Pay Per Click
Uploaded by
Trifan_DumitruPay Per Click
Uploaded by
Trifan_DumitruPay per click
1
What Pay per click means?
PPC is one of numerous internet marketing tools
The advertiser pays for their ad only when it is being clicked
Therefore, displaying the ad itself is free of charge
Ad is displayed when:
◦ Keyword query matches an advertiser's keyword list
◦ Site content is relevant to the advertisement
Hence, PPC is targeted and used only in relevant cases
2
Where can be PPC found?
PPC scheme is used mainly for text adverts
But could be also applied on graphic banners
3 common locations of PPC context advertisment
1. In web search engines
2. In catalogs
3. In content websites
3
PPC in search engines
Mostly indicated as a sponsored link or sponsored ads
Internet user starts searching a keyword and besides organic
results on search engine results pages PPC results are displayed
as well
PPC providers:
◦ Google AdWords
◦ Yahoo! Search Marketing
◦ Seznam Sklik
4
Example of PPC in search engines
5
PPC in catalogs
The ad is show according to the keywords that were
attached to the category required
The advantage is that the ad is displayed at the top of the
results in given category
◦ Most users consider top results as most relevant when searching
in catalogs
eTarget is one of the important providers operating in
Central and Eastern Europe
6
Example of PPC in catalogs
PPC in content websites
The ad is displayed only when the keywords match the
site content
Most frequent words in the text define the content of
website
◦ Based on this, the ad is chosen and shown
Thus, the advert is targeted to visitors who might be
interested in clicking the ad
8
PPC in content websites
Compared to graphic banners and other common types
of internet advertisement, context ads generate higher
returns
Providers of context ads:
◦ Google AdWords
◦ eTarget
◦ AdContext
◦ bbKontext
◦ bbText
9
Examples of PPC in content websites
Models of PPC
Flat-Rate PPC Bid-Based
11
Flat-Rate PPC
The advertiser and publisher agree upon a fixed amount
that will be paid for each click
Often, the agreed price differs among various websites
Reasons of differentiation:
◦ Website content
◦ Reputation of website
◦ Visitors numbers
12
Bid-Based PPC
Bid-Based PPC is like an auction where the advertiser
competes against other advertisers in a private auction
hosted by a publisher or an advertising network
Each advertiser informs the host of the maximum
amount that he or she is willing to pay for a given ad
spot
13
Bid-Based PPC
Maximum price wins the spot, the other ads are aligned
according to their price
But still, the price is not paid yet, only clicking on the ad
by internet user triggers the transaction
14
PPC measuring
ROI (return on investment)
Click trough rate (CTR) measures the number of visitors (clicks on
the ad) to the number of displays
Conversion ratio compares the number of visitors who fulfilled the
mission of the campaign to the number of people who were
successfully attracted to visit the site but left afterwards
Bounce rate measures the number of visitors who left the webpage
advertised immediately after clicking on the ad
15
PPC costs
The minimum price for one click is 0,2 CZK
The maximum price $100
Returns of PPC campaign depend on various factors:
◦ Choice of places for the ads
◦ Maximum and minimum price of the ads
◦ Setting the daily cost limits for the campaign
16
SWOT analysis
Strength: Well-directed tool to hit the target group
Weakness: Dependency on correct data, guessing ‘who is
the visitor’
Opportunity: Social networks increasing knowledge about
users and their behaviour
Weakness: Highly competitive and changing environment
17
Review questions
How big is the attention span of Internet users and is it
decreasing?
Threat of interactive and even more engaging forms of
advertisement (viral videos)
Privacy breach?
18
Resources:
en.wikipedia.org
www.lupa.cz
www.sklik.cz
www.ataxo.cz
www.etarget.eu
www.ppc-marketing.cz
19
Thanks for your time
