Companies in the UK have ramped up their investment in paid search and SEO this year as the economy has emerged tentatively from recession, according to research published today.
The proportion of companies saying they plan to increase spending on search engine optimization (SEO or natural search) over the next year has increased to 60% from 55%last year.
Pay-per-click search advertising is also buoyant, with 52% of companies planning to raise their budgets for paid search over the next 12 months compared to only 45% who said they would do so in 2009.
While the majority of companies are increasing their search budgets, only 14% said they are planning to decrease their paid search spending and only 4% plan to spend less on SEO.
The UK’s search engine marketing spend grew 11% year on year during the fourth quarter of 2008, according to a report.
Search spend increased by 14% between the third quarter and fourth quarter of 2008, according to a Search Engine Performance Report.
This reflects the trend for consumers and marketers to increase online activity during the busy Christmas trading period.
Google grew its overall UK market share from 82.6% to 88.2% year on year, largely as a result of its Google Content network which grew by 300% year on year.
The increase in market share by Google was in part at Yahoo!’s expense. Its market share dropped from 13.9% to 8.4% year on year.
Microsoft Live Search was able to maintain its presence in the UK market at 3.4% market share.
The increased level of search spend during Q4 can be in large part attributed to the strength of the online retail channel in price comparison and shopping efficiency, particularly for more established online brands who increased spend to reach revenue goals.