How does the Pay Per Click Advertising works

Per Click advertising (PPC) is a very cost-effectivemultitude of sites, including social media, but the three
way for businesses of any size to market theirlargest are Google AdWords, Yahoo! Search
products online. Regardless of the number of timesMarketing and Microsoft adCenter, all of which price
your ad appears on screen, you only pay whentheir service on a bid basis, vs. a flat-rate CPC model.
someone actually clicks on it. Imagine running an ad inIn a bid-based system, the advertiser sets or
the New York Times and paying nothing for it to“bids” the maximum amount he is willing to pay
appear, but instead paying only when an interestedper click, which is then compared to his
customer calls you. This levels the playing field andcompetitors’ bids. Generally, the business with
puts this type of online marketing within reach of nearlythe highest bid is listed at the top of the sponsored
any business of any size in any location. The rate youlinks. Conversely, in the flat-rate model the CPC is
pay is called Cost Per Click (CPC).determined in advance by the site’s publisher.
One of the strongest advantages of Pay Per ClickSocial media sites, including Facebook, LinkedIn and
advertising is that the ads appear only to users whomost of the blogging sites offer Pay Per Click
are interested, based on criteria that you establish upadvertising. Micro-blogging mega site Twitter recently
front. If you sell equipment for cross-country skiing youentered the market as well. Unlike PPC ads on search
could set up a PPC ad on one of the search enginesengines, social media ads are targeted to specific
to appear when someone uses the phrase “crossdemographics, as determined by the advertiser. You
country ski equipment.” In addition to your websitecould instruct Facebook to display your ad to anyone
being listed at the top of the indexed list because of itswho has listed skiing as an interest, or to everyone
expertly executed search engine optimization, yourwho “likes” your page or any page related in any
company will be listed on the side as a “sponsoredway to skiing. Your ad will appear on the right side of
link.” You pay only if the searcher clicks on your link.the Facebook page and you’ll pay only when
Pay Per Click advertising is available through asomeone clicks on it.