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AutomationDirect found 3x the clickthrough rate at half the cost with Google AdWords.

Ten-year-old AutomationDirect is a direct marketer of industrial automation components. Through its website (www.automationdirect.com) and print catalogs, the company sells thousands of programmable logic controllers, sensors, operator interface panels, AC drives, motors, enclosures, timers, and other industrial control devices to customers in industries ranging from water treatment, power management, and food processing to all types of manufacturing. Since 1999, the company's sales via the Internet have grown substantially; and since 2000, AutomationDirect has sought to maximize its online presence through various paid placement programs, as well as search advertising.

"Google has remained our most effective search engine and source for online ad delivery for quite some time. We have experienced record high web activity in all areas: hits, page views, average daily visitors, unique IP addresses, and increased visits to our documentation and tech support pages."

Liz Jacobson
Online Marketing Specialist
AutomationDirect.com


Approach
Online marketing specialist Liz Jacobson launched the company's first comprehensive Google AdWords™ campaign in 2002. Her goal was to increase clickthrough rates to the company's e-commerce site to gain better visibility for the company's industrial automation products. In addition, she wanted to increase the number of newsletter subscribers, catalog requests, and sales. And she didn't want to spend a lot more than she had been previously to achieve those goals.

Results
Moving from the previous AdWords CPM-based model to the newer cost-per-click program in 2004, Jacobson added a few hundred more keywords to her campaign. "Google AdWords produced more clickthroughs in three months than we got over 10 months in 2003 for the same monthly expenditure, and the average cost per click is less than half what it was previously," says Jacobson. In fact, she adds, "Google has remained our most effective search engine and source for online ad delivery for quite some time. We have experienced record high web activity in all areas: hits, page views, average daily visitors, unique IP addresses, and increased visits to our documentation and tech support pages."

Jacobson also notes that the AutomationDirect site now sees more visitors per month than the typical number of leads delivered by trade publication advertising. The conversion rate is good, too, she adds: "All our conversion indicators are definitely up: newsletter subscribers, product catalog requests, and sales."

Taking advantage of AdWords' activity and performance reports, Jacobson notes that her company is seeing "increases in product sales corresponding to popular product keyword inquiries." She spends about two hours weekly monitoring and adjusting her campaigns, and once a month conducts an in-depth review at the keyword level. A relatively small percentage of her overall advertising budget is dedicated to online programs, because the cost for lead acquisition using AdWords is "dramatically less" than it is in other forms of advertising they use (direct mail, trade shows, and trade publication advertising). Summing up her AdWords program, Jacobson says, "Given the scope of our results, it's been well worth it. We are very likely to continue."

About Google Advertising
Google AdWords is currently used by thousands of businesses worldwide to gain new customers in a cost-effective way. AdWords uses keywords to precisely target ad delivery to web users seeking information about a particular product or service. The program is based on cost-per-click (CPC) pricing, so advertisers only pay when an ad is clicked on. Advertisers can take advantage of an extremely broad distribution network, and choose the level of support and spending appropriate for their business. For more information, go to www.google.com/ads.

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