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Pay Per Click Marketing

SEO systems | Pay Per Click (PPC) | Thursday October 8 2009

ppc

Pay per click (PPC) is an Internet advertising model. This form of advertising is used on search engines, advertising networks, and content websites, such as blogs.  With PPC marketing advertisers only pay when a user actually clicks on an advertisement to visit the advertisers website. When marketing on the search engines, advertisers typically bid on keyword phrases relevant to their target market. When a user types a keyword query matching an advertiser’s keyword list, or views a webpage with relevant content, the advertisements may be displayed. These ads are called sponsored links or sponsored ads. Sponsored ads are the ad links you see on the top and right side of a page when searching in google, yahoo, etc., above the organic results, or anywhere a webmaster or blogger chooses on a content page.

Although there are several PPC providers, Google AdWords, Yahoo! Search Marketing, and Microsoft adCenter are the largest networks as of 2007. Minimum prices per click, often referred to as costs per click (CPC), vary depending on the search engine and the level of competition for a particular phrase or keyword list. Additional, well-liked search terms can cost much more on popular search engines. The PPC advertising model is open to abuse through click fraud, although Google and other search engines have implemented automated systems to guard against abusive clicks by competitors or corrupt webmasters.

Pay per click campaigns can be categorized into two major categories: sponsored match (or keyword) and content match. Sponsored match campaigns involve the display of advertisements on search engine results pages, whereas content match campaigns involve the display of advertisements on publisher websites, newsletters, and e-mails.

There are other types of pay per click programs that target product or service searches and product comparison sites. Search engine companies may participate in more than one category. PPC programs do not generate any revenue solely from Web traffic for websites that display the advertisements: Revenue is generated only when a user clicks on the advertisement itself.

Three PPC Online Advertising Engines

Keyword-based pay per click advertisers bid on search terms—keywords consisting of words or phrases, and possibly product model numbers. When a user searches for a particular keyword, the list of advertiser links appears, where the ordering of those links is based on the amount bid for the given keyword. Keywords are the very heart of PPC advertising, and are guarded as highly-valued trade secrets by the advertisers. Many advertising firms offer software or services to help advertisers develop keyword strategies. Content Match, a service offered by Yahoo!, distributes the keyword ad to the search engine’s partner sites and/or publishers that have distribution agreements with the search engine company.

The following are notable PPC keyword search engines:

Ask.com
Baidu
Google AdWords
LookSmart
Microsoft adCenter
Yahoo! Search Marketing

Product engines are search engines for products, and let advertisers provide “feeds” of their product databases. When a user searches for a product, links to advertisers are displayed for that particular product. More prominence is given to advertisers who pay more; however, the user can typically sort by price.

The following are notable PPC product engines:
NexTag
PriceGrabber
Shopping.com
Shopzilla

Service engines allow advertisers to provide feeds of their service databases. When a user searches for a service, links to advertisers are displayed for that particular service. More prominence is given to advertisers who pay more; however, the user can typically sort by price or other criteria. Some pay per click product engines have expanded into the service space, while other service engines operate in specific vertical markets.

The following are notable PPC service engines:
NexTag
SideStep
TripAdvisor

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