JupiterResearch Finds More than Half of Large US Advertisers Plan Double Digit Spending Growth on Search Engine Marketing in 2007

Business Wire, April 10, 2007

NEW YORK -- JupiterResearch, a leading authority on the impact of the Internet and emerging consumer technologies on business, has found that 26 percent of large advertisers in companies with annual revenues of $50 million or more plan to increase spending on search engine marketing by more than 25 percent this year. Detailed in a new report, US SEM Executive Survey, 2007: Understanding the Increasingly Sophisticated Search Marketer," JupiterResearch has found an additional 28 percent of large advertisers anticipate spending increases between 11 and 25 percent, based on the expectation that keyword prices will continue to rise. These findings and more will be presented at the Search Engine Strategies Conference in New York today.

"Because marketers with large companies anticipate including major search engines as part of their branding campaigns, they realize this tactic could result in additional expenses and are planning accordingly," said Kevin Heisler, JupiterResearch Analyst and lead author of the report. "But the additional cost is just one of the challenges faced by marketers today."

In addition to keyword inflation, complex campaign management and methods of tracking the success of search engine marketing activity continue to elude marketers. More collaboration among company CEO's, CMO's, and CTO's could change that, the report states.

"New media has changed the focus of marketing strategies used by companies of all sizes. Accountability is crucial, but understanding these tactics shouldn't fall solely to Chief Marketing Officers," said David Schatsky, President of JupiterResearch. "Other key players such as Chief Technology Officers and brand managers should also be involved in the search evaluation process."

The complete findings of this report are immediately available to JupiterResearch clients online at www.jupiterresearch.com. For details on JupiterResearch's methodology, visit www.jupiterresearch.com/bin/item.pl/methodology or email press@jupiterkagan.com to request a detailed methodology statement. For additional information on this report or JupiterResearch's Search Marketing research service, visit www.jupiterresearch.com

About JupiterResearch

JupiterResearch provides unbiased research, analysis and advice, backed by proprietary data, to help companies profit from the impact of the Internet and emerging consumer technologies on their business. The company helps online businesses make critical decisions about technology selection, spending, staffing, and Web site effectiveness; advises consumer-facing companies with online advertising, marketing, and customer service strategies to understand, attract, convert and retain customers; and guides technology vendors and service providers on market opportunity, positioning, product definition, and pricing. JupiterResearch is headquartered in New York City and has offices throughout the US and Europe. For more information, visit www.jupiterresearch.com.