An overview of Pay Per Click

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There are several people round the globe who may not be familiar with pay per click advertisement. In simple words, Pay per click refers to a method of online advertisement wherein a person sets up a text format advertisement that is placed on a search engine. While advertisement is shown up on several search engines, you need to pay only if a person clicks on your advertisement. One of the advantages of PPC campaign is that you can determine and define the pages wherein your ad comes up through set up of search terms for each ad. Moreover, you can also define the amount of money you are willing to pay on each click, thus being able to outbid other people for ad placement.

In order to make a PPC campaign successful, you need to follow requisite tasks. Firstly, you need to determine the product’s unique selling proposition. USP or unique selling proposition answers the reason behind doing business with you instead of your competitors. If your organization stands out from the crowd, you can relate to the services or products provided, guarantees offered, delivery mechanisms that are being used, complimentary services provided as well as pricing or any attribute that is associated with your business.

Secondly, you need to define campaign’s goals and objectives. This may include acquiring certain number of traffic, new business leads, number of new customers or orders per day as well as certain number of sales revenue per day. Always remember that the goals of your PPC campaign must be quantifiable as well as measurable for defining the success of the campaign.

Thirdly, it is necessary to decide both starting and ending dates of the campaign. A major benefit of pay per campaign is to turn a campaign both on and off  at your discretion.

Fourthly, you need to establish click-through rate target or goal for your pay per click ads. Click through rate refers to the number of times your ad is clicked versus the total number of impressions. Generally, click-through rates range from 1% to 5% of the number of impressions.

In the fifth step, you need to set the conversion rate target for your pay per click ads. Conversion refers to a measure of searchers that click on the ad and taking the next step through purchase, registration or subscription etc. The conversion rate will be measured versus the total number of ads impressions or total click throughs. Although conversion rates range to all extremes but a good target might be from 5% to 20% of the number of ad click throughs.

Sixthly, you need to define the budget for pay per click campaign. You need to decide how much money and time you have to spend on the campaign. Most of the pay per click search engines offer automated budgeting mechanisms which can take control of the cost of the campaign.

With a successful PPC campaign, you can get a good response from the visitors which can improve your business