Introduction
The fourth quarter has always proven to be the busiest for marketers—retailers in particular—because of the holiday season. On a quarter-over-quarter basis, advertisers faced increased competition resulting in higher costs per click.
As predicted earlier this year, we saw mobile traffic peak at nearly 22% of all paid search clicks on Google in the US; we saw similar mobile traffic levels in the UK and Australia. We continue to see staggering growth around the adoption of smartphone and tablets for search advertising.
As Marin’s customer base continues to expand globally, we have committed to expanding our analysis into new verticals and geographies to help provide more granular insights for marketers.
In this quarterly report we included insights on paid search performance in Australia as well as industry-specific metrics for the Finance, Retail and Travel verticals in the UK.
Research Methodology
To uncover key trends for the fourth quarter of 2012, we sampled the Marin Global Online Advertising Index, which includes global advertisers and agencies that invest over $4.0 billion annually in biddable media through the Marin platform. The Marin Global Online Advertising Index consists of enterprise-class marketers—larger advertisers and agencies that spend in excess of $1 Million annually on paid-search, display, social and mobile. As such, our data sample and findings skew towards the behavior of larger organizations and incudes some of the world’s most sophisticated advertisers.
This study is longitudinal, focusing on a representative set of advertisers who have been active on Marin for the previous five quarters and measuring key performance indicators (KPIs) on a year-over-year (YoY) and quarter-over-quarter (QoQ) basis. Unless otherwise mentioned, all of the analysis in this study refers to trends in the search (versus content) network. Wherever possible, we used medians and indexed values—instead of absolute values—to more clearly highlight overall trends. This allows us to mitigate the effects of outliers and make the findings more representative of the performance of the typical Marin client. For the Q4 2012 report, we refreshed our client index data pool. This could result in slight deviations from previously reported data but makes for more representative analysis and findings.