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Nearly 30% of Instacart’s revenue is from advertising

Friday, May 19th, 2023

Instacart made $740 million in ad revenue in 2022, a 30% increase over 2021.

Surging ad business. The Information reported:

“The grocery-delivery firm’s ad revenue totaled about $740 million last year, up 30% from 2021, according to a person familiar with the matter. That’s a striking increase, given that the digital ad market was largely stagnant last year. Nearly 30% of Instacart’s 2022 revenue came from selling advertising rather than actually delivering groceries.”

Ads accounted for about 20% of Instacart’s $1.5 annual revenue in 2021 – about $300 million – according to a June 2021 Insider report.

For comparison. Advertising accounted for about 10% of Amazon’s revenue in 2022, according to The Information. Meanwhile, Amazon made $37.7 billion in revenue through advertising last year.

Why we care. Instacart remains a viable alternative for brands to promote products directly to consumers. And the company has updated its platform to attract more advertisers.

The bigger picture. In 2022, Google and Meta’s advertising market share dropped below 50%. This trend is expected to continue in 2023, in part, due to the rise of emerging ad platforms like Instacart.

The rise of retail media networks. Retail media search spend is forecast to be near $30 billion this year – and RMN digital ad revenue is expected to hit $45 billion. Dig deeper in U.S. paid search spend forecast to hit $110 billion in 2023.

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OpenAI launches ChatGPT iOS app

Friday, May 19th, 2023

ChatGPT is now available as an iOS app. The app is free and offers all the features you’ll find on the web version.

Why we care. ChatGPT has become an essential and popular tool for several SEOs, search marketers and content creators. Now you can use it whenever and wherever you want, all while maintaining your history. Plus, the app interface seems a bit more user-friendly than using ChatGPT on a mobile browser.

Plus. You’ll need to subscribe to ChatGPT Plus to get access to its GPT-4 model, as well as the other Plus features.

Voice input. The app also uses OpenAI’s speech-recognition system, called Whisper, to enable voice input. Early reports indicated this feature to be a bit buggy.

U.S. only for now. The app will roll out to U.S. users first, then expand to more countries in the coming weeks.

ChatGPT on Android “soon.” OpenAI said an app is coming soon for Android users.

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New Google AI tools will let advertisers generate media assets

Thursday, May 18th, 2023

Advertisers and YouTube creators may benefit from new AI solutions Google is reportedly working on.

Google Ads. Generative AI tools, powered by PaLM 2, will help advertisers create media assets, CNBC reported, based on internal Google documents. Unfortunately, that’s as much detail as we know for now.

We’ve previously reported that generative AI is coming to Google Ads. However, that seemed more about “remixing” existing assets into ads, whereas this report is more about Google actually generating those assets.

YouTube. According to CNBC:

Google has also been testing PaLM 2 for YouTube youth content for things like titles, and descriptions. For creators, the company has been using the technology to experiment with the idea of providing five video ideas based on topics that appear relevant.

Why we care. Amazon and Meta are also testing generative AI for advertisers or will be soon. Google’s integration of generative AI will be worth testing to see if it helps improve performance – especially with conversion rates down and CPLs up.

Will we learn more this Tuesday? This year’s Google Marketing Live takes place May 23. We expect it to be heavy on AI announcements. Could these – or other AI solutions – be officially announced next week? We’ll be watching and reporting on all the news from the event.

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Google Chrome will soon add 6 relevance and measurement APIs

Thursday, May 18th, 2023

The Privacy Sandbox initiative, a project led by Chrome, is introducing new key relevance and measurement APIs to Chrome Stable. This move is scheduled for the third quarter of 2023, with the spotlight focused on Chrome Stable 115 as the specific launch pad.

Unveiling the specifics. The APIs set to go live are:

The APIs will gradually roll out to all users. The Chrome team to closely monitor for issues to ensure a seamless integration.

Why we care. The six new relevance and measurement APIs will deliver tools to generate interest-based advertising signals and correlate ad clicks or views with conversions, all without the use of third-party cookies. This approach not only offers more privacy-focused methods for ad targeting and measurement but also prepares advertisers for a future where third-party cookies may no longer be viable.

Updated user controls. A major improvement with this launch is the addition of advanced Ad privacy controls. These controls offer users more granular management of the new APIs, providing an extra layer of privacy and giving users control over their browsing experience.

Here’s what the new user controls may look like:

Test version of an updated Chrome Ad privacy interfaceTest version of an updated Chrome Ad privacy interface.

Open application dates. To handle the expected developer interest, an enrollment process has been created. Starting in June, developers can apply for API access, which will be granted in August. This ensures a controlled and organized introduction of the APIs to the wider developer community.

General Availability (GA), as it’s referred to in the project timeline, implies that these APIs will become available by default in Chrome. However, immediate availability in all Chrome browsers is not guaranteed. The gradual rollout strategy will allow users to directly control the activation of these APIs.

Providing feedback. Feedback can be shared here. The Chrome team also has created this feedback form.

Read the announcement. Preparing to ship the Privacy Sandbox relevance and measurement APIs

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U.S. paid search spend forecast to hit $110 billion in 2023

Thursday, May 18th, 2023

Paid search spend is expected to reach $110 billion this year, according to a new eMarketer forecast.

Search and retail media. Paid search represents 41.8% of total digital spending. If it reaches $110 billion, its growth will remain slightly higher (at 8.2%) than overall U.S. digital ad spend, which is expected to increase by 7.8%.

Within search, retail media networks (RMNs) are a rising star, with 18.7% growth in retail media search. This segment is projected to be near $30 billion in spending in 2023.

RMN digital ad revenue (not just in search) is on course to rise from $31 billion in 2021 to $45 billion this year. If spending continues at its current rate it should surpass $106 billion in 2027.

Image source: eMarketer

Why we care. We expect 2023 to be a challenging year in search. There have been many changes related to generative AI and chat in search (both on Google and Microsoft Bing), and we’re hoping to get more clarity soon about what these changes will mean in terms of engagement and ad performance. Until then, it’s good to see overall paid search spend growth rising – especially in retail.

More on U.S. search ad revenue. It hit a record $84.4 billion in 2022, according to IAB.

U.S. digital ad spend. While it’s dropping below 10% for the first time in 14 years, digital ad spending is projected to rebound to 11.2% growth in 2024, the forecast said. Yearly increases are predicted to hover around 10% through 2027.

Digital ad spend saw a dramatic rebound in 2021 following the initial wave of the COVID pandemic — when it saw growth of 37.6%. In 2022, the numbers fell dramatically, with 10.6% growth.

Image source: eMarketer

Digital slice of the pie. Overall media spending is expected to increase 3.8% this year as traditional media investments continue to migrate to digital.

Digital media should make up 74.6% of total U.S. media spend, which is expected to reach nearly $264 billion in 2023. The digital slice of total media spending is projected to grow about 2% annually in the coming years.

Display and CTV. Connected TV (CTV) advertising keeps charging ahead.

For some perspective, over half (55%) of digital spending is in display ads whose revenue is expected to grow 7.9% this year. CTV’s projected growth for 2023, however, is 21.2% – nearly triple digital’s growth.

CTV ad spend is on pace to hit $25 billion this year and account for 9.5% of total digital ad revenue, according to eMarketer.

Social display, on the other hand, is projected to only see a growth increase of 3.4% in 2023. Social network display advertising is about a quarter of total digital spending.

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Google Analytics 4 audience builder gets a refresh

Thursday, May 18th, 2023

Google Analytics 4 (GA4) has made significant enhancements to the audience builder. New dimensions and metrics, enhanced alternatives for manipulating event value and event count, and a novel option to match dates have been added.

Here’s what’s new.

New Dimensions and Metrics in the Audience Builder. The GA4 audience builder now supports the creation of audiences via new dimensions and metrics. The following dimensions and metrics are freshly introduced in the audience builder:

Item-Scoped Dimensions

Item-Scoped Ecommerce Metrics

Event-Scoped Ecommerce Metrics

Session-Based Metrics

Low engagement sessions help identify users showing low engagement with a website or app. For instance, it allows the creation of an audience segment of users having more than three low-engagement sessions within the past five days.

Once you’ve identified such users, you can then target them with ads to prompt them to return (e.g., retailers highlighting upcoming sales or events).

Independent Use of Event Value. Event value can now be used independently without associating it with a specific event.

In earlier versions, the event value parameter was only used to modify specific events, such as locating users who completed “event X” where the event value exceeded 50. 

An example of this would be creating an audience of users who have any event with a value above 50.

Expanded Operators for Event Count. The update also expands the operators that can be used when creating audiences using the event count metric. While earlier only greater than (>), less than (<), and equals to (=) were available, and only when selecting “the most recent time period,” the update introduces a complete set of operators.

These include:

These operators are available when choosing “at any point in time” and “most recent time period.”

Matching Between Dates. A new “between match types” option has been introduced for dates.

This feature could be used to, for example, build an audience of users who visited a website during Black Friday and target them with ads in the run-up to Black Friday the following year. The selected range, such as November 24 to November 26, would include all three days.

Why we care. These new dimensions and metrics, more robust manipulation of event value and event count, and being able to match dates can all lead to more targeted and effective advertising. Being able to identify users with low engagement sessions, or matching event value across various events, can help you create more nuanced and relevant audience segments.

What’s new in GA4. These updates were announced via the Google Analytics Help page, which you can find here

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5 steps to work smarter and successfully by Cynthia Ramsaran

Wednesday, May 17th, 2023

Things to eliminate from your life to be more productive at work

When it comes to your work orchestration efforts, how would you rate the work management “maturity” of your business today? 

Businesses with high maturity levels have a competitive advantage along multiple work performance indicators, including capacity, time to market, cost efficiency, work quality, and even employee satisfaction.

Join transformation experts from Adobe and learn five steps for maturing your work management orchestration model.

Register and attend “How You Work Matters: 5 Steps to Get It Right,” presented by Adobe.


Click here to view more Search Engine Land webinars.

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Meta starts refunding advertisers for overspending glitch

Wednesday, May 17th, 2023

Meta is starting to issue refunds to advertisers impacted by a glitch last month that resulted in overspending and higher than usual CPAs.

Why we care. Meta needs to make this right for all of its advertisers of all sizes. It’s good that the refunds are starting, but it’s been over a month and this still is not resolved.

May 12. Some advertisers got their refunds starting on May 12. However, many smaller advertisers are complaining that the process has been much slower for them, Bloomberg reported:

“Some advertisers did receive refunds from Meta beginning on May 12, although the amounts have been doled out inconsistently and it’s not clear why some businesses received more money back than others. In the past, advertisers that spent a lot on Facebook or had personal connections at the company had better luck getting refunded, according to several agency representatives.”

The glitch. On April 23, Meta spent advertisers’ the daily budgets in a matter of hours. CPAs also tripled. You can read more about it in our story: A catastrophic Meta bug caused overspending, higher-than-average CPAs.

The damage. As one example, the $13,000 budget for one ecommerce advertiser was spent in three hours – with no results, Bloomberg reported. Another business said it “had its worst return on Sunday advertising spending on record, ultimately posting 85% lower sales than the previous Sunday and 76% lower than two weeks prior.”

Making things worse. “Refunds for ad glitches are typically cents on the dollar, and Meta doesn’t tell advertisers how it calculates the payout,” as Bloomberg noted.

What Meta said. In a statement, Meta said:

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How to optimize for entities

Wednesday, May 17th, 2023

An entity is a uniquely identifiable object or thing characterized by its name(s), type(s), attributes, and relationships to other entities. An entity is only considered to exist when it exists in an entity catalog. I used this definition in my entity SEO article. 

The first part of this entity SEO series should be used when you need to justify a tactic associated with optimizing for an entity. 

TL;DR from Part 1:

This article will dive right into the actionable advice. We will go over page structure, site structure, important schemas to use and tools that can help you.

Getting started with entity optimization

Every page and every collection of pages has a context. Pages don’t exist in a vacuum. 

Why does it exist? 

Let’s use Nike as our example. Nike sells shoes. Their website exists to sell running shoes

How do you figure out the primary entity associated with selling running shoes? 

It’s tempting to just say “shoes” or “running shoes,” but that wouldn’t be the best answer. 

The best answer requires further abstraction. 

Optimizing entities is largely a task meant for our brains, so let’s go through some options.

Running

So what types of intent exist for Nike? 

Necessary gear for sports, exercise empowerment, shopping guides for each specific shoe type.

You can expand this further, but the goal is to provide an oversimplified example. If I had to guess, I’d say that the primary search intent is about sports. 

While Nike has evolved into a style, the core purpose of Nike and the core intent for searchers is all about sports equipment. 

If we ask the “why” question for sports, we could go a step further and say “personal development” or “lifestyle improvement” is the primary search intent. 

It’s up to the SEO to figure out the best choices because the entire optimization process is contingent upon:

If you’d like to dig deeper into this idea, I recommend Koray Tuğberk GÜBÜR’s Topical Authority course (be warned, it’s complicated and designed for a skilled SEO audience). 

This realm of SEO has its own vocabulary, and GÜBÜR has spent countless hours extracting terms and formalizing the concepts associated with this area. 

Some important terms you’ll want to familiarize yourself with if you’re interested in entities and semantic search: 


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<input type=”hidden” name=”utmMedium” value=”“>
<input type=”hidden” name=”utmCampaign” value=”“>
<input type=”hidden” name=”utmSource” value=”“>
<input type=”hidden” name=”utmContent” value=”“>
<input type=”hidden” name=”pageLink” value=”“>
<input type=”hidden” name=”ipAddress” value=”“>

Processing…Please wait.

See terms.


What are the core concepts associated with entity optimization?

The core concepts associated with entity optimization focus on entity attribute values (EAV), information dilution, language usage, site organization and page organization. 

Entity attribute values and Amazon

When optimizing around entities, you’ll want to focus on the attributes that are associated with your entity. 

Remember that the context can change the attributes that are most important to use. 

We use OpenAI and a simple prompt to get a list of attributes. You can get creative with it, but use the image as your starting point.

EAV

Amazon’s plethora of information on each product is a great example of entity optimization. They have videos, images, multiple angles, buyer guides, reviews, tags, and detailed technical information on their products. 

Do you need to be worth a trillion dollars to achieve this depth of attribute information? No.

If you are selling products of any kind, more scientific and data-centric information will help achieve the attribute depth and width required for entity optimization. 

Information dilution and disambiguation

Are you writing about SEO for lawyers? How do you connect two entirely distinct entities without diluting Google’s understanding? 

Do you target lifestyle, technology, business, and health on one website? 

Have you properly covered each distinct category and made the necessary connections to assist Google’s understanding of your content? 

You’ll fail to optimize for entities if you don’t provide adequate context. 

For disambiguation, we like to use Google NLP.

Google NLP

This is an example from Google. Input your text and review the score. 

Oftentimes, a few word changes and a small tweak to how you order your sentences are all it takes to drastically improve. 

The lesson here is to remember that writers are providing information and it’s important to know your audience when writing. 

You can provide helpful content to humans while providing a structure for AI to digest and understand. Content for humans and for robots is a needless bifurcation that largely exists due to SEO practitioners lacking knowledge in this area.

The importance of language

Focus on the way you use language. The book “Entity-Oriented Search” provides almost 400 pages of deep insights into entities.

The author, Krisztian Balog, reveals that the subjects, objects, and predicates are all used in order to understand a website and each of its documents (pages/posts). 

You must have your core topic on every page if you are Nike. Exercise, fitness, or shoes could all be options here. The actions and attributes associated with your core topic should also be present throughout your website. 

This doesn’t mean you need to say the same thing repeatedly because the context of an attribute or an action can change (i.e., exercising by running in the rain, exercising by sprinting, exercising on an outdoor track, etc.).

Logical site structure, page structure and schema

Google’s Lizzi Sassman recently shared how they prefer to digest schemas. Google wants sites to nest their schema. 

Use the dropshipping outline as an example. Context isn’t just about the content, it’s about the way you connect the content. 

Examples of page structure (you’ll learn how you can replicate this with schema later)

If you’re looking for a great example of what an entity-optimized blog architecture looks like, then I highly suggest that you review Docusaurus, a CMS of sorts, which handles content structure well.

Look at any of their showcases, and you’ll see a hierarchy of information presented on the left. 

You will get a top-down view of the cluster. The articles have a table of contents, so you get a top-down organizational structure for each article. 

The only additional thing to do is optimize the article’s internal link structure.

Using Wikipedia to jumpstart your entity-focused SEO campaign

Wikipedia is a semi-structured knowledge base that Google heavily uses in its quest to understand and use entities. 

Because we know what it is and how Google uses it in its systems, we can use a Wikipedia page to grow our understanding of entities and semantic search.

Wikipedia page - Sneakers

Case in point: the Wikipedia page for “sneakers.” Below are key elements to note:

Wikipedia page - Sneakers - See also

After analyzing hundreds of Wikipedia pages, we created an entity template that can be used as a quick reference when writing.

Generally, the most common entities are associated with brands, people, sports, activities, products, geographies, events, temporal, emotions, ideas, animals, fields of study, food, and music or film. 

List of entities

No one has the full list of entities, but I shared a list of 150+ types of entities in the previous article

It’s important to note that you should not expect to rank by just copying everything on a Wikipedia page. The example of Wikipedia is meant to provide context for understanding.

Ask yourself how your specific website context connects with your main entity. Think about the types of search intent that exist. 

AI is very helpful in giving you a headstart with this. Ask GPT-4 to “provide a list of likely search intents for someone searching Google for [running shoes],” and you’ll get a list of ideas.

Entities and GPT-4

This might not be perfect, but it’s a great way to identify search intent and grease the wheels for thinking through this on your own.  

Handy tool for generating 1,000-2,000 topics 

While AI is the focus of the next article in this series, this particular use case of AI is incredibly helpful for topic maps built to cover an entity.

With the ContentSprout topic generator, you enter the niche (e.g., “golf”) and get categories, sub-categories, and clusters.

ContentSprout topic generator

The final piece provides a list of topics to write about inside the cluster.

Topic cluster

AI helps reduce the time it takes to do a lot of SEO tasks related to entity optimization. Invest in AI tools, and it will pay off.

Now that we’ve covered the topic of targeting, it’s time to dig into identifying entities.

Identifying entities in text

Let’s use the TL;DR section above as the input text we will analyze. Open up textrazor.com/demo and paste the text into the box. 

When you run the analysis, you’ll see a helpful collection of insights about the text you provided.

Identifying entities in text - 1

If you hover over an underlined word, you get some sweet info that can be used for your schema or for your analysis of your topic.

Semantic search engines

You get a Wikipedia link, the Freebase ID (a structured knowledge graph), and a Wikidata ID (like Freebase, but better). You also get a list of scores and entity types. 

Semantic search

The right side of the screen provides the identified topics. 

Remember that this isn’t Google, but it’s attempting to do something similar to what Google is doing, which makes this tool useful. 

I can now see many scores connected to topics, organized by the strength of the topic understanding. 

Using schema to connect the dots for Google

Schema has become mainstream in SEO communities, but that doesn’t mean people use schema to the fullest. Most people stick with a generic schema and avoid anything custom.

While this article isn’t designed to provide a crash course on schema, it is important to share the two underutilized schemas that help connect the dots for Google.

Mentions schema

By using mentions schema, you’re declaring that your page mentions a specific thing. You can then tie in a Wikipedia page and connect that declaration. 

Why is this helpful? 

You are disambiguating information and providing important information in the easiest format for Googlebot. Don’t sleep on mentions schema. 

Mentions schema

In the image above, you can see a ContentSprout test website on fishing. 

The main entity of the page is declared, a description is provided, mention is used, and SameAs is incorporated. 

These pieces send an abundantly clear message to Googlebot so it understands your content.

If you’d like to visualize the schema, we suggest Schema Zone. We plugged in a URL containing a custom schema, which is what it looks like.

Schema Zone

If you’ve ever used Sitebulb or Screaming Frog, you’ll recognize that this is essentially a schema version of what those tools do with internal links. 

We all try to get our visuals to look like this, but did you know you could replicate that structure in schema? 

Schema Zone has a few other features, but our favorite is the competitor schema stealer.

Using competitors as your starting point is always easier, and this tool is designed to do exactly that.

A new company called Entity Clouds released a programmatic schema solution that has blown us away. According to its founder Cory Hubbe:

“Entity Clouds is a programmatic entity optimization tool set that leverages the science of bot crawl patterns and classification systems to give search engines precisely what they want. We use internet database classification systems and structured data as our foundation, strengthening the association between your business and relative, authoritative entities.”

It won’t give you cool visuals, but it gives similar results, and you install it with GTM or a WordPress plugin. 

Optimizing for entities

As we learned in the first article, Entity SEO: The definitive guide, entities are the future of SEO.

They help Google understand your content and its relevance to keyword searches. 

Optimizing for entities will help your content perform better in search engines.

Your website is much more likely to continue to rank through algorithm changes as Google and Bing continually improve their understanding of the web and the vast amounts of content on it.  

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Google-InspectionTool – the new Google crawler for Google testing tools

Wednesday, May 17th, 2023

Google has released a new crawler, a new Googlebot, named Google-InspectionTool. This new Google crawler will be how Google identifies crawling activity for the crawler used by Google Search’s testing tools, like the rich results test and Google Search Console’s URL inspection tool.

Google-InspectionTool. Google posted details about this new crawler in its help document over here. It says, “Google-InspectionTool is the crawler used by Search testing tools such as the Rich Result Test and URL inspection in Search Console. Apart from the user agent and user agent token, it mimics Googlebot.”

Here is a screenshot of that documentation:

User agent. The user agent token for its crawl activity can either be the classic Googlebot or the new Google-InspectionTool. Google also listed the full user agent strings which differ for mobile and desktop crawls:

Why we care. If you are a crawler junky and you analyze the crawling activity and bot activity in your log files, you might see Google-InspectionTool show up. That is especially if you use the Rich Result Test and URL inspection in Google Search Console.

If you see issues with these tools doing their jobs, you might be blocking the Google-InspectionTool user agent from accessing your site. So make sure to allow Google-InspectionTool to crawl your site if you have strict rules in place.

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