Pay Per Click (PPC) Advertising

E-marketing (29/01/12)

Pay Per Click (PPC) advertising is an advertising system where the advertise only pays for each click on their advert. The advertising system is mostly offered by Google and Yahoo. 


PPC is a key-word based. It's based on the search term that a user enters into a search engine. A search term can be one word or phrase. Advertising target those words. 


The advertiser users PPC 
1. Creates content of advertisement 
2. Selects the keywords 
3. Choose the maximum amount they will to pay for a click

The search engine algorithm
1. Checks the advert for .....
2. Displays the advert for relevant search ....
3. Determines the rank or position of advert based on the advertiser's maximum bid and the relevance

Making PPC advert: Heading, Line 1, Line 2, Display URL

Keywords and match type: Google Adword use brand, phrase, exact and negative matches.

Geo-targeting: could be .... by languages and locations

For advertisers, they need to access the maximum they will to pay for a click. Search engine will set different  ... on the same keyword. This is bidding the keywords.

Online comparison engines: Nextag, Price Runner, Jump, etc. These engines contract with retailers. The retailers supply the engine with a product feed which contains product name, price, URL, serial number, image, description, keywords.

The success of an advert maybe assessed by CPR but the success of the campaign will be assessed by its conversion rate.

Click- trough rate = Clicks/ impression%
Conversion rate = Conversions/ clicks%