Baby Product Advertising in Paid Search Jumps 33%
Whether you’re a new parent or an old hand, a new baby means having to make a host of decisions about which brands and products to buy to meet your child’s growing needs.
For advertisers, this consumer life stage represents a significant opportunity to not only drive immediate sales but build long-term customer relationships, and they are increasingly investing in Paid Search as a means to do it.
AdGooroo recently studied Desktop Text Ad activity on U.S. Google for 567 Baby Product-related keywords from January through July 2015. During this time we found 5,249 advertisers spent $18.2 million sponsoring the keyword group—a 33% increase over the same period in 2014, when Baby Product advertisers spent $13.7 million sponsoring the same keywords.
Top Advertisers by Spend
The Top 20 Baby Product advertisers based on Paid Search spend on the 567 keywords studied span a range of industry categories, including mass retailers (Amazon, Target, Walmart, JCPenney, Kohl’s, Sears, Kmart, Bed, Bath and Beyond), Children’s Goods specialty retailers (Babies”R”Us, Zulily, Diapers.com, Land of Nod, PotteryBarnKids.com, Albee Baby, Buy Buy Baby), CPG brands (Pampers, Huggies, The Honest Company and Similac) and a comparison shopping site (Stuccu.com).
Amazon leads all advertisers with more than $1.2 million spent on the keyword group in the first seven months of 2015, followed by Babies”R”Us ($990,000), Target ($932,000), Walmart ($713,000) and Zulily ($664,000).
Clickthrough Rate & Cost Per Click
The average clickthrough rate among the Top 20 was 3.45%, slightly higher than the 3.08% average CTR generated by all advertisers on the keyword group. Pampers.com
experienced the highest average clickthrough rates, 8.5% and 5.8%, respectively, likely reflecting consumers searching and clicking on their brand names.
The average cost per click among the Top 20 was $1.15, also slightly higher than the overall $1.09 average CPC for all advertisers on the keyword group. BabiesRUs.com enjoyed the lowest average cost per click ($0.80), followed by Amazon.com ($0.82).
Top Keywords By Spend
'Free Stuff' Leads All Keywords
The keyword ‘free baby stuff’ tops the ranking of 567 Baby Product keywords with more than $524,000 spent on it from January through July, largely based on a $5.84 average cost per click—far higher than the $1.90 CPC averaged across the other 19 keywords in the ranking. However, the similarly themed keyword ‘free baby samples’ ranked just 15th with $147,000 in spend and an average CPC of $2.20. The difference in spend and average cost per click between the two keywords may have to do with the semantic power of the words ‘free stuff’ compared to ‘free samples’ in the consumer mind, as ‘free baby stuff’ experienced over one million more impressions than ‘free baby samples’ during the period. In addition, there were 79 advertisers sponsoring ‘free baby stuff’ during the period compared to only 52 sponsoring ‘free baby samples’.
New Parents Open to Any Brand?
Seventeen of the Top 20 Baby Product keywords in the study were generic terms, suggesting that parents of new babies do not have strong brand preferences yet and are essentially up for grabs for any advertiser seeking to gain new sales and new brand loyal customers. The only branded terms in the Top 20 were ‘pampers’, ‘britax car seat’ and ‘medela breast pump’.
A Mess of Diapers Terms
Otherwise, the largest thematic trend in the Top 20 Baby Product Keywords was a cluster of 5 diaper-related keywords, including ‘diapers’ (ranked #2 with $356,616 in spend) and the aforementioned ‘pampers’ (ranked #3 with $353,223 in spend).
On a diaper-related note, the keyword ‘diaper bags’ generated more impressions than any other term in the ranking, nearly 8 million, which may reflect consumer excitement around the item given that it doubles as both a necessity and a fashion statement.
Note: The figures in this report are limited to Desktop Text Ad activity on the 567 Baby Product-related keywords studied. Advertisers may be sponsoring additional Baby Product-related keywords that, if measured, would alter the results of this study. Mobile search and product listing ads were not measured in this report.