How it works

If there are multiple advertisers for the same keyword, a super quick auction is being held. This auction will decide which ad gets which position on the page.
The bid, ad relevance and quality of the landing page are taken into consideration, to name a few of the many factors. The top ranking ad will then get the top spot and the most visibility. The bid is based on the cost per click (CPC). You’ll only have to pay this CPC when a user clicks on the ad.
Brandname vs. Non Branded
For SEA we typically use two types of campaigns: brandname campaigns and non branded campaigns.
Brandname campaigns
In a brandname campaign we target branded search terms in which the hotel name is used and the intent is to book. In this case, the user is already familiar with the hotel name and so the chance of booking is high.
Why advertise on your own brand name?
We will advertise on the hotel’s brand name because of the competition of OTAs such as Booking.com or competitor hotels. We want to avoid that the user changes his or her mind and books with a competitor or books via a third party. The latter will mean you will have to pay a commission to the third party (OTAs), which you will not have to pay when a user books directly on your website. This is called brand protection.
In this example, Guest Reservation is advertising on brandname keywords as well. By having the official website ad above theirs, we increase the chance of a direct booking.Non Branded campaigns
A search for a hotel can begin with a informative google search. When users are not familiar yet with the hotels in the area where they want to visit, they will most probably start with a generic search, such as ‘hotel in amsterdam’. Notice that no brand name is used yet and the user is still open for different options.
In this orientation phase, the user can search more and more specific if he/she does not find a fitting hotel right away. He/she can add ‘5 star’ or specify the location (‘jordaan’). The more specific, the smaller the search volume. However, the less the competition is from other advertisers and the cheaper the CPC. Also, the chance that the user will like your hotel will grow the more specific and relevant the keywords are you are targeting.
In these ads, we will emphasize the hotel’s USPs. Although it sometimes happens that the user will book right away, the main purpose of these ads is to generate website visits, leads and brand recognition. When they know your brand, the chances are that they book later through a brandname ad for example.
