economics

Search Engine Advertising and Organic Traffic Search Engine Marketing creates visibility and generates traffic from search engines by showing the right message at the right moment and responds on the intentions of the users of the search engines. This is called Search Engine Marketing (SEM). You can divide SEM in two 'disciplines': Search Engine Advertising (SEA) and Search Engine Optimization (SEO). SEM results are quantified by a couple of key metrics. The following metrics are both relevant for SEA as for SEO: Impressions: the number of times within a certain lapse of time in the SERP people saw the paid/organic result. Clicks; the number of times within a certain lapse of time in the SERP that people clicked on a certain paid/organic result. Click-Through-Rate (CTR); The percentage that shows the ratio between # clicks and # impressions. For example: if there is 1 click per 10 impressions, the CTR is 10% " Conversion: an act of value, made by a website visitor. For example: an order or a newsletter subscription (soft conversion) Conversion %; The percentage that shows the ratio of # clicks and # conversions. For example: if there is 1 conversion on 10 clicks, the conversion percentage is 10% One of the primary objectives of search engine advertising (SEA) is to generate advertising page impressions and increase the click-through rates (CTR) to the firm's online content. In recent years, SEA has become almost synonymous with Google Ads, which is a product of Alphabet Inc. that offers marketers a range of advertisement opportunities. The principle of placing ads through Google Ads is based on auctioning. Advertisers bid on a specific keyword and pay for clicks on advertisements (cost per click, or "CPC"). The scope and effectiveness of the SEA measures is thereby always dependent on the amount of invested advertising budget as well as the actual interest for specific keywords. Isolation Studios is a movie theatre that focuses on online advertising to draw people to their website. For this, the Isolation Studios' marketing department relies on Google Adwords, as well as banner ads on both Facebook and the website of a popular movie blog. In light of an audit of the department, the firm's top management wants to know how much traffic to the website the advertisements are generating. For this, they regressed the number of web visits on the number of impressions in the different channels in following multiple linear regression: Part 2: Data Webvisits: the number of visits to the XYZ website on day t Social_Impressions: the number of impressions of ads on Facebook on day t . Retargeting_Impressions: the number of impressions of retargeted ads on Facebook on day t Website_Impressions: the number of impressions of ads the movie blog website on day t GoogleAdwords_impressions_Branded: the number of impressions of search ads on Google from searching XYZ in specific on day t. GoogleAdwords_impressions_Nonbranded: the number of impressions of search ads on Google from searching movie theatres in general on day t. Isolation Studios is a movie theater that focuses on online advertising to draw people to their website. For this, the Isolation Studios marketing department relies on Google Adwords, as well as banner ads on both Facebook and the website of a popular movie blog. In light of an audit of the department, the firm's top management wants to know how much traffic to the website the advertisements are generating. For this, they regressed the number of webvisits on the number of impressions in the different channels in following multiple linear regression: # Load data marketing_data |t/) ## (Intercept) 5. 468e+02 2.003e+01 27.293