In our last blog in this series, we discussed the importance of incorporating diverse sets of data into paid search strategies, which has been central to Adlucent’s success. But data itself can only go so far. The complex world of Retail requires sophisticated technology to turn those data assets into advertising decisions. Let’s examine the key features that your search technology must have to make your program the most successful.
The Need for Better Decision Making
Any retailer can use standard—or base—data inputs such as search engine and conversion data to optimize advertising. This is found in all paid search tools. However, it’s important to go a level deeper. Information about a retailer’s products, customer segments, margin, new customers, inventory, cross channel sales, offline sales, client customer data, digital analytics data, and more should also be included to ensure greater accuracy and relevancy.
One Size Does Not Fit All
First, it’s important for the search technology you choose to scale for any sized environment, large or small. For example, Adlucent’s Deep Search® was built to scale for a retailer the size of Amazon.com (a seven-year client), so it can work for those with 20 SKUs—or 20+ million.
Second, technology should be tailored for the industry it serves. Retail, which factors in issues like inventory, pricing, and product information, is so very different than an industry like Financial Services. Why would you use the same technology platform for both? Furthermore, each business serves a slightly different customer, so your algorithm should be designed for your customer sets.
Finally, the algorithms should evolve. Consumer behavior changes every year. Your business goals change every year. Your algorithm needs constant tweaking to ensure your search program is optimized to your customer’s shopping behavior.
Managing the Technology
While technology can help you increase paid search revenue, it takes a reliable team to ensure you’re on track to achieve every one of your goals. A strong account team will serve as an extension of your own in-house team, and work with them to achieve your business goals with the most relevant data available.
Your team should be focused on performance—increasing revenue, not ad spend. Many agencies and the off-the-shelf technologies they use, charge a percent of ad spend, which means that they are designed to increase ad spend. Your partner should be willing to offer a model where they are incentivized to grow revenue, which we refer to at Adlucent as the performance model. The right technology will focus on efficient revenue growth versus ad spend growth.
The key to remaining competitive is through continuous improvement. Your technology partner must be a nimble, agile, and data-driven technology company, working to constantly introduce new features that deliver game-changing performance to the market. Their focus should be on your business. They should be able to iterate quickly, customize the technology as needed, and drive innovations that aren’t based on a “one size fits all” approach.
What do you look for when choosing a new search technology?
Looking For a New Partner?
Adlucent’s Deep Search® is the only solution to deliver on all of the requirements listed above. For a more in-depth look at technology at Adlucent, check out http://www.adlucent.com/digital-marketing-technology.