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SEM

Marin: Search CPCs outpaced spend growth in Q4 2017

Mobile search click costs increased by 25 percent year over year, according to Marin Software's Q4 2017 reporting.

Ginny Marvin on January 25, 2018 at 4:43 pm
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Paid search spending increased by just over 10 percent year over year in Q4 2017 across Marin Software’s customer base. CPC growth doubled that of overall spend with an increase of roughly 20 percent year over year.

Mobile CPCs increased 25 percent year over year, accounting for 53 percent of total spend. Google took 89 percent of search spend share, with 11 percent going to Bing. The findings are part of Marin’s Q4 2017 Digital Benchmarks Report highlighting some of the key metrics realized across the accounts running campaigns through the platform.

Click volume was off roughly 7.5 percent from Q4 2016, while click-through rates increased from roughly 1.75 percent to more than 2.5 percent.

Source: Marin Software

Given the holiday season, it’s not surprising to see investment and activity in Shopping ads increase. Marin saw Google Shopping ad click share increase by 31 percent from Q3 to Q4 2017.

Looking more closely at CPCs by industry, education continues to stand out, with average CPCs of $3.80. However, that’s actually a decline of 2 percent from Q3.

Source: Marin Software

Two other points of interest from the report:

  • Just 24 percent of the accounts included in the Q4 review were using audiences in their search campaigns.
  • The number of ad groups that had three or more active ads actually fell by 3 percent from Q3 to Q4 2017 despite Google’s push to get advertisers to embrace the idea of running several ad creatives to improve ad group-level metrics.

The full report is available for download (registration required).


Opinions expressed in this article are those of the guest author and not necessarily Search Engine Land. Staff authors are listed here.



About The Author

Ginny Marvin
Ginny Marvin was Third Door Media’s former Editor-in-Chief (October 2018 to December 2020), running the day to day editorial operations across all publications and overseeing paid media coverage. Ginny Marvin writes about paid digital advertising and analytics news and trends for Search Engine Land, Marketing Land and MarTech Today. With more than 15 years of marketing experience, Ginny has held both in-house and agency management positions. She can be found on Twitter as @ginnymarvin.

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