In 2011, Google released a Search Ads Pause research study (pdf) which showed that 89% of the clicks from search ads are incremental, meaning that 89% of the visits to the advertiser’s site from clicks on paid ads are not replaced by organic clicks when the search ads are paused.
A recent follow-up to the original study addressed two main questions:
- How often is an ad impression accompanied by an associated organic result (i.e., organic result for the same advertiser)?
- How does the incrementality of the ad clicks vary with the rank of advertiser’s organic results?
The results:
A meta-analysis of 390 Search Ads Pause studies highlighted the limited opportunity for clicks from organic search results to substitute for ad clicks when search ads are turned off. We found that on average, 81% of ad impressions and 66% of ad clicks occur in the absence of an associated organic result on the first page of search results. In addition, we found that on average, 50% of the ad clicks that occur with a top rank organic result are incremental. The estimate for average incrementality of the ad clicks increases when the rank is lower; 82% of the ad clicks are incremental when the associated organic search result is between ranks 2 and 4, and 96% of the ad clicks are incremental when the advertiser’s organic result ranked lower than 4 (i.e., 5 and below).
It should be noted that these findings provide guidance on overall trends, so your results may vary and it is also important to note that the study focuses on clicks rather than conversions. The authors of the study recommend that “advertisers employ [randomised] experiments (e.g., geo-based experiments) to better quantify the incremental traffic and lift in conversions from the search ad campaigns and that they use the value-per-click calculations in the original search ads pause study to determine the level of investment on their search ads”.
Highlights from both studies include:
- There are usually no organic result on page 1: The follow-up study’s results show that, on average, paid ads appeared without an associated organic search result on the page for 81% of searches.
- For only 9% of searches did a paid ad show with an organic result in the number 1 rank. This compares to 5% of searches for which an organic result appeared in ranks 2 – 4, and 4% of searches for which an organic result appeared outside the top 4 ranks.
- Even a top ranking can benefit from an accompanying paid ad: According to the studies, even when organic terms are ranked number one, they get (on average) 50% more clicks if there is also an accompanying paid ad.