TY - JOUR

T1 - Analysing clickstream data

T2 - Do paid and organic search affect each other?

AU - Bremer, Vincent

AU - Funk, Burkhardt

PY - 2017/4/4

Y1 - 2017/4/4

N2 - Investments in both paid and organic search are crucial for today's online retailer. In this paper, we analyse how consumers respond to organic and paid search advertising and gain insight into the interrelationship between these online marketing channels. We use a binary logit model and Markov-Chain-Monte-Carlo techniques and analyse the interaction effects between paid and organic search and the conversion probability based on clickstream data from a major electronic retailer. Our findings indicate that there is a positive relationship: when consumers interact with both paid and organic search, a strong positive effect occurs towards the conversion probability in the short-term compared to when users only interact with one channel. Our findings are valuable for organisations in regards to their online marketing strategies and budgeting.

AB - Investments in both paid and organic search are crucial for today's online retailer. In this paper, we analyse how consumers respond to organic and paid search advertising and gain insight into the interrelationship between these online marketing channels. We use a binary logit model and Markov-Chain-Monte-Carlo techniques and analyse the interaction effects between paid and organic search and the conversion probability based on clickstream data from a major electronic retailer. Our findings indicate that there is a positive relationship: when consumers interact with both paid and organic search, a strong positive effect occurs towards the conversion probability in the short-term compared to when users only interact with one channel. Our findings are valuable for organisations in regards to their online marketing strategies and budgeting.

KW - Business informatics

KW - Paid search advertising

KW - organic search

KW - hierarchical Bayesian model

KW - search engines

KW - SEA

KW - Search engine advertising

KW - SEO

KW - search engine optimisation

KW - cklickstream analysis

KW - Online Marketing

KW - Clickstream analysis

KW - Hierarchical Bayesian models

KW - Online marketing

KW - Organic search

KW - Paid search advertising

KW - SEA

KW - Search engine advertising

KW - Search engine optimisation

KW - Search engines

KW - SEO

UR - http://www.scopus.com/inward/record.url?scp=85062784237&partnerID=8YFLogxK

U2 - 10.1504/IJEB.2017.10003870

DO - 10.1504/IJEB.2017.10003870

M3 - Journal articles

VL - 13

SP - 205

EP - 215

JO - International Journal of Electronic Business

JF - International Journal of Electronic Business

SN - 1470-6067

IS - 2/3

M1 - 5

ER -