What is PPC – Pay-Per-Click marketing?
PPC stands for pay-per-click. PPC is a form of
online marketing where advertisers pay each time a user clicks on one of their
ads.
The most common form of PPC advertising is
through search engines, such as Google Ads, where advertisers bid on keywords
and their ads appear at the top of search engine results pages (SERPs) when
those keywords are searched for.
PPC advertising can also be done through social
media platforms, such as Facebook and Instagram, and through display
advertising on websites.
What’s the difference
between PPC, SEM, and SEO?
Though these three terms are used
interchangeably, there is a difference between PPC, SEM (search
engine marketing), and SEO (search
engine optimization).
SEM is an umbrella term that encompasses PPC but
is not limited to only this form of advertising. It references activity that
intends to improve how easy it is to find a website through a search engine.
SEM is both paid and unpaid, PPC, or organic traffic (SEO).
PPC is online advertising that works with search
engines and other channels such as video ads (YouTube) and image ads
(Instagram/Facebook).
Search engine optimization (SEO), is a method of
optimizing a website’s content and structure to make it more visible to search
engines. This is done by researching and using relevant keywords, optimizing
metadata, creating quality content, and earning links from other websites. The
goal of SEO is to improve a website’s organic (non-paid) search engine rankings
and drive traffic to the website through organic search results.
How does PPC work?
PPC advertising works by allowing advertisers to
bid on specific keywords or phrases that they want their ads to appear for in
search engine results. When a user searches for one of those keywords or
phrases, the advertiser’s ad will appear among the top results. The advertiser
is then charged a fee each time a user clicks on their ad.
Advertisers create campaigns that target specific
demographics, interests, locations, etc. They will set a maximum bid for the
keywords they want to target.
The search engine will then use a complex
algorithm to determine which ads to show and in what order. The algorithm takes
into account factors such as the:
- Advertiser’s
bid amount
- Relevance of
the ad to the keyword
- Quality of
the ad
- PPC strategy
and campaign planning
- Top PPC
platforms
- How to learn
PPC
This form of advertising can also be done through
social media platforms, such as Facebook and Instagram.
Why is PPC important?
PPC should be considered an asset, not a
marketing expense.
In 2022, PPC brought in an average of $2 for
every $1 spent, with an average cost per click (CPC) of $1.16. And while social
media is still a popular place to advertise, 40% of ad spend in 2020 was spent
on search (73% of that going to Google).
PPC offers several benefits not found with SEO or
social media, including:
- Quick
results: PPC advertising can drive traffic to a
website almost immediately, whereas SEO can take time to show results.
Platforms usually approve ads the same day, providing maximum exposure
almost immediately. This could be a text ad via Google search, an image ad
through Instagram, or even a video featured on YouTube. Using multiple
platforms in different formats can increase your brand’s visibility.
- Reach your
targeted audience: PPC advertising allows
marketers to target specific demographics, interests, and locations, which
helps to reach the right audience. You can even target individuals based
on their behaviors and interests; social media sites like Facebook can
help you get your ad to the group that’s likely to convert into a sale.
- Measurable: PPC advertising provides measurable results. It allows
marketers to track conversions, return on investment (ROI), and other key
performance indicators (KPIs).
- Cost-effective: PPC advertising can be more cost-effective than traditional
advertising methods, such as television or print ads, since marketers only
pay when a user clicks on their ad, and they can set a budget for their
campaign.
- Branding: PPC advertising can help to increase brand awareness. Even
if users don’t click on the ad, they may still see it and remember the
brand.
- Complementing
SEO: PPC can be used to supplement SEO
efforts. While SEO focuses on increasing organic traffic, PPC can be used
to drive immediate traffic to a website while SEO efforts are still
ongoing.
- Track your
goals: Tools such as Google Analytics can help
you track your goals. See how your ads are performing in real-time, and
decide what needs to get done to reach your goals more efficiently.
- Reputation
management: PPC can be used to bid on keywords
matching a reputation event and directed to a landing page directly
addressing the matter so you can control the narrative, instantly and
professionally.
Overall, PPC advertising offers a cost-effective
and measurable way to reach a targeted audience, generate leads and sales, and
ultimately increase brand awareness.
What is important for PPC strategy and campaign planning?
When planning a PPC campaign, there are several
key steps you should take:
- Define your
target audience: Identify the demographics of the people
you want to reach with your ads, including their age, gender, location,
interests, and more.
- Set clear
goals: Determine what you want to achieve with
your PPC campaign, such as increasing website traffic, driving online
sales, or generating leads.
- Research
keywords: Use keyword research tools to identify
the terms and phrases your target audience is searching for, and include
them in your ad copy and website content.
- Create
compelling ad copy: Write
attention-grabbing headlines and descriptions for your ads that will
entice people to click through to your website.
- Choose the
right ad platforms: Decide which platforms
you want to advertise on, such as Google Ads, Microsoft Advertising, Meta
Ads (for Facebook and Instagram), and so on.
- Monitor and
optimize your campaign: Track the performance
of your ads and make adjustments as needed to optimize your campaign and
achieve your goals.
- Test
different ad formats and targeting options: Try different ad formats (like text, image, and video) and
experiment with different targeting options to see what works best for your
campaign.
- Set a budget: Decide how much you want to spend on your campaign and make
sure you stick to your budget.
What are the top PPC advertising platforms?
Several popular platforms offer PPC advertising
solutions. Google, Microsoft Bing, and Facebook are among the most
popular.
Different types of ad platforms can show various
results in the form of search, display, remarketing, and video (on YouTube or
Facebook/Instagram Reels).
For the sake of brevity, we’ll focus on the two
programs that stand out the most and cover all ad types: Google and Facebook.
Google Ads
Google reigns supreme among search engines. Its
global popularity is unmatched. That’s why the fees are higher for Google Ads’
paid advertisements.
Advertisers bid to have their ads displayed, their
services offered, a product listed, or a video featured on Google. There is an
option to display ads on mobile apps, videos, and non-search websites (search
partners).
Google Ads is the largest pay-per-click platform.
With Google processing 99,000+ search inquiries per second, there’s a great
chance that your ad will get seen by your intended audience, resulting in a
customer/profit. Google Ads is perfect for Fortune 500 companies and small
businesses alike.
Other helpful resources from Google Ads:
YouTube
YouTube ads are a form of online advertising that
allows businesses and individuals to promote their products or services on the
YouTube platform. These ads can take several different forms, including:
- Skippable
video ads: These ads can be skipped after a
certain amount of time, typically five seconds. They can be up to 60
seconds long.
- Non-skippable
video ads: These ads must be watched in full
before the main video can be viewed. They can be up to 15 seconds long.
- Bumper ads: These are short, non-skippable ads that are six seconds or
shorter in duration.
- Sponsored
cards: These are small cards that appear on
the video screen during the video and contain extra information about the
product or service being advertised.
- Overlay ads: These are semi-transparent ads that appear on the lower
portion of the video.
Advertisers can target specific audiences based
on factors such as demographics, interests, and behaviors. YouTube ads can be
purchased on a cost-per-view (CPV) or cost-per-click (CPC) basis and the
advertiser is charged each time the ad is viewed or clicked on.
Facebook Ads
Facebook ads allow businesses and organizations
to promote their products or services on the Facebook platform. The ads appear
in the news feed of Facebook users, the right-hand column of the desktop site, and the Stories section on mobile.
Types of Facebook ads include:
- Image and
video ads: These ads consist of a single image or
video, along with a short headline and a call-to-action button.
- Carousel ads: These ads allow businesses to showcase multiple images or
videos in a single ad. Users can scroll through the images or videos to
learn more about the products or services being advertised.
- Slideshow
ads: These ads allow businesses to create a
video-like experience using multiple still images.
- Instant
Experience ads: These ads allow businesses to create
immersive, full-screen experiences within the Facebook app.
- Collection
ads: These ads allow businesses to showcase
multiple products within a single ad, with a link to a full-screen view of
the products.
Advertisers can create campaigns that target
specific demographics, interests, and locations. Facebook’s algorithm uses this
information to show the ads to the users who are most likely to be interested
in the products or services being advertised.
Instagram Ads
Instagram Ads allow businesses and individuals to
promote their products or services on the Instagram platform. These ads are
displayed in the form of sponsored posts, which are seamlessly integrated into
users’ newsfeeds and look similar to regular posts.
Instagram offers several different types of ads,
including:
- Photo ads: These ads use a single image to promote a product or
service.
- Video ads: These ads use a short video to promote a product or service.
- Carousel ads: These ads allow businesses to feature multiple images or
videos in a single ad, allowing users to swipe through them.
- Stories ads: These are ads that appear in the Stories section of
Instagram and disappear after 24 hours.
- IGTV ads: These are ads that appear before an IGTV video starts
playing.
Advertisers can target specific audiences based
on factors such as demographics, interests, and behaviors. Instagram ads can be
purchased on a cost-per-thousand-impression (CPM) or cost-per-click (CPC)
basis and the advertiser is charged each time the ad is viewed or clicked on.
Microsoft
Microsoft Advertising, previously known as Bing
Ads, is an advertising platform that enables businesses and individuals to
create and run ads on the Microsoft Bing search engine and the Microsoft
Advertising Network, which is a collection of websites and apps that partner
with Microsoft to show ads.
Advertisers can use the platform to create
different types of ads such as search ads, product ads, shopping ads, display
ads, and video ads. These ads are targeted to specific audiences based on
demographics, interests, and behaviors and can be purchased on a pay-per-click
or pay-per-impression basis. This means that the advertiser pays each time an
ad is clicked on or viewed.
TikTok
TikTok ads allow businesses and individuals to promote
their products or services on the TikTok app. These ads are designed to be
engaging and creative, and they’re often set to music or include popular TikTok
trends and challenges.
TikTok offers several different types of ads,
including:
- In-feed ads: These are full-screen ads that appear in the main feed of
the app and can be either video or image-based.
- Brand
takeover ads: These are full-screen ads that appear
when a user opens the app, and they can be either video or image-based.
- Hashtag
challenge ads: These ads encourage users to
participate in a branded hashtag challenge and submit their own videos
using the branded hashtag.
- Branded
effects: These are special effects that are
created by brands and can be used by users in their own videos.
Advertisers can target specific audiences based
on factors such as demographics, interests, and behaviors. TikTok ads can be
purchased on a cost-per-thousand-impressions (CPM) or cost-per-click (CPC)
basis and the advertiser is charged each time the ad is viewed or clicked on.
Additionally, TikTok offers a self-service
platform for small and medium-sized businesses and a managed service for larger
businesses to run their campaigns.
LinkedIn
LinkedIn ads let businesses and individuals
promote their products or services on the LinkedIn platform. These ads are
designed to reach a professional audience, and they’re often used to generate
leads, build brand awareness, and promote job openings.
LinkedIn, which is owned by Microsoft, offers
several different types of ads, including:
- Sponsored
content: These ads appear in users’ newsfeeds
and look similar to regular posts. They can be in the form of text,
images, or videos.
- Sponsored
InMail: These ads are sent directly to users’
inboxes.
- Sponsored
jobs: These ads promote job openings and
appear at the top of the jobs section of the platform.
- Display ads: These are banner ads that appear on the right side of the
platform and can be targeted to specific audiences.
- Dynamic ads: These are ads that automatically generate personalized
content for each user based on their browsing history.
Advertisers can target specific audiences based
on factors such as demographics, job title, company size, industry, skills, and
behaviors. LinkedIn ads can be purchased on a cost-per-click (CPC) or cost-per-thousand-impressions
(CPM) basis, and the advertiser is charged each time the ad is clicked or
viewed.
LinkedIn also offers a self-service platform for
small and medium-sized businesses and a managed service for larger businesses
to run their campaigns.
Twitter
Twitter ads allow businesses and individuals to
promote their products or services on the Twitter platform. These ads are
designed to reach a wide audience and are often used to generate leads, build
brand awareness, and increase website traffic.
Twitter offers several different types of ads,
including:
- Promoted
tweets: These are tweets that are labeled as
“promoted” and appear at the top of users’ timelines or search results
pages. They can be in the form of text, images, or videos.
- Promoted
accounts: These are ads that promote a Twitter
account and appear in the “who to follow” section of the platform.
- Promoted
trends: These ads promote a specific hashtag
and appear at the top of the trending topics list.
- Website
cards: These ads promote a website or landing
page and include an image, title, and description.
- App install
cards: These ads promote mobile apps and
include an image, title, and description.
Advertisers can target specific audiences based
on factors such as demographics, interests, and behaviors. Twitter ads can be
purchased on a cost-per-engagement (CPE) or cost-per-click (CPC) basis and the
advertiser is charged each time the ad is engaged with (like, retweet, reply,
etc) or clicked on.
Twitter also offers a self-service platform for
small and medium-sized businesses and a managed service for larger businesses
to run their campaigns.
What are the types of PPC ads?
Search
Search pay-per-click ads are the most popular
type of PPC ads. A search ad appears at the top of search engine results pages
(SERPs) when a user enters a specific query (keyword or phrase) into a search
engine (Google and Microsoft Bing being the most popular). These ads are
typically text-based and are designed to be highly relevant to the user’s
search.
Advertisers typically pay each time a user clicks
on one of their ads (the cost of each click is known as CPC or cost per click.
Search ads are the most popular way for businesses to promote their products or
services and drive traffic to their websites.
Display
A display ad is a type of ad that appears on
websites, apps, and other digital platforms, typically in the form of a banner
or other graphical format. Display ads are designed to be visually appealing
and can include a variety of media such as images, videos, and interactive
elements.
Display ads are often used to raise brand
awareness, promote products or services, or drive traffic to a website. Display
ads are typically purchased on a cost-per-impression (CPI) or
cost-per-thousand-impression (CPM) basis, meaning that the advertiser pays
each time the ad is displayed a certain number of times.
Video
A video ad uses video content to promote your
product, service, or brand. These ads can appear on various platforms,
including social media (reels or posts), streaming services such as YouTube,
and websites. Video ads on YouTube can be pre-roll, mid-roll, or post-roll ads,
meaning they can appear before, during, or after a video. Video ads can be
skippable or non-skippable.
Video ads are usually interactive and have
clickable elements such as calls-to-action, links or forms. They are usually
purchased on a cost-per-view (CPV) or cost-per-click (CPC) basis, where the
advertiser pays each time the ad is viewed or clicked on.
Remarketing
(or retargeting)
Remarketing is a form of advertising that allows
businesses to show ads to users who have previously interacted with their
website or mobile app. Remarketing ads are typically shown to users as they
browse other websites, or as they use mobile apps, and are designed to remind
the user of the business and encourage them to return to the website or app.
Remarketing ads can be delivered in various
formats, such as display ads, search ads, video ads, and social media ads. They
are usually purchased on a cost-per-click (CPC) or
cost-per-thousand-impressions (CPM) basis.
Remarketing campaigns are highly targeted and
effective at driving conversions and sales. They work by tracking users’
behavior on a website or mobile app and then using that data to show them targeted
ads as they browse other websites or use other apps. This is done by placing a
cookie or pixel on the user’s browser or device, which is then used to identify
them and serve them relevant ads.
Other ad
types
Additional ad types are covered under one of the
above categories but have different characteristics such as the type of
business allowed to use it and setup requirements. These include:
- Remarketing
Lists for Search Ads (RLSAs)
- Performance
Max
- Local Search
Ads (LSAs)
How can I learn PPC?
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