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» Online Strategy, Paid Search in General, PPC Analysis & Case Studies » Netflix vs. Blockbuster Online in PPC Marketing: A Competitive Comparison

Netflix vs. Blockbuster Online in PPC Marketing: A Competitive Comparison


Have you ever wanted to see what your client’s PPC Competitors are doing? How about an inside look at their budgets, Search Terms and even Text Ads and frequency of changes within the Text Ads? Well, you can do all of this and more with SpyFu PPC Competitive Research, and here’s just a little taste of what advertisers can see in SpyFu, including the differences, similarities and potential opportunities for future strategies.

Question: Have you ever wondered how much Netflix spent in PPC as compared to Blockbuster? Advertisers can see the monthly trends going back to 2006.

Why is this important? Obvious, it shows seasonality, budget fluctuations and a potential forecast for future planning.


 

Question: Have you ever wondered how many keywords Netflix was targeting in PPC as compared to Blockbuster? Advertisers can see the monthly trends going back to 2006.

Why is this important? Well, this trend chart below shows an enormous increase by Netflix in late October, November and December 2011. Based on this, we can assume the Holiday season played a major role. On the other hand, it also raises questions about the previous holiday pushes?


 

Question: Have you ever wanted to know the differences and similarities of the keywords being targeted by one another. Perhaps, get an inside look at what terms your competitors are bidding on and you are not?

Why is this important? Well, as you can see in the circle chart below, (even with the size of scale) there are roughly 2,200 keywords being shared by both companies, even though Netflix is showing 64,000+. So, the estimated percentage of similar keywords is a minimal 3.44%.


 

Question: Suppose you wanted to see which keywords that are exclusive to that competitor, well you can do that too.

Why is this important? Below shows you 1,460 keywords exclusive to Blockbuster only. This is helpful to see which how many terms are branded, non-branded and well as categorical and show specific terms.


 

Question: Wouldn’t you like to see how many times your competitors Text Ads are changing each month? Perhaps, you wanted to see if they (at any moment) stopped bidding on their own brand? Well, take a look below

Why is this important? In this screenshot below, you can easily see that Blockbuster was not showing any ads for their brand term “blockbuster” for the month of July, August and September of 2011. This is an interesting find, because when you look back at the news around Blockbuster and Netflix back in July of 2011, that was when Blockbuster announced that they were offering a limited time, nationwide promotion for all Netflix customers who switch to Blockbuster Total Access. Huh?

 


 

In conclusion: Competitive Analysis in PPC Marketing should be a vital part of any strategy. This is especially true for Start-up Companies as well as companies who are growing fast in the online world. In my opinion, I prefer using Spyfu, because it enables me to quickly see what my client’s competitors are doing, which terms they are bidding, how much they are spending and most importantly identifying any missed opportunities that can be applied to my client’s own PPC Strategy.

 

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