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How does Pay Per Click Work?

Pay per click (PPC) is a method used by many search engine marketers to drive traffic to a site. They use PPC to either get more exposure to a top ranking site, or to get that all important exposure for sites that aren't yet ranking at the top for the key word phrases.

With PPC, you sign up with one of the PPC engines, such as Overture or Google Adwords. These are the two best known in the industry. Once you sign up, you write your ad, which consists of a title, brief description, and URL. You should also check the advertising guidelines before writing your ads. They have some rules you need to follow, such as you cannot use all CAPS and you cannot use !!! or *** in your ads.

Once you decide on your ad, you will then need to pick your bid price. This is the price you pay every time someone clicks on your PPC ad in the search engines.

For instance, say you decide the term "direct sales opportunity" is one of the terms you want to target. The higher you bid, the higher the spot in those sponsored results spaces you will be. Then when somoene searches for "direct sales opportunity", if you bid high enough, your ad will appear first in the sponsored results. And then everytime a customer clicks through that ad to get to your site, that is the price you will pay each time.

While you are starting out, it is a good idea to set a low daily budget, and to start with low bids. You could set your bids so you appear first for every keyword phrase, and discover at the end of the day you have spend hundreds of dollars - although you hopefully had a high enough conversion to pay for the ad campaign.

 

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