What is PPC?
How does pay-per-click work?
Why use PPC for marketing?
These are a few of the many questions we all come across in our everyday marketing life. Let’s look at What Is Pay-Per-Click Advertising?
PPC is an internet marketing model in which advertisers and business owners pay a fee each time one of their ads is clicked. Essentially, it’s a business move to buying visits to your site, rather than attempting to “earn” those visits organically. Businesses running ads here are only charged when the audience decides to click on their ad, hence the name “pay-per-click.”
One of the most popular forms of PPC is search engine advertising (SERP as it is commonly called). Advertisers can bid for ad placement in a search engine’s sponsored links, and when someone searches on a keyword that matches their business offering, the ad might show up in the top spot on the Google results page witnessed by millions of surfers almost every minute! Now, how cool is that, and how beneficial is that for your business!
How Does Pay-Per-Click Advertising Work?
Every time a user searches and includes a set of keywords in his/her search, Google digs into the ocean of Ads advertisers and then chooses a set of winner advertisements that appear in the very sought-after ad space on its search results page. These “winners” are chosen based on a variety of factors that includes the quality, endowment, and relevance of their keywords and ad campaigns, and of course, the size of their keyword bids. This winner deciding process of Google is called “AD AUCTION” and is an entirely automated process. One thing that money can’t do here is it cannot assist advertisers in paying more to ensure that their master’s ads appear more prominently than their adversary.
To be more specific, which advertisement gets to appear on the page is based on Advertiser’s Ad Rank. This is a metric calculated by multiplying two vital factors: One is the CPC Bid (the highest amount an advertiser is willing to spend) and Quality Score (a value that takes into account your click-through rate, relevance, authenticity and landing page quality that basically means the like rate given by your audience to your product). This way, the metric system (that is totally unbiased and highly efficient) allows winning advertisers to reach potential customers at a cost that fits their pockets. It’s typically a kind of auction.
How to Decide if Your Business Will Get a Boost Using PPC?
To this, you will need to assess whether you can afford to be involved. What budget you have for paid advertising, and if under budget, do you need to focus on amplifying your organic reach? In case you do have a paid budget, is it best to spend the entire sum on PPC, or are there few other paid tactics you have to account for?
PPC is an effective option if you want your product to reach out to people who are actively searching for terms related to your business. If you finally decide to create a PPC campaign, your budget will be determined by your audience type, their preferences, your competitors, and the types of products/services you wish to drive awareness of.