The February 12, 2007 BtoB magazine reports that 2006 spending on search engine marketing (SEM) reached $9.4 billion–up 62% from 2005.

That’s big.

Ad budget allocations are gravitating toward SEM and away from print magazine ads, direct mail, TV, and newspaper. Why? Carol Krol’s article concludes–

“SEMPO [Search Engine Marketing Professional Organization] projects spending for search will grow to $11.50 billion this year, $13.30 billion in 2008, and $18.60 billion by 2011, driven by strong advertiser demand, rising keyword pricing, a second wave of small-to-midsize businesses turning to search, better search technology and increased local search inventory.” (B2B magazine, February 12, 2007)

Note the mention of small-to-midsize business. SEM levels the playing field, allowing small companies to compete for consumer attention in ways they never could through traditional print and media advertising. For example–

1. A small firm can optimize its Web site as well as or better than a large one. Skill, more than cost, drives effective search engine optimization (SEO).

2. A small firm can finance and craft a high traffic blog–and perhaps do it more rapidly than a large, bureaucratic company that manages by committee.

3. Local search technology allows local businesses to efficiently cultivate their natural market. It’s possible for the neighborhood dry cleaner to achieve higher pay-per-click (PPC) conversion rates than a global PPC advertiser. Local search, still in its infancy, is already a better advertising bet than phone book advertising ever was for many local or regional businesses. Visit locally type(d) to learn everything you ever wanted to know about local search.

These days, search engine marketing is a must for any serious business, regardless of size.

Word Sell … Scrambled Toast

P.S. … Taking a few days off to recharge my blog batteries!