PPC allows advertisers to bid for ad placement in a search engine’s sponsored links when someone searches on a keyword that is related to their business offering. For example, if you are selling beauty products and we bid on the name of the product that you sell: “L’Oreal Paris Pure Clay Detox Mask” your ad might show up in the very top spot on the Google results page.
PPC stands for pay-per-click, a model of internet marketing in which advertisers pay a fee each time one of their ads is clicked. Essentially, it’s a way of buying visits to your site, rather than attempting to “earn” those visits organically.
A lot goes into building a winning PPC campaign: from researching and selecting the right keywords, to organizing those keywords into well-organized campaigns and ad groups, to setting up PPC landing pages that are optimized for conversions.
As every time our ad is clicked, sending a visitor to our website, we have to pay the search engine a small fee. But search engines reward advertisers who can create relevant, intelligently targeted pay-per-click campaigns by charging them less for ad clicks. If your ads and landing pages are useful and satisfying to users, Google charges you less per click, leading to higher profits for your business. So if you want to start using PPC, it’s important to know how to do it right.
When PPC is working correctly, the fee is trivial, because the visit is worth more than what you pay for it. In other words, if we pay £3 for a click, but the click results in a £300 sale, then you make a massive profit.
Who gets to appear on the page is based on and advertiser’s Ad Rank, a metric calculated by multiplying two key factors – 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, and landing page quality). This system allows winning advertisers to reach potential customers at a cost that fits their budget. It’s essentially a kind of auction.
AdWords operates on a pay-per-click model, in which users bid on keywords and pay for each click on their advertisements. Every time a search is initiated, Google digs into the pool of AdWords advertisers and chooses a set of winners to appear in the valuable ad space on its search results page. The “winners” are chosen based on a combination of factors, including the quality and relevance of their keywords and ad campaigns, as well as the size of their keyword bids.
Conducting PPC marketing through AdWords is particularly valuable because, as the most popular search engine, Google gets massive amounts of traffic and therefore delivers the most impressions and clicks to your ads. How often your PPC ads appear depends on which keywords and match types you select. While a number of factors determine how successful your PPC advertising campaign will be, you can achieve a lot by focusing on:
- Keyword Relevance – Crafting relevant PPC keyword lists, tight keyword groups, and proper ad text.
- Landing Page Quality – Creating optimized landing pages with persuasive, relevant content and a clear call-to-action, tailored to specific search queries.
- Quality Score – Quality Score is Google’s rating of the quality and relevance of your keywords, landing pages, and PPC campaigns. Advertisers with better Quality Scores get more ad clicks at lower costs.