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List Moderator:                      Published by:
Adam Audette                            LED Digest
adam,led-digest.com      http://www.led-digest.com
................................................
August 5, 2004                         Issue #1851
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           .....IN THIS DIGEST.....


====== NEW ======================

        --== The Future of SEO ==--

                ~ David Yancey
"...in just a few short years, SEO will *not* be a viable
option for the vast majority of website owners."


==== CONTINUING =================

        --== Inktomi / Yahoo? ==--

                ~ Peter Warnock
"Inktomi was a great way to show up in the engines
fast with a brand new site."

        --== Click-Thru Discrepancies ==--

                ~ Jamie T Voss
"There are people out there like me who want to
build trust and provide decent services..."

        --== Part Simple, Part Industrial Stats Programs ==--

                ~ Don Baker
"The stats issue has been something our company
has researched in recent months..."

                ~ Martha Retallick
"Permit me to recommend the hosted version
of ClickTracks."


==== BILLBOARD ===================

        --== Affiliate Links in Sig Files? ==--
                ~ Greg Watson
                ~ Richard Dudley


======= NEW ======================================

From: David Yancey
Subject: Suggested NEW thread - Putting SEO in Perspective

Putting SEO in Perspective

In recent issues of LED, Nick Usborne and others have raised the
specter of PPC fraud.  Eddie Teo (and others in earlier posts on
related threads) have discussed this apparently widespread problem
in the search industry.  They have made the point that this hidden
expense is one aspect of the high cost of PPC, where, thanks to
constantly escalating keyword bid prices, the cost per click is at
ruinous levels in many instances.  Paying for these clicks is bad
enough; paying for ghost clicks compounds the problem.

Like others, some posters argue that site owners should make better
use of SEO techniques to enhance their rank in the "natural search"
results of Yahoo, Google, and the coming new MSN search tool.

Here, for example, is a new article touting "natural search" by a
qualified SEO/SEM expert:  http://snipurl.com/87zu [mediapost.com]

I of course encourage site owners to do what they can to help ensure
a high page position in search engine listings.  But you should also
be aware that in just a few short years, SEO will *not* be a viable
option for the vast majority of website owners.  Yes, you read
right; I am saying what, to some very smart and highly credible
people like the estimable Jill Whalen and her SEO peers, will be
taken immediately as heresy.

My reasons for this seemingly striking prediction are not hard to
follow:

First, understand that about 80% or more of the successful
click-outs to sites go to the few top-ranked positions in the
"natural" listings section of a search results page.  Why?  Because
the "normal" searcher simply refuses to spend time going down a long
list of SE results, or scanning multiple pages of them.  I see no
likely (major) change in this behavior, as much as we'd all hope to
the contrary.

This means that the current battle between talented SEOs and search
engines (who have no wish to make SEO easy to do or transparent)
will not just continue; it will escalate in intensity.  Very soon,
aggressive marketers are apt to be paying their SEO wizards as much
or more per click for their expertise as they are paying in PPC
charges for leads generated from AdWords or the like.

And guess what!?  This cut-throat competition for high page
visibility won't do even the better-funded, bigger-budget sites much
good, ultimately.  Do the math: in five years, almost every business
will be trying to get its pages ranked in these upper-most
positions.  But for any highly-used keyword or phrase, only perhaps
a few dozen businesses in the entire country can expect to be
consistently ranked high enough to gain substantial click-through
traffic from SEO-enhanced "natural search".

A bummer for the rest of us, but I am afraid it's inevitable.  It
has nothing to do with SEO skills or SE greed, but arises from the
simple scarcity of upper-page positions in the few highly trafficked
search sites. The reality is that we are limited to a fixed set of
keywords, and a few top slots, so the pressure by hundreds of
thousands of sites to be in one of those top slots clearly means
that most sites will not be seen.  Over the next few years, this
vicious competition will gradually work its way across even the
not-so-frequently used keywords, as companies look for odd phrases
that describe their business or site.

The competition at the top of search engine results pages (SERPs)
masks an even more basic weakness in the "pure SEO" strategy.  This
weakness comes from the gradual *lessening* of importance of
conventional search results in the total process of finding relevant
online pages.

Consider that, today, a great many users do *not* use SE tools,
because the results are seen to be not relevant, stale or dated, too
"commercial", or just plain overwhelming.  For a very large
proportion of users, the process of dreaming up a clever search
expression is just too mystical. The irony is that while Google and
the well-funded wizards of MSN and a hundred smaller search tech
firms are busy trying to find new ways to include even more
"results" and page choices, users are giving up from the already
intimidating "millions" of supposed matches to their queries.

It is therefore not too surprising to predict that by, say, 2008,
"natural search" listings in the 3-7 main global "search engines"
will account for perhaps only 10% of all the *first-time visitor*
click-throughs to web sites.  How can this be?  Because:

-  Probably 20-25% of first time visitors will be using alternative
online search tools and directories, which will be more sharply
related to their particular queries, interests, and product needs,
such as travel search tools or automotive info sites that double as
search engines.

-  Another 15-25% of first time site visitors will be turning to
tools that are better focused on their specific geographic area,
such as Internet Yellow Pages and the various city info guides.

-  At least 40% of first time visitors will be coming directly from
links in other sites.  Many of these will be affiliate-type links,
and others from various forms of paid advertisements; but, do not
discount the very large number of new visitors that will be clicking
on (unpaid) in-context links, such as references in community
forums, online articles, and product reviews.

This means that the SEs will be producing perhaps less than 20% of
new visitors.  And we need to remember that easily half of these
will be clicking on "sponsored" listings -- the ones not susceptible
to SEO manipulation or influence.

The above explains why I suggest that the potential maximum pay-off
from SEO will thus be perhaps 10% of your new traffic -- and that
only for the sites who can compete for superior page position.

Hence my prediction that for smaller businesses and those on the
local level, "natural search" and SEO will become relatively useless
as a means of acquiring substantial new prospects.  Truth be told,
it already is a bust for perhaps a million commercial sites who are
bringing up the rear in online business.

The conclusions?

By all means, make a realistic investment in SEO right now, and work
the natural search potential as well as you are able.  But with the
cost of acquiring new prospects likely to escalate, and the limited
long-term effectiveness of techniques such as SEO, investigate
economical alternatives such as paid-inclusion.  And above all,
start programs *now* (if you have not already done so) to make your
site easy for new prospects to find in non-search venues.

David Yancey
http://www.vivante.com


===== CONTINUING =================================

From: Peter Warnock
Subject: Inktomi

> I am wondering if anyone else has received the renewal from
> Inktomi / Yahoo and what the verdict is... I am reluctant to pay
> an annual 'review' fee based on the URLs PLUS a click through
> fee...
        - Charles Bennett, LED 1850

Inktomi was a great way to show up in the engines fast with a brand
new site.  Eventually the engines organically pick you up and
there's no need to continue the subscription.

Peter Warnock
webstruction.com


------- new post - new topic ---------

From: Jamie T Voss
Subject: Click disparities

> ... I have fair numbers of visitors to my sites and considerably
> high conversion rates, and I am a total convert and a non-believer
> in PPC. If something aint working for you, I suggest you drop
> them, no point wasting money for something which isnt working...
        - Eddie Teo, LED 1849

In LED 1787 I wrote about building trust as a small PPC Engine [
http://snipurl.com/8802 ].  There has been a lot of discussion
related to Pay-Per-Click, SEO and paid inclusion search engine and
directory advertising since then.

My first experience in business on the web was writing and selling
my own custom software development tools. I got into the business of
creating my own small PPC engine and website directory indirectly.
I found I was spending so much time finding ways to advertise my own
software that I might as well focus on that and see if I can provide
the same service for others.

>From the beginning I wanted to provide a service that was fair and
trustworthy.  I think that one benefit of having your website listed
in a directory or PPC search engine is that you increase your
chances of your link coming up in a search engine like Google.

By building a directory first and a PPC engine second I keep your
links exposed to search engines all the time whether you've bid
keywords or have any funds in your account or not.  I think this
provides a better service than any other PPC search engine out there.

I'm also working hard to provide additional features such as being
able to display images, categories, sub-categories and business
address and contact information with your links.

Finally, I provide access to all the tools up-front and one free
listing so you can try everything out and see all aspects of the
service before you commit any funds.

I hope you'll try it out.  There are people out there like me who
want to build trust and provide decent services even in an industry
that is overwhelmed with fraud like website advertising.

Thanks,

Jamie T Voss
http://login.vsoftdev.net
http://www.portxml.com


------- new post - new topic ---------

From: Don Baker
Subject: Stats

> Can you guys point me in the direction of your favourite,
> easy to understand, graphical... webstats package
        - Dirk van der Werff, LED 1848

The stats issue has been something our company has researched in
recent months, as our clients need either / both 1) detailed web
traffic stats, 2) pay-per-click (PPC) conversion stats.

After checking out a number of alternatives, we've just signed up as
a partner for IndexTools ( www.indextools.com ), which combines web
stats (like WebTrends) with an option to track all conversions from
PPC ads (using a snippet of code).

You can take a look at a demo site by going to our partner login
page at http://www.conversionconnect.com and typing in "demo" for
both username and password. You'll see all the detailed stats
available when you use the IndexTools services.

You can also sign up for a free 15-day trial of the IndexTools
service by clicking the link on the http://www.conversionconnect.com
login page -- no obligation, etc. (If you decide to continue as a
paying customer, you can do it through ConversionConnect -- costs
are the same as through IndexTools, but my company gets a portion of
the fee.)

Don Baker

NSI Partners
http://www.nsipartners.com


------- new post - same topic --------

From: Martha Retallick
Subject: Stats

Permit me to recommend the hosted version of ClickTracks. Details
at:  http://www.clicktracks.com/hosted/

My search engine guy, William Johnson, turned me on to this product.
It works by tracking a snippet of Javascript that you place on each
page.

In addition to setting up the ClickTracks account for me, William
also provided me with a one-hour tutorial on ClickTracks data
analysis. We focused on my first month of data, and, oh, was it an
educational experience!

In addition to ClickTracks, I highly recommend William's SEO work.
Contact him via:  http://www.netprofitnow.com

Hope this helps!

Martha Retallick

"The Passionate Postcarder"
http://www.postcardmarketingsecrets.com


==== BILLBOARD ====================================

From: Greg Watson
Subject: ID links

> What do LEDers think about affiliate links [in sig files]?
        - Steve Pronger, LED 1850

Absolutely not, never, please, please, please NEVER. I do not want
to take the time to "question" or "evaluate" the motivation of
someone's post.

I am perfectly willing to check out a website recommended by A
Disinterested Party, but I do not have the time to sort through the
hype of an affiliate. While I trust that you would weed out the bulk
of that type of post, I don't want to waste my time always having to
question the source and motivations of the poster.

Greg Watson


------- new post - same topic -------

From: Richard Dudley
Subject: ID links

2% of sales via that affiliate link go to support LEDD?  This is an
ad-sponsored medium (thank you pair networks!).

It kind of puts retail operators in an odd position -- I'm dropping
in my URL more to say "here's where you can find me if you need to",
and to let you know I'm not some anonymous schlep.  Granted, I have
my choice of several websites, I just use the one or two closest to
me.  I'm not directly trying to sell anything, but if you buy
something, I won't complain.

Rich Dudley
www.bloomeryweddings.com


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