Launching a PR, marketing or advertising campaign requires a great deal of research, analysis of internal and external factors and strategic planning. To successfully do that people working in the traditional marketing are using S.W.O.T and P.E.S.T.E.L analysis. In this article I will show you how you can use these magic acronyms to help you better self-reflect, analyse and plan your PPC campaign.
Let’s start with the SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) . You probably ask yourself how this simple matrix will help me analyse something that complicated such as PPC?
Well let me show you how a SWOT analysis will look like for a PPC campaign :
As you can see in the table above Strength and Weaknesses are the factors you can manage and change, you have power over them. A Weakness may become Strength over the time. For example lack of mobile search understanding or investment may become a Strength if you notice that most of your customers are using mobile phones to visit your website and you take the needed actions to turn mobile search into your advantage. Moreover your aim is to turn all the Weaknesses into Strengths. For example if your quality score is low you should focus your work on : The relevance of each selected keyword to its ad group ; your landing page relevance ; the quality and relevance of your ad text and last but not least your historical AdWords account performance; improving all of these above will help you increase your Click-through rate which is the most important factor in Quality Score algorithm. Also Higher Quality Score correlate with lower cost per conversion, which means better ROI.
As a business you have to be prepared for everything. New opportunities and threats will rise on the horizon. The online marketing depends on the third party – Google and your business will always have to play the game according to their rules. However sometimes google is forced to make changes in it’s policy which might be beneficial or damaging for your business. For example Google might decide to increase the positions for PPC which will increase the competition and your investment. But sometimes some threats might become opportunities. For example the Antitrust Agreement between Google and EU change a lot the AdWords and the vertical search which was beneficial for a lot of businesses.
So if you want to keep track on rising Opportunities and Threats you must conduct internal and external audits such as SWOT and PESTEl.
Furthermore PESTEL analysis will help you to understand better external factors such as : political , economical, social, technical , environmental and legal factors. In PPC point of you we can put political and legal factors together because as a mention above google might be forced to make changes because of political decision which is made upon new privacy law or competition law. Also before starting a PPC campaign you should ask yourself : What are the government laws and regulations regarding online advertising in your local area or nation? Will this regulations have a bad or good impact on my PPC campaign ?
The economical and social/culture factor will require a deeper analysis of your customer base and market. You have to ask yourself questions such as : How the current economy impact your customers and competitors?, How their current lifestyle will influence the online purchase. ?, What are their values regarding online advertising, is it effective?. Etc.
May be the most important factor here is the technological one. You need to understand how your customers search – do they use Laptops, mobile phones or tablets. Also you have to think “outside of the box” by this I mean outside PPC. You should take into consideration that customers can get information about your product or services from different sources (forums, social platforms, reviews , testimonials, etc). So maintain your good image, quality product and good customers services will be beneficial for your CTR. For example influencing your customers through social medias and carrying this influence over your social extensions in Adwords will definitely build a strong brand awareness and trust. In conclusion the factors in S.W.O.T and P.E.S.T.E.L are connected and depend on each other. Understanding the Opportunities and Threats for your business will help you identify your Strengths and Weaknesses and vice versa.
Thank you for reading in the next post I will discuss how to use Product Life Cycle to support our PPC campaign.