Search Engine Advertising Perceived Effectiveness: A Resource-Based Approach on the Role of Advertisers' Competencies

Searchengineadvertising(SEA),inwhichbusinesses(oradvertisers)bidonkeywordsandpaysearch engineproviders(e.g.Google)togetasecureplaceonthefirstpageofsearchresults,isaprominent sourceofrevenueforsearchenginecompanies,andaneffectivemethodforbusinessestopromotetheir visibilityontheWeb.SEAisacomplexanddynamicformofadvertisingandmanagingiteffectively isstillachallengeformanybusinesses,particularlysmallerbusinesses.Buildinguponresource-based theory,thisstudyhasdevelopedacontext-specificmodelforunderstandingadvertisers’competency factorsthatinfluenceSEAeffectiveness.Usingstructuralequationmodellingandsurveydatacollected from142businesses,thisresearchhasfoundthatSEAeffectivenessisinfluencedbyorganizations’ abilitytomanagekeywordsandbids,abilitytoanalyseandmonitoroutcomes,advertisingexpertise, commitment toSEAtask,and theuseofexternalexperts.Moderatingrelationshipsbetweenthe factorshavebeenexamined,andtheimplicationsofthefindingsforbothacademicsandpractitioners havebeendiscussed. KEywORdS Paid Search, Perceived Advertising Effectiveness, Resource-Based Theory (RBT), Search Engine Advertising (SEA) Effectiveness, Sponsored Search

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