Share of Search: The Definitive Guide & 3 Validation Studies
Share of Search provides a powerful metric that enables you to optimize your investments based on market trends. By closely monitoring Share of Search data, you gain valuable insights into the performance of your brand and can make informed decisions to drive positive demand and capture market share.
When Share of Search indicates a downward trend, it signals an opportunity to invest more in your marketing efforts. By allocating additional resources and implementing strategic campaigns, you can counteract the decline and regain momentum in the market.
On the other hand, if Share of Search remains stable, it suggests that your current investment levels are effective in maintaining your market position. In this scenario, it is advisable to continue with your existing strategies while monitoring any shifts or emerging trends.
When Share of Search consistently shows an upward trajectory, it signifies a positive growth in market share. This is a clear indication that your brand is resonating with consumers and gaining a larger portion of the market. In this case, it is essential to capitalize on this success by maintaining or even slightly increasing your investments to further strengthen your position and sustain the positive demand.
By leveraging Share of Search as a key performance indicator and aligning your investment decisions with the trends, you can optimize your marketing efforts, drive market share growth, and capitalize on emerging opportunities.
Stay ahead of the competition by harnessing the power of Share of Search trend analysis for strategic and data-driven decision-making.
3 Validation Studies:
1) Share of Search and Share of Voice correlates on average with 0.93
Advertisers have long relied on Share of Voice (SoV) to determine ad spend. However, as the advertising landscape evolves, it's become clear that SoV has some serious limitations. First, it doesn't account for digital and PR spend, making it an outdated metric. Second, it focuses solely on spending and doesn't consider the quality of the ad and media mix.
To stay ahead of the curve and make informed decisions about ad spend, it's time to embrace a new metric: Share of Search (SoS). Unlike SoV, SoS accounts for PR and digital media and provides a more comprehensive view of ad effectiveness.
2 Measure Mental availability by observing how people search for Products and brands
The relationship between Share of Search and Mental Availability is the key
The Share of Search Working Group (led by the IPA, of which MyTelescope is a member) shows that there is clear evidence of the relationship between Share of Search and Mental Availability.
That means that there is clear proof that advertising leads to Branded searches (Share of Search). This leads to mental availability — and that leads to future sales.
Now, there is no longer a “black box” that your CFO can use as an excuse to block funding for a great creative campaign.
So, by measuring mental availability with MyTelescope, you can measure the effectiveness of your ads in terms of creating brand fame and mental stickiness.
3 An average Share of Search correlation of 0.83 to market Share
Search Data = Proxy for demand
How can search data be used to understand the customer’s demand for your brand? According to the IPA’s research, Branded Search metrics have been proven to have a direct correlation with sales, with an average correlation of 0.83.
This means that if a search increases by 100%, the sales for that brand or topic the sales will increase The error of margin can be explained by influencing factors such as price or supply issues.
It is important to understand that SoS reflects the correlation with SoM. Search itself so does not drive the sales.
The IPA’s findings also provide insight for smaller brands who want to leverage SoS as well as for companies that sell more than one product or service.
