Pay Per Click
Pay per click or PPC advertising is possibly the easiest and
most effective way to market your business online. Getting your
website listed in the search engines is vital due to the fact
that the majority of website traffic (statistics say over 80%)
comes from the search engines. Effective PPC management begins
with devising a strategy to drive qualified traffic to your
website.
PPC (PPC) advertising is simply advertising your website through
the use of the search engines' "sponsored listings". When using
PPC you bid on keywords or keyword phrases that your targeted
prospects may use to find whatever your website offers. Yahoo!
Search Marketing (formerly known as Overture) for instance, only
considers the bid amount in ranking a site. The most popular PPC
Google Adwords uses bid value and your success (click through)
rate.
To develop a your PPC strategy and plan, you must conduct market
research. This should consist of identifying your target market
(preferably a niche market), identifying keywords that your
target market uses to search for what you are offering, and
analyzing the keywords and alternative keywords that will appeal
to your target market.
During your keyword analysis, you will want to find out how
popular keywords are and what the average bids are for certain
keywords you are considering for budgeting purposes since
defining a budget is a necessary part of PPC management.
Budgeting for PPC advertising involves not only determining how
much money you can spend on your campaign, but basing that on
the monetary value of a click to your website since you are
paying per click.
Your conversion rate, the number of unique visitors divided by
the number of sales, plays an important role in determining the
value of a click to your site for PPC advertising budgeting
purposes as does the average net profit per sale. By dividing
your net profit per sale by your conversion rate, you can
accurately determine the value per click to your website. The
price per click that you pay for your PPC advertising should
not, of course (!!!) exceed this value.
So if your selling a product that gives you a