What is Pay Per Click Advertising?
Pay per click (PPC) advertising is one of three ways that your site can appear on search engines like Google, Yahoo, Bing and others. There are areas of the search results page on the top, side and sometimes bottom that are designated for paid search results. This is unlike the other two areas of the search results page which are dedicated for organic search results and local business search results. Webmasters and business owners cannot pay to appear in these other two areas. They can pay professionals to do work which helps them appear there. Yet, the search engines themselves only accept payment to appear in the areas where pay per click ads are sold.
The ads are called “pay per click” because the advertiser only has to pay when someone clicks on the ad. When the system is set up to only charge per click, the advertiser can have an infinite number of impressions and pay nothing if no one clicks on the ad. However, that is certainly not the goal of most PPC advertising. In some cases the number of impressions are important for strategies like brand exposure and ads can be purchased on a per-thousand-impressions basis (PPM). When pay per click advertising is purchased, the goal is to have a targeted internet user click on the ad and convert into a sale.
How to Improve Search Rank with PPC Advertising:
As with any search engine result, you want to appear on the first page to your target market, and the higher the search rank the better. The search rank for a particular ad depends on quality plus the bid amount (quality + bid amount). Most search engines allow the advertiser to determine what they want to pay per click and how much they want to spend per day. The ones that are willing to pay more for each click can appear higher than those paying less. So the rank partially depends on a continuous auction between competing advertisers. However, the goal of the search engine is to connect the person searching with the content that they are looking for. So the quality of content that the ad link leads to is a factor for improving search rank. In other words, if your content is deemed to have higher quality than your competitors, then you won’t necessarily have to bid higher than your competitors to outrank your competitors.
Since Google is the most prominent search engine with over 60% of the search engine market, this information is mostly based on Google’s PPC advertising platform, Google Adwords. Of course Google has competitors, such as Yahoo, Bing and others which may have slightly different formats for their paid ads. Depending on your industry and marketing plan, these competitors could be considered since their ad platforms may be less saturated with your competitors.
Calculating Return on Investment (Return on Marketing Investment)
In order to track most marketing streams an identifier has to be manually inserted into each stream of advertising so that results can be tracked from beginning to end. For example, if you wanted to measure the effectiveness of one business card compared to another, then you might put a different phone number on each card and monitor which phone number gets called more often. PPC advertising is one of the easiest forms of advertising to track because the entire tracking system is built in. The numbers are automatically generated to reveal impression rate, click rate, and conversion rate. These are the numbers you’ll need to calculate cost per acquisition and return on investment. This allows the business owner, and possibly the PPC manager if hired, to gradually improve a PPC campaign over time to make the marketing dollar more effective.
Get a PPC Manager from Mirex Marketing
Are you considering a pay per click campaign as part of your overall marketing plan? While a Mirex Marketing Manager can help you determine if PPC advertising is right for you and your business, a PPC manager can handle all aspects of running the PPC campagin. Your business deserves to have a PPC expert, such as a Google Certified Partner, who can help you to be more competitive and produce a higher ROI.
Call (480) 744-5919 or use the form below to set up a free consultation.
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