Special Report: Search Engine Marketing

Founded as a print cataloger in 1967, today 75 percent of the Port Jefferson, N.Y.-based Sea Eagle’s sales come from customers who’ve had some interaction with its Web site. Paid and organic/free SEM combined account for one-third of the company’s sales.

Hoge says Sea Eagle doesn’t have a specific budget for paid SEM. “We play everything by ear,” he says. “It’s so easy to measure — we just look to see if we’re getting sales and making money from SEM.” Hoge looks at each search bid; if it’s tracking in the black or is breaking even, he continues using it. If it’s in the red, “we cancel immediately.”