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Pay Per Click Advertising Explained - Part 1
By Anita van Wyk, Sat Dec 10th
Advertising your services or products on the Internet is bothextremely effective and extremely competitive. There are severalways to go about attracting traffic to your website;Pay-Per-Click is one of the options you can choose from, alongwith developing an SEO, or search engine optimization campaign.Both pay-per-click and are targeted to get your websiteplaced as close to the top of search engine results as possible.One of the differences is that it takes minutes to set up apay-per-click campaign versus months for a good campaign. Pay-Per-Click is a simple type of paid advertising that mostsearch engines, including some of the largest ones, now offer.It requires a bid for a "per-click" basis, which translates toyour company paying the bid amount every time the search enginedirects a visitor to your site. There is the added bonus thatwhen a per-click site sends your website traffic, your siteoften appears in the results of other prevalent search engines. As with all marketing campaigns, there are advantages anddisadvantages. If you understand the process and monitor yourpay-per-click campaign frequently, it can be very effective. Oneof the greatest advantages is that you never have to tweak yourweb pages to change your position in search engine results, asyou must do in a typical campaign. What you do have to do ina pay-per-click campaign is pay a fee.
Another advantage is the simplicity of the pay-per-clickprocess. You just bid and you're up and running. It doesn'tdemand any specific technical knowledge, though the more youknow about
search engines and keywords, the easier - and moreeffective - the process will be. The downside is that pay-per-click is essentially a bidding war.A higher bid than yours will lower your position on searchengine results. This means that you will have to raise your bidto regain your position - which can obviously become quiteexpensive, especially if you are bidding on a popular keyword. In order to determine if pay-per-click is a cost effective formof marketing for your business, you must do some computing tofigure out how much each visitor to your site is worth. You cancompute this value by dividing the profit you make on yourwebsite over a given period of time by the total number ofvisitors for that same time period. For example, if your sitemade $5,000 in profits and there were 2,5000 hits, each visitorwould be theoretically worth 50 cents. The basic formula isprofits divided by visitors. The figure of 50 cents per visitor is the point at which yourbusiness breaks even. The idea, of course, is to show a profit,not to merely cover your costs. Therefore, you are aiming at afigure less than 50 cents per click. To continue to PART 2 Click here. About the author:** http://www.small-biz-web-solution.com offers an affordable web-hosting,web-building and web-marketing solution for any small business/individual. Free Trial available. ** For a FREE 6 Day e-course on How to Improve your SearchEngine Ranking and Tips on how to get much more Traffic pleasesend a blank email to searchengineandtraffictips@getresponse.com
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