Pay-per-click advertising is one of the most powerful marketing tools. It allows businesses to generate traffic and boost sales. PPC/Pay Per Click in Wirral is all about understanding your target audience. The main reason why just about every business uses PPC is that it takes just a few minutes to set up an entire campaign and watch how visitors go through your website. PPC plays a huge role in digital marketing.

How Does PPC Work?

The understanding of how PPC works is crucial to ensuring your online campaigns are effective. It has a considerable impact on your ROI. Most businesses create a PPC campaign without understanding what it is and how it can be utilised. Thus, they end up complaining that their PPC campaign did not work. However, when you have a better understanding of PPC, you will be able to ensure that your campaign is successful and that it is profitable.

Advertisers

There are three main parties in PPC and advertisers and publishers are the middle man. It is the advertisers that use PPC for promoting their services and products. Advertisers pay the PPC network (Facebook Ads, Bing Ads and Google Ads) to showcase their ads on their platform. When a visitor clicks on the advert, the company is charged. Hence, the term pay-per-click was coined. The keyword you target and its competition influence how much you have to pay for each click. It could be anywhere from a few pence to tens of pounds. When many advertisers compete for the same keyword, its price tends to be high. Since there is only a limited number of slots for adverts on Google, companies need to fight for that main spot. Thus, it results in bidding between different companies.

Publishers

Publishers team up with the PPC network to generate revenue through the display of adverts. They need to own a website to be able to display an advert. When people click on the ads, they get a percentage of the revenue made by the PPC network. The amount of money publishers receive depends on the average bid price from the keyword and what keyword was clicked. PPC networks introduced publishers into the fold to increase their potential audience and network displays. They get to reach a wider audience by teaming up with developers and webmasters.

Bidding

Bidding influences how the PPC network, publishers, and advertisers interact with one another. For each organic search, there are 4 advert slots for every keyword. The average bid for a keyword determines the position of the advert. Moreover, it is not necessary to bid for the top spot. You can even have a successful campaign by ranking fourth.

Quality Score

Finally, the result of your campaign establishes your quality score. Google truly values your adverts’ quality and relevance rating. It influences your ad position and cost per click.

Conclusion

Now that you have a better understanding of how PPC works, you are better able to take advantage of it to take your business to the next level.