Ever since Google AdWords made its grand splash on the market, pay per click advertising has become the latest rage in internet advertising. The ability to write an ad and allow a search engine to do the rest of the work for them has turned out to be a proposition that many advertisers find impossible to say no to.
In concept the relationship is one of symbiosis. Ads are written by the advertiser and used by the search engine to help find potential buyers. The advertiser gives a fee to the search engine when the potential buyer chooses to visit the advertisers site.
Every time a browser enters a keyword that pertains to the advertisement in question into a search engine the engine will display the ad in question along with the results of their search.
In the real picture though the process is not quite so simplistic.
For the advertiser keyword selection can be more complex. It is not usually as easy as going to the keyword selection tools on the search engine site. The keywords there are well used and will most likely deliver many pages of search results.
Because the basic web searcher's interest isn't going to be sustained past the 5 or 10 pages, the advertiser wants his ad to be shown on the first 5 or so pages to stand a better chance of seeing a profit.
Things get harder her because ads that are displayed with the first search results are there because the marketer has said he will pay the search engine more each time a searcher clicks on his ad than the other marketers promised to pay.
Traditional means of advertising would allow an advertiser to post an ad for an established period of time for a set fee, regardless of the number of viewers it generated. They then realized that this practice was costing them money.
The concept of pay per click marketing then evolved. The advertiser was charged for the number of times their ad was selected. This way they were able to turn a greater amount of profit for themselves if an ad was chosen regularly.
After the initiation the idea came to be sure that the ads having the highest price per click are shown along with the highest search results so that the search engine would realize the greatest profits possible. This brought competition into play in setting the bid prices. Advertisers would try to outbid the competitors.
The expenses for a pay per click ad campaign can compound rapidly without the advertiser even realizing what is going on because when your advertisement is in one of the first ad spots on a search results page it can get a lot of unprofitable interest and very little paying customers. That is wasted advertising budget.
Pay per click marketing could be complex and risky venture to undertake; it isn't the 'walk in the park' others would have you believe. Luckily, there are many valuable sources of information and tools (and some different advertising options too) to help the smart marketer find his way to success.
In concept the relationship is one of symbiosis. Ads are written by the advertiser and used by the search engine to help find potential buyers. The advertiser gives a fee to the search engine when the potential buyer chooses to visit the advertisers site.
Every time a browser enters a keyword that pertains to the advertisement in question into a search engine the engine will display the ad in question along with the results of their search.
In the real picture though the process is not quite so simplistic.
For the advertiser keyword selection can be more complex. It is not usually as easy as going to the keyword selection tools on the search engine site. The keywords there are well used and will most likely deliver many pages of search results.
Because the basic web searcher's interest isn't going to be sustained past the 5 or 10 pages, the advertiser wants his ad to be shown on the first 5 or so pages to stand a better chance of seeing a profit.
Things get harder her because ads that are displayed with the first search results are there because the marketer has said he will pay the search engine more each time a searcher clicks on his ad than the other marketers promised to pay.
Traditional means of advertising would allow an advertiser to post an ad for an established period of time for a set fee, regardless of the number of viewers it generated. They then realized that this practice was costing them money.
The concept of pay per click marketing then evolved. The advertiser was charged for the number of times their ad was selected. This way they were able to turn a greater amount of profit for themselves if an ad was chosen regularly.
After the initiation the idea came to be sure that the ads having the highest price per click are shown along with the highest search results so that the search engine would realize the greatest profits possible. This brought competition into play in setting the bid prices. Advertisers would try to outbid the competitors.
The expenses for a pay per click ad campaign can compound rapidly without the advertiser even realizing what is going on because when your advertisement is in one of the first ad spots on a search results page it can get a lot of unprofitable interest and very little paying customers. That is wasted advertising budget.
Pay per click marketing could be complex and risky venture to undertake; it isn't the 'walk in the park' others would have you believe. Luckily, there are many valuable sources of information and tools (and some different advertising options too) to help the smart marketer find his way to success.
About the Author:
Need to optimize or "fix" your Adwords & PPC campaigns? Kirt Christensen manages over $600k in PPC spending & knows what it takes to make your account hum! When it comes to ppc outsourcing, he's the man!
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