Search marketing budgets are set to increase in 2008, according to MarketingSherpa's "Search Marketing Benchmark Survey."

Responding marketers said they planned to increase their pay-per-click budgets by at least 11% in 2008. One-third of search marketers whose spending was average said they planned to do so on Google AdWords. Respondents rated both PPC and search engine optimization as effective search marketing tactics.

SEO spending is past due for some marketers, judging by an August 2007 study by Oneupweb. While one-fifth of the top 100 US online retailer Web sites were well optimized, more than one-quarter were not optimized at all.

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