Benefits of Being in the "TOP 3"
There are three major benefits of being in the TOP 3 in google and yahoo:
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AD EFFECTIVENESS:
Google and Yahoo have somewhere between 20 and 40 listings on the first page of a search result. It is human nature to stop and check out the first listing that meets our needs. If you are listed number seven on the page, you may get seen or you may not. However, it is pretty certain that the customer will contact others before contacting you if you are far down the list. In the "print" advertising business, the cover page and back page are seen more often than the pages in the middle, so they are more expensive to purchase.
Statistically speaking, if you are in the top three, about six to twelve times as many people will visit your site, versus being number six or below.
IMPRESSIONS / VISIBILITY:
The visibility of being seen is limited if you are not in the top. The way the screen is set up, the customer may have to scroll down to see your listing. Google and Yahoo talk in terms of "impressions". An "impression" is a person entering the keywords where you are shown and looking at the page. If you are at the top, you are likely to be seen (and presumably contacted) more than if you are off the portion of the listings which show up on the screen. In the paper business, they have a phrase for it. You want to be "above the fold".
BRAND RECOGNITION:
If your ad is seen, you are building brand recognition. Even if the customer doesn't go to your website, at least they saw your name. Your image is improved in the customer's mind. The customer will look upon you as a leader in the market. There is a saying in sales that a customer has to see your name or be exposed to your business 22 times before they will buy from you.