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What is PPC?

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In the world of online marketing, there are plenty of tools at your disposal you can use to generate both results and revenue for your webpages. Pay-per-click advertising is one such tool and in the right hands, it can bring about stunning results. In order to understand the intent of PPC advertising and its impact on your online marketing efforts, you must first ask yourself a simple question: “What is PPC?”

Pay-per-click ads are sponsored advertisements that appear alongside natural, non-paid search results, usually segregated underneath clearly-defined “sponsored links” or “sponsored ads” sections. Advertisers reserve or bid on the keywords and/or phrases their target audience is most likely to type in the search field as they search for specific goods and services.

If their search query matches the keyword or phrase, the PPC ad will appear either above or to the right of the natural search results. PPC ads also appear on non-search engine websites. These ads are usually found in areas where they can be easily seen by visitors but without distracting them from the website’s content.

Bid-based PPC is the most common model of pay-per-click advertising. It works similarly to a silent auction – advertisers bid on their keywords and phrases against other advertisers. These auctions play out each time a visitor triggers an ad spot as a part of the search engine results page. Bids are usually paid for on a cost-per-click basis – the advertiser is charged whenever a visitor clicks on the bidded link.

There are plenty of PPC management services out there, but Google AdWords and Bing Ads are considered the most reliable and visible. These organizations offer a variety of tools for fine-tuning, analyzing and bidding on preferred keywords and phrases. For example, AdWords allows advertisers to set a daily budget and automatically manages CPC bids.


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