AIR FRANCE INTERNET
MARKETING
By,
Group 8
Amol Tambe | Atika Lamba | Kanika Khanna | Mayur Ghude | Shekhar
Suman
Q1: Should media contacts recommend a uniform strategy for Air
France across search engine publishers? Or would it be more
effective to tailor each publisher strategy to maximize return on
investment?
• In order to maximize ROI, Air France should tailor its strategy for
each publisher, thereby increasing its ticket sales and ROA
• The customized strategy can be used for different demographics
and customers since each has different CPC rates, booking
probability and thus average revenue per transaction
• Google, Yahoo and MSN should be used for SEO marketing
strategies
• Overture – US has low average transaction conversion and thus
less booking, therefore it should not be used
• Using keyword analysis, we find that each keyword has a
different ROI on different publishers
• Keyword – “Air Discount France Ticket” has an average
ROI of 502%, however the ROI varies for different
publishers, it has 1000% ROI on MSN global and negative
ROI on overture global
Microsoft Excel
97-2003 Worksheet
Q2: How can campaigns be improved to increase overall value gained from
investment with a search engine publisher? Should keywords be added or
dropped from the campaign? Should campaign tactics or copy be adjusted to
improve campaign performance?
The bid strategy of the ads should be adjusted to get more ROI
Intensive keyword research should be done by analyzing and selecting the most profitable
keywords
Campaigns having high Cost Per Click and negative ROA should be dropped
Campaigns with less CPC and high ROI should be selected
Improve sales copy, enhancing the benefits of the product so that the customers are
motivated to visit the site and make a transaction
Experiment with different ads, and split test every element and every step of the campaign to
fine tune the campaign and improve results
In this case keywords should be purchased since the average conversion rate of transaction
is still low for the publishers and can largely increase the ROI if careful selection is done of
the keywords especially the branded ones. This will additionally help in efficient indexing
resulting in higher conversion rates of booking. Also, the campaign copy and site copy
should be improved as increasing the CTR rate will increase the ticket sales substantially for
all the publishers.
Q3: What are the most important KPIs and what impact will
campaign changes have on these KPIs?
The main KPI’s Average cost per click: Should be minimized.
This can be accomplished by the search engine
in two ways – reduction in total cost or increase
in clicks by customer. Indicates average
spending by Air France on customer response
Engine Click Through Percentage: This indicates
the percentage of viewers who actually clicked
on the ad. A higher figure indicates more
relevance to the viewer
Transaction Conversion Rate: Indicates how
many clicks actually converted into transactions
and also hints the transaction volume per click.
A higher conversion rate would mean higher
revenue and higher customer relevance.
The main objectives
are:
Revenue
Cost Reduction Volume increase
Maximization
Campaign changes will impact these as for
a new campaign, the company will have
to:
• Bid for new keywords
• The bid amount, cost per click and the engine click
through will decide the ranking and position of the
ad on the page
• Thus these will impact the number of clicks obtained
• Depending upon the relevance of the ads with the
campaign, these could lead to a higher transaction
conversion rate.
Q4: How should future SEM campaigns be structured? In the past, Media
Contacts had concentrated on Google, Microsoft, and Yahoo; was there
now an opportunity to optimize search advertising with metasearch
companies like Kayak?
Integrate meta-search companies like Kayak in the SEM campaigns because:
• Very Rich Internet Application that transfers some part of processing load to the user’s
computer thereby enhancing the overall processing capacity
• Click-through rate of 8% vs 0.8% industry rate, which is significantly higher for online
travel sites
Recommending future SEM campaigns to include Kayak with Google, MSN, Yahoo.
Considering the sales volume in the chart below, Kayak has overtaken established players
like MSN and Overture with high possibility of future growth. Hence, a potential player for
SEM’s investments.
THANK YOU
