Pay-Per-Click (PPC) Paid Advertising by Bidding on Keywords
When controlling your budget, revenue and traffic is important and immediate
Pay-Per-Click (PPC) advertising is bidding on select key word phrases and brief text ads appear in the sponsored sections of the search results page. If someone clicks on that ad link, you pay the search engine the amount you bid for that keyword phrase. The more you bid, the higher your ranking.
Pay-Per-Click (PPC) requires a bit more analysis and strategy: all of the above plus... review of your key word strategy, competitive spending/bids, search counts, conversion rates (visitors who come to your site and turn into buyers), profit per conversion and return on investment calculations. All of this leads to a
PPC strategy and budget that will give you an action plan to control your spending and results.
PPC gets faster results but requires a dedicated monthly budget. This budget and strategy can then be modified on the fly to optimize your results.
The Basics - For instance, let's say you wanted to appear in the top listings for "toy airplanes". You might agree to pay 35 cents per click. If no one agrees to pay more than this, then you would be in the number one spot. If someone else later decides to pay 36 cents, then you slip into the number two position. You could then bid 37 cents, if you wanted to, and move back on top.
How It Works - We work with you to establish appropriate budgets, goals and metrics. We then develop a "longtail" list of keywords to help get your average cost per click down. We write ads that both engage viable customers and discourage unwanted clicks from unqualified viewers.
The Benefits of PPC - Results are immediate and measurable. You have complete control over your budget. The Search engines provide charting and data tools to review your results.
Click Fraud - Most search engines with PPC systems have anti-click fraud in place. In other words, you won't get charged if your competitor sits at a computer and clicks on your ads over and over again. By monitoring IP addresses, the search engines can tell they are coming from the same computer and at what frequency.
Upsides to PPC: - There are substantial Pro's for PPC. You get nearly guaranteed placement with the right budget. In other words, you will almost always be at the top or right of the page. You know approximately how many clicks you will get with your maximum budget. It is easy to calculate your ROI with some basic facts, so you know how much money you are making with your
PPC investment. You have more control over
PPC than SEO since your ads, bids and keywords can be adjusted on the fly versus "submit and wait".
Immediate Results - The rankings are instantaneous. Once activated, your ads are live that minute. You can be getting clicks and possible leads today.
Control of Budget-
Pay Per Click Ads get fast results and can be budget controlled.
Focus - you can select which pages/products you want to feature in pay per click ads, as opposed to SEO where you submit all pages and don't know which will be ranked highest.
The Downside to Pay-Per-Click - Be aware though, that there is a certain point where the purchase of that ranking may be the wrong move. What if you are paying 86 cents per click (purchasing the key phrase "toy airplanes") and you get 10,000 new visitors. Of that 10,000, 2% of those visitors 'convert', or buy your product. (Barnes and Nobles and Amazon usually get about 12-14% conversion.) So you have just made 200 new sales... of $5.00 toy airplanes and made $1,000 or $900 after your cost of goods sold (COGS). But, it cost you $8,600 in "click-throughs" to do that. You got 10,000 new visitors and increased your sales, but you are $7,700 in the hole!
Ongoing Expense - The expense goes on as long as you have your ads online. You set a monthly (actually daily) budget of what you want to spend on a given search engine and you may pay UP TO that amount each month. It may be less. Once you have hit your daily budget, your ads are removed until the next day. But to maintain that constant flow of clicks, you continue to pay monthly for your traffic.
Smart PPC - Take that same scenario and change it slightly. Instead, purchase the key phrase "plastic toy airplanes" for $0.25 and direct those clicks directly to your Premium Plastic Plane that you sell for $15.00. You get 10,000 visitors and maybe increase your conversions to 3% since you are going directly to the Premium Plastic Plane page. Now you have sold 300 Premium Planes for a total of $4,500 in sales (with a COGS of $3.00 each or $900). You made a gross profit, before advertising costs, of $3,600 and a net profit of $1,100 for the same amount of traffic.What changed between a loss of $7,700 and a profit of $1,100? The amount of visitors was the same. Your conversation rate of those visitors increased, the price of the product you featured increased and had a higher margin and cost of the keyword phrase decreased. Finding the right bidding/marketing mix is critical to having a successful
Pay-Per-Click strategy.
Paul Metheney celebrates 30 Years of Project Management!
This year marks the 30th anniversary of Paul Metheney project managing advertising, online marketing, digital marketing, and web site development projects. Paul started managing projects after he founded and managed the Electronic Media Division for Paradigm Communications back in the early 90's. Since then he has managed the budgets, timelines, production, and resources of hundreds of projects, as well as rolling up his sleeves and pitching in on the design, development, and deployment of those projects.
The answer is "No." For a variety of reasons. Do they have decades of experience? Does your project manager have a Masters Degree in Business Administration? Are they looking out for ways to make your business more profitable? These are just a few of the questions you should ask when deciding on an SEO agency or website design firm.
At Metheney Consulting, we pride ourselves on having the skills and desire to find a solution that gets results for your business and making your online efforts the most profitable. Read More>>>
Metheney Consulting & Our Marketing Group bring decades of experience to designing and developing websites for customers who want results and not just pictures on the web. These sites are designed for Usability, Ease of Navigation, utilize Color Theory to achieve a desired emotional goal in design, and generally designed to achieve your online business goals. Read More>>>
The Benefits of PPC - Results are immediate and measurable. You have complete control over your budget. The Search engines provide charting and data tools to review your results.
Click Fraud - Most search engines with PPC systems have anti-click fraud in place. In other words, you won't get charged if your competitor sits at a computer and clicks on your ads over and over again. By monitoring IP addresses, the search engines can tell they are coming from the same computer and at what frequency.
Upsides to PPC: - There are substantial Pro's for PPC. You get nearly guaranteed placement with the right budget. In other words, you will almost always be at the top or right of the page. You know approximately how many clicks you will get with your maximum budget. It is easy to calculate your ROI with some basic facts, so you know how much money you are making with your
PPC investment. You have more control over
PPC than SEO since your ads, bids and keywords can be adjusted on the fly versus "submit and wait".
The Downside to Pay-Per-Click - Be aware though, that there is a certain point where the purchase of that ranking may be the wrong move. What if you are paying 86 cents per click (purchasing the key phrase "toy airplanes") and you get 10,000 new visitors. Of that 10,000, 2% of those visitors 'convert', or buy your product. (Barnes and Nobles and Amazon usually get about 12-14% conversion.) So you have just made 200 new sales... of $5.00 toy airplanes and made $1,000 or $900 after your cost of goods sold (COGS). But, it cost you $8,600 in "click-throughs" to do that. You got 10,000 new visitors and increased your sales, but you are $7,700 in the hole!
Smart PPC - Take that same scenario and change it slightly. Instead, purchase the key phrase "plastic toy airplanes" for $0.25 and direct those clicks directly to your Premium Plastic Plane that you sell for $15.00. You get 10,000 visitors and maybe increase your conversions to 3% since you are going directly to the Premium Plastic Plane page. Now you have sold 300 Premium Planes for a total of $4,500 in sales (with a COGS of $3.00 each or $900). You made a gross profit, before advertising costs, of $3,600 and a net profit of $1,100 for the same amount of traffic.What changed between a loss of $7,700 and a profit of $1,100? The amount of visitors was the same. Your conversation rate of those visitors increased, the price of the product you featured increased and had a higher margin and cost of the keyword phrase decreased. Finding the right bidding/marketing mix is critical to having a successful
Pay-Per-Click strategy.
Contact Metheney Consulting on website design, developing your
online marketing,
social media marketing,
SEO (search engine optimization),
PPC (Pay-Per-Click advertising),
email campaigns,
pay-per-click advertising strategies,
website maintenance and development, and
traditional marketing consulting on a project-by-project basis or
Our Marketing Group about how we can assist you monthly as a part-time
marketing department, SEO specialist, PPC experts, and web designers without the full time cost.
Metheney Consulting's Our Marketing Group provides digital marketing services for a fraction of the cost via monthly retainers and sliding scale hourly contracts.
Call or email us at
