but if X is not achieved, client does not pay Y.

The focus of the guarantee changes because the SEO provider is no longer guaranteeing SEO rankings (which in effect the SEO company cannot control) but rather guaranteeing its service.

What this says is this: ‘We (SEO company) are confident that you (the client) will be satisfied with our services. We (SEO firm) do not control rankings but we do control our own strategy and we are confident of our abilities. Thus, if we do not achieve the agreed to goals of meeting satisfactory SEO results, you (the client) do not make any payments.’

But what are Satisfactory SEO Results?
We’re back to that hitch! How do you know that the PFP terms & conditions are going to be in your (the client’s) favour? YOU DON’T! It is important to remember that PFP can also be manipulated to the advantage of the SEO firm rather than the client. It is not a panacea to avoiding SEO ranking guarantee scams.

It is for this reason that whatever SEO agreement you sign, you need to be sure that you understand the lingo, jargon, fine print and any other question marks on which you are unclear.

Any reputable SEO firm will explain exactly what the contract states and should, if asked, break down the terminology in such a manner that both parties are completely clear on what the agreement is really saying.

Pay for performance may work for some clients but not every SEO firm will offer these types of agreements. Why? Try saying to your lawyer that you’ll pay them when you’re happy with the level of service they are providing you!

So, stay away from SEO ranking guarantees, consider PFP if that rocks your boat but most of all, do your research, know what you’re signing and don’t be hoodwinked by online scammers!

Surely, if the No.1 Google position for a term like ‘office furniture’ is potentially worth millions of dollars, how on earth can this term be ranked in the top position for a few hundred dollars?

It can’t! Get used to it – reputable SEO is a resource intensive, high value, medium-to-high cost, long term investment! If you want to make millions from your rankings, cough up more than a few hundred bucks to achieve those positions!

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