PPC, or pay-per-click, is a method of digital marketing that drives more viewers to websites. The advertiser pays a certain amount each time that ad is clicked and consumers are consequently taken to their site. Early on in the digital advertising space, this sort of arrangement could really help drive traffic to a website. However, in a digital age quite robustly cluttered with ads, getting clicks and retaining those viewers isn’t so simple.
The way an advertiser constructs their PPC campaign is incremental to the return rate, the favor by their preferred search engines (especially Google), and how likely the clickers, or consumers, are to stay on the site, revisit the site or buy something on the site. Keywords are one of the most important elements of the PPC campaign. The advertiser must be acutely aware of which keywords a potential buyer is typing in that will correspond most relevantly with the products on the landing page the advertisement has to offer. When the consumer clicks on the advertisement and is brought to a pleasing, completely relevant page, the consumer is usually happy. The consumer rewards the advertiser with a product purchase and the search engine rewards the advertiser with lower PPC rates and likelihood of winning a bid to show up at chosen keywords again.
Since there are a number of strong competitors per industry and so many small brands fighting to keep up with the big ones, the bidding is considered tactfully. In order to win bids, the advertiser works to assign the best keywords and make the best landing pages. The bidding method behind PPC allows advertisers with strong PPC campaigns to market at a cost that fits their budget. If their willing PPC rate bid is not higher than all the other bids, but other factors like keywords, relevancy and landing page are superior, they can still win the bid. Search engines prefer strong PPC campaigns because they want their search engine users to find use in the PPC ads placed alongside searches.
One of the trends happening in today’s digital advertising age is a tendency toward CPA, or cost per action. Although the advertiser should be making the best PPC campaign possible for sturdiest results, some advertisers want to pay per action that occurs once the consumer clicks onto their site, such as a forum signup, a sale opt-in, a newsletter signup, etc. As advertisers and business owners monitor their advertising spending against their conversion rates and profit margins, the speculation will continue to grow. To decide which method is best for you and how to keep up with the evolution of PPC, consult an Executive Digital team member.