What is Pay per click (PPC)?
Pay-per-click (PPC) is a digital advertising strategy where advertisers compensate publishers each time their ad link is clicked. This model is also referred to as the cost-per-click (CPC) approach. PPC is predominantly provided by search engines, such as Google, and social media platforms, including Facebook. The leading platforms for PPC advertising include Google Ads, Facebook Ads, and Twitter Ads.
How does the Advertising in PPC work?
The appearance of PPC advertising varies across different platforms; however, the overall process typically includes the following steps:
- Select the type of campaign that aligns with your goals.
- Adjust your settings and targeting parameters (such as audiences, devices, locations, and scheduling).
- Establish your budget and bidding approach.
- Enter your destination URL (landing page).
- Create your advertisement.
When your advertisement is activated, the placement, timing, and cost per click are all governed by algorithms that consider your budget, bid, campaign parameters and the overall quality & relevance of your ad. All platforms that provide Pay Per Click advertising aim to maintain user satisfaction which leads them to favor advertisers who develop relevant and trustworthy campaigns by offering them better ad placements & reduced costs.
To optimize your products from PPC advertising, it is essential to understand the best practices involved.
An overview of the functioning of PPC in Google Ad’s
Advertisers select a group of keywords when designing an advertisement and place bids on each of those keywords. For instance, by bidding on the keyword “Pet adoption”, you indicate on google that you want your advertisement to be displayed for searches that are relevant to or associated with “Pet Adoption”
Google employs a combination of algorithms and an auction-based system to determine which advertisements are displayed for a given search query. When your ad participates in the auction, it receives a Quality Score ranging from one to ten, which reflects its relevance to the selected keyword, anticipated click-through rate, and the quality of the landing page. Subsequently, this Quality Score is multiplied by your maximum bid—the highest amount you are prepared to pay for a click on that advertisement—to calculate your Ad Rank. The advertisements that achieve the highest Ad Rank are the ones that will be displayed.
5 Strategies that a PPC consultancy agency can enhance your business
Collaborating with a PPC specialist can significantly enhance your business outcomes. The most effective PPC consultants are dependable, adept at managing your advertising campaigns, quick to adapt to the latest PPC trends, and capable of achieving the results you seek.
With a robust marketing strategy established, you will be more equipped to consistently generate leads and expand your business.
Let’s explore the ways in which a proficient PPC consultant can contribute to your business growth:
- They perform comprehensive market analysis and create a reliable strategy.
- They employ precise targeting strategies to achieve higher conversion rates while maintaining a low budget.
- They consistently enhance the campaigns to achieve improved performance
- They Conserve your valuable time
- New opportunities are identified
Evaluating the effectiveness of a PPC consulting service
The primary goal of investing in a PPC is to enhance your business revenue. Therefore, it is essential to consistently evaluate the success rate of your pay-per-click campaigns.
Key Performance Indicators (KPIs) are instrumental in assessing the effectiveness of your marketing efforts. Your PPC service provider will establish KPIs tailored to your specific campaign objectives. If the KPIs do not yield the anticipated results, the PPC consultant will make necessary adjustments to the strategy to ensure alignment with your business goals.
Below are the key PPC KPI metrics that you should prioritize:
- Evaluation metric of Advertisement content quality
- Typical Click through rate (CTR)
- The share of impressions
- The cost per click (CPC)
- Average Cost Per Acquisition (CPA).
- Advertising return on investment (ROI)
- The rate of conversion
