SEM/SEO

SEM

Short for search engine marketing, SEM is often used to describe acts associated with researching, submitting and positioning a Web site within search engines to achieve maximum exposure of your Web site. SEM includes things such as search engine optimization, paid listings and other search-engine related services and functions that will increase exposure and traffic to your Web site.

Search engine marketing (SEM) also know as keyword marketing

Simply put it, not matter what kind of web site, after launching it needs to be found, and search engine marketing achieves the goal of marketing through increasing your website's ranking. The increase of your website's ranking can influences the flow of your website directly, and thus creating more business opportunity. Because SEM is a self employed behavior, unlike the traditional forced exposure form of banner advertising, it has a higher hit rate thus increasing its popularity as a form of internet marketing.
As SEM has a high hit rate with a low cost per hit, it is the most popular form of internet marketing for small and medium-sized enterprises. SEM can be done using two methods: PPC ¡V Pay Per Click or SEO ¡V Search Engine Optimization.

Why We Need SEM

High hit rate, PPC - Pay Per Click can increase 3~ 10%; SEO - Search Engine Optimization of the first three pages can increase up to 90% hit rate.High accuracy and conversion rate. Creating a branded image, 36% of the browsers believe the top three websites of a search as a leading brand(eMarketer).CPC (Cost per click) low, high accuracy.
Combining the points about, you can really understand the characteristic of SEM. High hit rate, high exchange rate with a low CPC.
No wonder why for the past few years SEM has become the advertisers' favorite choice. SEM still has an unlimited potential for future growth. And in America the percentage of SEM over the internet marketing has secured its position to becoming the most import form of internet advertising's tool.

Methods of SEM - PPC, SEOSEM can be separated into PPC and SEO:

PPC Introduction

Ranking is Based on a Bidding Policy Pay per click (PPC) is the most common form of SEM. Firms or advertising consultant suggests the keywords they want to purchase, and through bidding every keyword is charged according to the hit rate and the placing of the website. Firms can control their daily budget by placing a cap. However it is presented differently on yahoo and Google

SEO - Search Engine Optimization¡GSearch Engine Optimization (SEO)

The biggest different from PPC is that it is a natural result from a search, not advertising. Through designing SEO satisfies the search engines logic, thus naturally increasing the result of a search. As the browsers know this is not a result of paid advertising, so through the technique of SEO placing your website one the first three pages, naturally increases the flow of crowds.

The Trend of SEM

According to the prediction of American Association of Advertising Agencies (ANA), 80% of the future advertising in America will allocate more budgets on the media of internet. Further more 68% will chose search engine as their main channel of internet marketing.
Even yahoo predicts that this year PPC ¡V pay per click advertising will double its growth, reaching a scale of one billion, and expected to increase to four billion with in the next two years, becoming the highest budgeted form of advertising.
According to the two points mentioned above, we can come to the conclusion that within the next few years search engine marketing through ranking will play a major role in internet marketing methods

source : awoo