Search Engine Marketing (SEM) Intimidates Small Businesses

59% of small businesses with websites don’t currently use paid search marketing. 90% of those have never attempted it, according to a survey by Microsoft Advertising. However, small businesses are investing heavily in their websites to build online presence. (This doesn't make sense to have a website and not promote it.)

81% percent question whether paid search marketing is the best use of their marketing budgets.

Nearly 89%  fear keywords might become too expensive.

21% percent think it would be too time-consuming.

One quarter of respondents believe paid search marketing is too complex.

35% feel they would need an agency to help set up a search marketing campaign.?

73% of small business owners say that they would rather do their taxes than create a search marketing plan because they are so intimidated by search marketing (SEM).

86% of small-business owners surveyed felt that they could be missing opportunities to grow their business.

75% believed prospective customers might be searching online for the type of service their business offers and that they might be missing out on potential clients.

Time, cost and complexity as major hurdles to conducting search marketing campaigns for their businesses are just a few of the misconceptions on Search Engine Optimization (SEO) and Search Engine Marketing (SEM). Other key insights included the following:

On the other hand, the small-business owners who use paid search marketing are very satisfied, with 72% reporting an increase in sales inquiries and 68% saying they consider their paid search marketing efforts successful, Microsoft said.

About the survey: The research was conducted by Kelton Research in April 2008. Microsoft commissioned the quantitative research of 400 small-business owners with 250 or fewer employees via an anonymous online survey consisting of a series of 38 questions designed to gauge their search marketing behaviors and attitudes.

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