Pay Per Click Advertising PDF Print E-mail

What is Pay Per Click Advertising?


Pay Per Click or “PPC” marketing constitutes a type of Internet advertising used throughout advertising networks, search engines, as well as content based websites and blogs.

This method of advertising can be extremely beneficial since you only pay when a user actually clicks on one your ads. Through the use of search engines, advertisers usually place a bid on keyword phrases that are relevant to their target demographic/ market. Some of the more well Known PPC providers include, Google AdWords, Yahoo Search, and Microsoft adCenter which are amongst the largest network operators (2007)

Pay Per Click AdvertisingThe instant a user searches for a specific keyword query that matches an advertiser's keyword list, or views a webpage with related content, relevant ads will typically be displayed. These advertisements are referred to as sponsored links/ sponsored ads, and will appear next to or above the organic results on a search engine results page, or anywhere a webmaster chooses on a content page. Most owner/ operators of content websites will charge a fixed rate for a click instead of opting for a bidding mechanism.

Take into consideration that very popular search terms will often cost much more on a popular search engine. In the past the Pay Per Click model has been susceptible to abuse in the form of click fraud, but as of late Google along with other search engines have instituted automated systems to protect against offending clicks by competitors.


Understanding the Purpose of The Search Engine

Simply put in ‘online speak’, a search engine constitutes any number of interactive tools that allows the user to search the entirety of the World Wide Web for information. There are mainly two different types of search engines:

Service engines let advertisers provide specific feeds from their service databases. Once a user searches for a service, links to an advertiser are displayed for that service. More importance is given to those (advertisers) who pay more; conversely, the user can usually organize by price or another similar criterion. It is common to see service engines operating in specific vertical markets.

Product engines (a.k.a. price comparison engines) are a rather simple concept. In essence they are search engines for products, which allow advertisers to provide feeds directly from their product databases. Upon searching for a product, links to advertisers are displayed for that particular product. As with service engines, more importance is given to advertisers who can afford to pay more; although again, the user can choose to sort by price.

Important Parts of PPC

Additional Google analytics
In most cases there will always a cost associated with adding more tracking & analytics (whether it’s software cost, consulting costs, or the time required to set-up and analyze the data). You are almost always better off starting with Google’s free analytics tracking plug-in.

Having multiple offers on one domain
You should focus on building landing pages and pinpointing your advertising to one specific offer, if not you can end up doing more harm to yourself than good from being spread too thin. The best way for you to advertise different offers simultaneously is through the construction of new domains which are targeted to that particular product.

Structuring a PPC campaign
For starters, if you are selling a base product you can make use of one of two methods.
  1. A General Campaign, using multiple Ad Groups (product description A, description B, etc…)
  2. A Specific Campaign, with multiple Ad Groups describing each topic. Using this method will allow you to better organize a budget for what can be considered “general”, along with a separate budget for “topics”. A third or simultaneous option could work along the lines of structuring a campaign for Brand.
 

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