Is it irrational to reduce search and affiliate marketing budgets?

Advertising marketers ' budget considerations for online, search, and affiliate marketing often determine how they reflect macroeconomic factors and how they can grasp new opportunities in the marketplace. Some of the major advertising marketers have taken an effective approach in the economic environment, and some have even called it irrational.

During the recession, many marketers cut advertising budgets, canceled advertising campaigns, and lost as much weight as possible. This works very well and I don't know whether advertisers and http://www.aliyun.com/zixun/aggregation/11021.html "> Advertising agencies are prepared to deal with the problems in a depressed economy, because in this environment, Consumers mainly rely on the Internet, especially the search engine to choose a transaction, choose a reasonable price. If media development is the same as it was 10 or 20 years ago, these marketers can make their own decisions.

For more than 10 years, I've been focusing on online marketing and paid search. I was puzzled when marketers made irrational marketing decisions. If we look at the PPC search marketers who set annual budgets or adopt affiliate campaigns and customer purchase plans, they will see that they are very irrational, in part because of the corporate structure, partly because of lack of education and familiarity with customer buying habits.

For better or worse, current search marketing and affiliate marketing budgets are reflected in a direct way, which means that the ROI goal of the assessment can be a self-fulfilling campaign, which means that every penny spent will push the search revenue of the site up. As a marketer, you buy ads below a dollar and gain from each transaction. And so on, it comes to the conclusion that the clicks you buy will have an expectation and a forecast of the conversion rate, revenue, profit, or customer value cycle.

When you ask marketers how they budget search and affiliate marketing campaigns, they will say that search and affiliate marketing budgets are just another form of advertising. When the search marketing budget is viewed in the same way as television, radio, print, or other online marketing, the budget is reduced. This may not be the best solution.

Among the marketers I've communicated with, including customers, they seem to be more flexible this year than they used to be. Some flexibility is driven by changes in the supply chain, while others are driven by internal budget decisions. In addition to in-depth search marketing research, I also focus on the Alliance marketing area, because two areas are closely linked. Interestingly, recently Staples launched its own affiliate marketing program:

Staples's marketing plans for June and July are experiencing short-term budget problems. In this way, the federated channel will be affected, and the number of delegates for most distributions will be reduced during this period. When Staples wants to maintain the alliance, the distribution may be expelled. However, some delegates will be reduced to 0 dollars by August. You know, this kind of budget reduction is not the Staples Alliance plan or the Staples Alliance thinking action, thanks to our alliance, the plan has been a great success, we hope that this summer will continue to implement the plan.

Is it a wise test, or an arbitrary decision, for Staples to decide how much revenue to increase by the alliance-driven? No one outside can be quite sure. Such moves are a dramatic experiment. Many marketers see the cost of a sale, not the marketing cost, of the alliance and the cost of their search. If search and affiliate marketing costs are considered to be cost of goods or commissions paid to the media or distribution, blind budget cuts are no doubt the same as marketing suicides.

Unless marketers are persuaded to prove that their search for marginal profits or affiliate marketing inputs is negative. In fact, this is what many marketers are doing. When advanced marketers adopt technology, joint advertising companies to start overall marketing, adjust the search, display or even offline advertising impact, so that consumers maximize the purchase behavior, some marketing chambers to make no data support blind media budget decisions. So make sure you're not an irrational marketer.

(Original starting on June 6, 2008; Compiling: Song XI)