About PPC Advertising

by Lian Maksin on March 23, 2009

Sent by: Stove Popper. The concept of Pay-Per-Click or PPC advertising defines a marketing promotion model that is in wide use with search engines and advertising networks. Advertisers pay the site that displays their ads only when one of these gets clicked on, which in fact explains the name of the concept as such. All business owners activating online have certain keywords or key-phrases that define and address a target market. When someone researches for one of these keywords, websites will display not only page content but relevant ads too. Another name for such forms of advertising is sponsored links or sponsored ads, and they are nearly everywhere on search engine result pages.

Google, Yahoo!Search Marketing and Microsoft AdCenter represent the largest networks working on the PPC advertising system.

The prices practiced by these service providers are similar in terms of packages, but high variations appear because of the level of demand for keywords. There are several ways of conducting PPC advertising campaigns and lots of businesses actually higher professional agencies to do this part of the Internet marketing promotion from A to Z. Thus, there are two types of campaigns with their specific categories: the sponsored match and the content match.

Thus PPC advertising focusing on content develops campaigns that use the business web site or other pages together with newsletters and e-mails to target more relevant visitors and thus generate profit.

The sponsored match model however involves only the ad display on the result pages in search engines. Thus, the advertiser makes profit when the click on the ads results in a transaction, while the displayer, whether website or search engine makes profit with every click on the ads regardless of whether they are profitable for the advertiser or not.

The issue with PPC advertising is that it represents a model that has often been subject to click fraud. Dishonest people sometimes click on ads on purpose with the intention of making one lose money. Another illegal case is when the websiter advertising online orders the clicks on the ads to generate more money. Google and the other search engines have acted promptly against such abuses, and the main safety program consisted in the implementation of automated systems capable to detect fraudulent clicking. Yet, the system is not 100% safe and breaches do exist.

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