What Is Pay-Per-Click (PPC)?

What Is Pay-Per-Click (PPC)?

Whether you’ve heard a little about PPC marketing and are curious to learn more, or you already know that you want to use PPC to market your business. This article will guide you to learn more about PPC.

What Is PPC?

Pay-per-click (PPC) is an advertising model that lets advertisers place ads on an advertisement platform and pay the platform host when their ad is clicked.

The goal of the ad is to lead the user who clicks to the advertiser’s website or app, where the user can complete a valuable action such as purchasing a product.

Search engines are popular host platforms as they allow advertisers to display ads relevant to what users are searching for.

How Does Pay-Per-Click Advertising Work?

PPC as a marketing channel covers a number of different ad platforms, the most common of which are Google Ads and Bing Ads.

And within each of these platforms are different ad formats, including:

  1. Search Ads.
  2. Shopping Ads.
  3. Display Ads.
  4. Video Ads.
  5. Gmail Ads.

Most commonly, you will find that businesses start their PPC marketing on Google Ads because it gives access to the largest audience of potential clients and customers, as well as many different ways to set up and run campaigns depending on your goals.

How the PPC Model Works

The pay-per-click model is primarily based on keywords. For example, in search engines, online ads (also known as sponsored links) only appear when someone searches for a keyword related to the advertised product or service. Therefore, companies that rely on pay-per-click advertising models research and analyze the keywords most applicable to their products or services. Investing in relevant keywords can result in more clicks and, eventually, higher profits.

The PPC model is considered to be beneficial for both advertisers and publishers. For advertisers, the model is advantageous because it allows them to advertise products or services to a specific audience actively searching for related content. In addition, a well-designed PPC advertising campaign allows an advertiser to save a substantial amount of money as the value of each visit (click) from a potential customer exceeds the cost of the click paid to a publisher.

For publishers, the pay-per-click model provides a primary revenue stream. Think about Google and Facebook, which provide free services to their customers (free web searches and social networking). Online companies can monetize their free products using online advertising, particularly the PPC model.

PPC can and should be a profitable marketing channel for your business. It brings a wealth of benefits that don’t exist with others, and it is relatively easy to get started on the most popular platforms.

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