Given those caveats, however, there is a three-step technique that some people have found works fairly well for both generating keywords and focusing in on which ones to use. The first step is to go to the Google Keyword Sandbox, described in the previous article, to generate keywords. Then, go to the Overture Term Suggestion Tool to see how many people are entering those keywords into Overture. Keep the caveats about Overture mentioned in the previous section in mind.

Finally, after you have gathered your list of keywords, go back to Google -- but this time, go to the home page. Search on your keywords, and see how many sites are listed for them. You are aiming for keywords that are frequently used by your target audience, but do not have many competing pages. This way, you will have a better conversion rate. This technique is not as sophisticated as using WordTracker, but it has the advantage of being free. (I would still strongly recommend that you give WordTracker a try; even the free trial provides you with some powerful information).

I'd like to emphasize how important it is to target the right terms. There are a number of factors that need to be weighed when choosing keywords to target. One is the conversion rate, or the percentage of users who search with those keywords that convert (i.e. click an ad, make a purchase, and so on). Sometimes someone who types in a more specific set of keywords is more likely to buy than someone who uses a less specific set, because they've already done their research and just want to know where they can purchase it (and for how much). A second factor is how many searchers will be using those keywords this month.

A third factor, described as "value per customer," is the average amount of revenue earned per customer using the keyword to search. For instance, someone searching on the phrase "men's suit" may be less likely to buy a suit than someone doing a more specific search, such as "Hugo Boss men's suit." Finally, the fourth factor is keyword competition, which is a measurement of the competitive environment surrounding that keyword. Issues that affect keyword competition include the number of competing sites, the strength of those competitors' links, and the financial motivation to be in the particular sector those keywords represent.