Incredible Benefits of Pay Per Click Advertising
There are several ways to advertise on the Internet: Search Engine Marketing, social media ads, portal ads, etc. Each of these media will fulfill a specific role in a company’s digital marketing campaign. At the same time, it is possible to buy that advertising under different modalities. Some media market their spaces through CPM (cost per thousand impressions), while others do it by sponsorship. It shows advertising within a certain period and there are also ways to buy. This will ensure results to customers: the PPC (pay per click) and the PPA (pay per share).
PPC or Pay Per Click – always provides an easy path to increase your traffic. It take advantages of Google’s tools. By running paid ads for popular keywords, you can put your company name at the top of the results page.
What is pay per click?
This modality means that you will only be paying when a user clicks on your ad. If the creativity was shown but nobody clicked on it, no worries. Its impact will be completely free and you pay only for results. In this case, the “risk” is being assumed by the portal or website. As it could be allocating a significant part of its advertising inventory to show ads that do not generate actions.
The total payment to be made will be given by the total number of clicks reached within a period, multiplied by click value. While some supports establish a fixed PPC cost, other platforms such as Google, Facebook, and Twitter. It allow the PPC value of a campaign to be dynamic and constantly change according to the supply, demand, budget, and results obtained by the campaign, in other words, its history.
How does pay per click work?
After configuring your campaign on platforms such as Google Adwords or Facebook Ads, advertisements will begin. It is to be displayed according to the defined targeting and segmentation.
Users will be exposed to the different variants of the ads and the campaign will accumulate history. The better results an ad gets, the more it will be displayed. Ultimately PPC obtained will be less: those ads that get good results are rewarded. On the contrary, if nobody clicks on the advertising, what will happen? is that the PPC will rise more and more, losing visibility of the campaign? The platforms “punish” the bad ads, forcing you to work on optimizing the campaign to improve communication.
So the goal of a Pay Per Click strategy is to sponsor your content or your ads to give them visibility. Make them appear by your target users and, to make them click and visit your content.
Usually, we talk about CPC , which refers to how much it costs to get a click to your website. The CPCs vary greatly according to the platform (Facebook, Instagram, Google, LinkedIn, etc.). In which the advertisements are published, as well as the quality and relevance of the advertisements themselves.
Pay Per Click campaigns can be published on many platforms, the most common being:
- Youtube
- Native advertising platforms
Auctions within platforms
Although the results obtained by the campaign will influence the PPC. In these platforms, it is also possible to determine a maximum PPC that you are willing to pay for a certain term. Companies that offer a higher cost per click are more likely to display their ads. This limit can be set globally or even for each ad or keyword. In each ad display, an auction will be held to determine which ad will be displayed, taking in account many factors. Such as PPC offered, the accumulated history, the segmentation, and other variables of the ads.
On the other hand, there is the possibility of configuring the campaign so that it is the same platform that is in charge of dynamically modifying the maximum PPC. It automatically adjust the PPC offer to obtain results. For example, achieve more conversions, registered users or get more followers.
In the case of Facebook, the greater the segmentation and therefore the smaller the potential audience. The ad will impact, the higher the expected PPC will be. For Google Adwords, the more specific the search, the more competitive PPCs can be obtained.
Advantages of pay per click:
There are several advantages of pay per click campaigns, among them we find:
- It is a very effective way to get leads.
- It is possible to control exactly how much it is costing to attract each visitor.
- You can easily calculate the clicks necessary to achieve a conversion.
- You only pay for results.
- Low risk: unlike campaigns bought by sponsorship or CPM, when buying through PPC, the company makes sure to get results.
- Quality visits: it is the user who has voluntarily clicked on the ad, therefore he has an interest in your products or services.
Analytics: understand the quality of visits
A digital media campaign typically combines PPC and CPM purchasing in its media plan. while some sites will sell results, others don’t have a lot of banner inventory available. So they will usually sell their spaces for impressions. The important thing is to analyze the results of each medium. Perhaps a site marketed by CPM is also efficient, since your visits may cost more. But they are of such good quality, that their conversions are high enough to justify making this type of purchase.
How are prices determined in Google Adwords?
All advertisers place a bid on how much they are willing to pay for a click on their ad. The advertiser who places the highest bid will have theirs displayed at the top of Google. The lowest bidder will appear at the bottom of the search results of the ads.
It’s not just the bid that determines the position of your ad in Google. The quality of your ads and the use of ad extensions are also important.
Google has a tool called Keyword Planner where you as an advertiser can get information and estimate click costs for specific keywords.
How do you know what is a good bid for your business?
To know which bid to place, you need to know how much a goal or conversion is worth to your business.
If you are selling a product, you need to know what your profit margin is to know how much you can spend on advertising so as not to make a loss.
If you sell a service where customers contact you, then you need to figure out the following:
- how many of those who contact you become a customer
- How much is a customer worth on average for the business? Remember to include the lifetime value as well.
What does it cost?
It depends a bit on the industry and what keywords you want to be seen for. With the help of Google Keyword Planner, you can estimate the average cost-per-click for a keyword.
How are the costs calculated?
Google calculates costs through a variety of factors, including the number of advertisers and their bids.
How to pay?
There are different payment methods for Google Ads. Available payment methods are credit cards, debit cards, and money transfers.
If you haven’t jumped on the PPC train yet, these 6 amazing benefits may change your mind.
1. Helps you achieve your goals
Whatever your goals as a company, PPC can probably help you get there. First, you can increase the number of leads. Second, you can raise the profile of an e-commerce shop. It is also possible to improve your brand awareness. PPC provides an easier option to promote your content marketing and reach your ideal audience at every step of the sales funnel.
2. Low entry barrier
With a little tweak, you can see results in PPC marketing very quickly, it’s quick and easy to set up. After that, it allows you to focus on your target audience to only target your ideal audience. The platform provides step-by-step instructions to start creating your ad, so you can set up the campaign without help. You will also see the results within a few minutes. Unlike SEO, which can take months to pay off.
3. Comprehensive adaptability
With PPC, you can choose every aspect of the campaign, and when you want your ads to appear. In most cases, you can pay as much or as little as you want (as long as it is within a market average). And if your ad doesn’t work the way you want it, you can quickly make changes to try something new.
4. Measurable results
When you run a PPC campaign through AdWords, the results are recorded accurately so that there is no guesswork. This platform allows you to instantly view impressions, clicks, and conversions. You can then analyze and use to improve your next campaign. You know exactly who is clicking on the links to your landing pages, how your traffic is increasing. Understand where your budget is going. Traditional forms of advertising such as newspaper or television advertising simply do not convey a clear picture of how your campaigns work.
5. Highly specific target group control
With PPC, you can send your message to extremely specific audiences, including:
- People at every specific level of your sales funnel – especially those who have previously visited your website.
- Those who search with niche longtail keywords.
- Demographic data for small target groups
- By using a mix of different PPC strategies, you can increase your chances that your content will reach the right users. You can reach both existing customers and those who have never heard of your company.
6. Information base for your SEO strategy
SEO and PPC both target the same types of users – those who use the Internet, and especially Google, to find deals. The performance data that PPC provides can then be used to target keyword strategy and popular traffic drivers for SEO campaigns. Conversely, an SEO strategy can help determine which keywords to target for PPC.
In Conclusion
Pay Per Click is however only one of the activities on which to invest in a Web Marketing strategy. It is not the only one, nor the most important.
While Pay Per Click is useful for pursuing short-medium term objectives, it is also essential to invest in SEO, for long-term objectives.