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The Promotion Press

Quarterly Newsletter Issue 8 - April, 2003

The Promotion Press
Your hosts:
Jason Campbell - Internet Marketing
Shawn Campbell - Search Engine Optimization

Contents

For webmasters, e-marketers and e-merchants...

Big changes have occurred in the relationships between search engines, including four search engine buy-outs! Our predictions of how this will affect search engine optimization are in Shawn's article below. This issue also has a detailed explanation of Google "PageRank" and how you can use the Google Toolbar to see the PageRank of your site. If you are already familiar with the toolbar, you might be more interested in our tips on how to improve your PageRank.

As with other issues we have chosen the best articles related to search engine marketing for you to read in our Stay on top section. I hope that you enjoy this issue and welcome any questions or suggestions for our next newsletter.
news@redcarpetweb.com

- Jason Campbell

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Announcements

Froogle - Focusing on Product Searches
Google has launched an innovative website that helps users locate stores that sell the item you want. See the Froogle search engine at www.froogle.com and froogle.google.com. As opposed to Google results, Froogle includes prices, store name, and sometimes even a product picture.

New Yahoo! search
Yahoo! recently unveiled a simplified search tool. Try it at search.yahoo.com.

Content is Still King
The best way to keep top listings in search engine results is to have the ultimate site for your keyphrase. Danny Sullivan said it best in a recent Search Engine Watch article:

"Enlarge your site to have real content on the terms you want to be found for. If you sell shoes, have articles about how to select different types of shoes. If you offer package holidays, provide some tourist information about your destinations. Build this "real" content and optimize it for your target terms. Then go out and link build. Find sites that are non-competitive with yours but on related topics and offer to swap links."

Overture Raises Minimum Bid to $0.10
Overture is a pay-per-click search engine that auctions its positions based on the cost-per-click-through bids. In February 2003, It raised its minimum bid from $0.05 to $0.10. Fortunately, "all existing listings with bids between $0.05 and $0.09 will be "grandfathered" at their current max bid for the foreseeable future." However, all new listings have a minimum bid of $0.10 and all bid changes must meet the $0.10 minimum.

Site Update Planned for May 19
We are currently working on a site update for www.redcarpetweb.com that will include new content and new "drop-down" navigation menus. We are rewriting our services page, adding our code of ethics and reviewing all of the content to bring it up to date. Our release date is planned for May 19th.

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Search Engine Navigator

 
Search Engines Buying Search Engines

Headlines
  • Yahoo! Buys Inktomi
  • Overture Buys Altavista.com
  • Google Buys Blogger.com
  • Overture Buys AllTheWeb
What is going on?

Well, there has always been a little incest between the search engines. MSN currently uses LookSmart and Inktomi. Yahoo and AOL both use Google and, of course, so does Google. So the current market has Google providing results for 3 of the big 4 search sites. This creates a hefty unbalance, and the industry has been holding its breath waiting for the hatchet to come down.

Yahoo buys Inktomi

It looks like Yahoo has made the first step. By buying Inktomi, Yahoo could potentially use results that they own, instead of paying for them "per click" from Google. Another scenario would have Yahoo combining Google and Inktomi results with its own directory results, making it into a meta search engine. Yahoo's purchase of Inktomi also gives Yahoo a great paid inclusion program. Thus, not only does the purchase have the potential to make Yahoo into a better search site, but it will also make them money immediately.

Overture buys Altavista and AllTheWeb

Overture buying up Altavista and AllTheWeb is not so clear cut. Overture is a pay-per-click search engine that makes the bulk of its money by posting its results (sponsored sites) on Yahoo and MSN. It currently uses Inktomi to "fill up" any results where there are no bidders. Of course, on Yahoo and MSN the Inktomi results never show up (because they don't pay).

So what will Overture do with its two new acquisitions? Well, Google is Overture's only real rival in the pay-per-click arena. Many people think that Overture bought AllTheWeb to compete with Google in the search engine spidering arena. Another reason for the acquisition is that Overture can cash in on Altavista and AllTheWeb's paid inclusion programs. Overture will probably continue to focus on their pay-per-click, while using the eyeballs at Altavista and the technology at AllTheWeb to improve their own services. They almost certainly will replace the Inktomi results (which they do not own) with either one of their new purchases.

What about MSN?

MSN hasn't bought any big search engine recently. What will they do in the future? Many people are speculating that MSN will drop Inktomi now that their main rival Yahoo owns it. This is probable in the long term, but I don't think they will make any bold moves soon. MSN recently pointed out that Google is definitely a rival, so it looks like they are targeting their crosshairs there. Another possibility is that they become better buddies with Overture, using Altavista or even AllTheWeb's search results instead of Inktomi's. They could also buy up Wisenut, another spidering search engine, which is owed by LookSmart.

Only time will tell

One thing that I think is for sure (if anything is in this industry), is that a good ranking in Inktomi's listings is going to be a lot more valuable once Yahoo incorporates it, so get your site tweaked. A site that has been optimized for Inktomi will do better in the search engine results.

Next issue, I will update you on other changes in the industry.

Shawn Campbell is the co-founder and Chief Search Engine Optimizer at Red Carpet Web Promotion, Inc.
Shawn shares search engine news in each issue.

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Feature:
Picking Apart PageRank

Google is currently the darling of web surfers. With robust algorithms such as PageRank, Google helps users find relevant results, quickly. But while PageRank may be a boon for searchers, it is also the bane of webmasters because it is one of the most difficult ranking factors to control.

PageRank is the brainchild of Google co-founders, Sergey Brin and Larry Page. It is a system for ranking web pages that is based on an assumption popular among academics: that the importance of a research paper can be judged by the number of citations it has from other researcher papers.

The pair simply came up with the web page equivalent: the importance of a web page can be judged by the number of links it has from other web pages.

To find out what a website's PageRank is, you'll need to install the Google Toolbar for Internet Explorer.

The Google toolbar sits underneath your address bar and displays a bar graph representing the PageRank of the page you are viewing.

Toolbar

How it All Works

When a user visits Google and enters a query, several things happen. First, Google finds all the web pages in its index that match the search term. Next, out of these results, Google selects a subset of web pages that have the greatest relevance to the query.

At this point, PageRank is not a factor at all. Google first looks at all the usual factors such as keyword density and prominence to calculate relevance. PageRank only comes into play as a multiplier after all these other factors have been calculated. In other words:

Final Ranking = (score for all other relevance factors) x (PageRank rating).

To determine a page's PageRank, Google looks at a web page and counts how many incoming links are pointing to it. Google regards these links as "votes". If one site links to another site, it is essentially casting a vote for that site.

Google doesn't just count the total number of "votes" or links that a web page receives to determine its PageRank however; it also analyzes the web page that casts the vote.

Votes cast by pages that Google deems "important", i.e., sites that already have a high PageRank, are given more weight and help to increase the PageRank of the web pages they link to.

The actual PageRank of a web page is calculated as the sum of the PageRank of all the web pages linking to it, divided by the number of outgoing links on each of those pages.

Improving Your PageRank

Improving your website's PageRank may sound easy: just find sites with a high PageRank to link to your site. In reality however, it's not that simple.

Many webmasters with sites with a high PageRank, will not link to a site with a lower PageRank; it simply isn't worth their while to do so. Moreover, even if they do link to your page, if they also link to numerous other pages, the PageRank is divided among all the outgoing links.

Consequently, it may actually be beneficial to propose link exchanges with quality sites with a slightly lower PageRank: competition for links from such sites is less fierce and webmasters may be more willing to reciprocate links.

Click here for additional tips on improving your PageRank.

The Trouble with PageRank

While the premise behind PageRank may hold true within the halls of academia, when applied to web pages, its flaws start to show.

Although it would seem like common sense that a website would only link to another site if it had good content, in reality, websites link to sites with poor content all the time. Webmasters may engage in purely commercial link exchanges, or they may link to a page because they use that website's counters or banner ads on their own website.

Moreover, affiliate websites that generate revenue through pay-per-click links may artificially inflate their client's PageRank, thus undermining any notion of a natural PageRank.

New sites are often the worse affected by PageRank. Regardless of their quality, new sites will always have fewer incoming links and therefore, a lower PageRank. Consequently, getting sites with a higher PageRank to link to them will be difficult.

websites with a good PageRank however, have no trouble soliciting links. Because of their good PR, they tend to rank highly in the search engine results pages. Since they rank highly in the results pages, people tend to link to them, creating a vicious cycle.

Final Thoughts

While PageRank is one of the hardest factors to influence, it can still be manipulated. As more and more people discover these strategies, the utility of PageRank will undoubtedly be diminished.

-Julie Joseph

Julie Joseph is a search engine optimizer and copywriter at Red Carpet Web Promotion, Inc.

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Stay on Top

Each month, we review articles from leading industry magazines and newsletters. The following articles are some of the more interesting ones that we surveyed in the last three months. Click on the headline to view the article.

  • Hot Trends in Search Engine Marketing
    http://searchenginewatch.com/subscribers/articles/0302-ses-seo.html?source=sd#469
    Search Day, February 2003 - A special report from the Search Engine Strategies 2002 Conference, December 11th and 12th, Dallas, Texas. Includes a discussion of issues related to "a media buying industry", trusted feeds, SEO ethics and the Future of SEO

  • Yahoo! Unveils New Search
    http://www.internetnews.com/IAR/article.php/2176661
    InternetNews, April 2003 - The best article I've found so far on the changes to Yahoo! search. Includes new search functions and predictions for future paid listings.

  • Overture's Buying Spree
    http://www.clickz.com/search/opt/article.php/2026641
    Clickz, March, 2003 - "AltaVista was acquired for $140 million. FAST's Web search unit, which provides results to other search engines such as Lycos.com, was sold for $70 million in cash, with the possibility of another $30 million paid over three years through a performance deal. Why Both?"...

  • Yahoo Alights on New Search Site
    http://netscape.com.com/2100-1104-995713.html?type=pt
    CNET News.com, April 2003 - Yahoo on Monday will phase in a new search site that plays up paid listings and simple, informative query results, but it has yet to capitalize on the assets of newly acquired Inktomi.

  • Search Guiding More Web Activity
    http://www.internetnews.com/IAR/article.php/2108921
    Internet News, March 2003 - "Search engines generated 13.4 percent of site referrals on the day measured, up from 7.1 percent measured a year earlier. Direct navigation also rose in the StatMarket sample, growing to 65.5 percent versus 50.1 percent a year earlier. Web links, on the other hand, fell from 42.6 percent to 21 percent."

  • 10 Ways to Raise a Purple Cow
    http://pf.fastcompany.com/magazine/67/purplecow.html
    Fast Company, April 2003 - Making and marketing something remarkable means asking new questions -- and trying new practices. Here are 10 suggestions.

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Letters to the Editor

Email the editor Send your questions and comments for our next issue to news@redcarpetweb.com. Be as specific or general as you want -- other subscribers are probably wondering the same things you are. You should also let us know of any promotions, sales or new products on your website.

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Next Issue

- New feature article - More on how Search Engines work
- Stay on top: Articles from industry newsletters and magazines
- And more...

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