What is Pay Per Click and how can it benefit my company?

February 10, 2010 | This post currently has one comments.

Pay Per Click (PPC) is an effective form of online advertising where businesses pay an agreed amount each time their advert is clicked.

Advertisers will define how much they want to spend per click and usually the maximum amount each day. Each click can range from 1 penny to several pounds, dependant on the chosen keywords and the competitors.

Generally, businesses that are willing to spend the most money for a relevant advert will usually be placed first (but is also judged on a number of different factors).

In my opinion the most popular PPC system is Google Adwords. Below is a screenshot highlighting where the PPC advertisements are.

Benefits

Now you understand the basics of PPC, I’ll explain how Google Adwords can benefit your company.

1. Bring in relevant traffic almost instantly. Getting your website to the top of the organic results in Google for your targeted keywords could take many months, even years. With Google Adwords, you could setup your account and be bringing in relevant traffic almost instantly.
2. You control the traffic and information. With Google Adwords you choose when you have your adverts running and what information is displayed (e.g. the title, description).
3. Display your adverts internationally. You are not confined to just display your adverts in the United Kingdom. You can select individual countries, counties or even the whole world, making your audience a lot bigger.
4. Analysis. All your clicks can be easily tracked through the Adwords interface. Google Adwords clearly states your different campaigns and individual ads and shows data such as clicks, impressions and works out the click through rate.
5. Brand awareness. PPC ads are a great way to create or expand brand awareness of your products. Even if people aren’t clicking, then they might see your adverts, and are now aware of you.

Tips

Many businesses are now taking the pay per click route, but are not making the most out of the opportunity and not receiving their maximum return on investment (ROI).

If you have limited time, and / or do not want to carry out in-depth research, then I would recommend hiring a company to setup and manage your campaigns. Not only will this ensure you receive the maximum ROI but it will also save you a lot of hassle.

If you’re still interested in running your own pay per click campaign then heres some tips to help you:

• Add as many keywords as possible. You should be aiming for hundreds of keywords (as long as they are relevant) so you gain maximum exposure.
• Be organised. Making sure all of your different campaigns and adgroups are tidy and are easy to sort through will save time and make analysing the data easier.
• Do not bid really high on new campaigns just too quickly find keywords that convert. You should be looking to run a profitable campaign right from the start.
• When adding keywords, you should assign bid amounts according to the match type. Broad match should have the lowest bids, then phrase match and then finally exact match.
• Don’t bid for keywords that are too generic, e.g. mortgages. These terms will be highly competitive, and you will be unlikely to make any money.
• Keywords in an ad group should be related, which in return will help keep your keyword’s quality score high and your cost per click low.
• And finally, you should keep a close eye on all of your adgroups and keywords to make sure they don’t need adjusting.

If you’re interested in starting up or expanding a pay per click campaign, and don’t want to manage it, then why not get in touch to discuss your requirements.

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One Response to “What is Pay Per Click and how can it benefit my company?”

1. admin says:

   February 10, 2010 at 11:25 am

   Let me know what you think!

   Reply

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