Whether you’ve heard a little about PPC marketing and are curious to learn more, or you already know that you want to use PPC to market your business, but aren’t sure where to start, you’ve come to the right place!
What is PPC?
PPC stands for pay-per-click, a model of internet marketing in which advertisers pay a fee each time one of their ads is clicked. Essentially, it’s a way of buying visits to your site, rather than attempting to “earn” those visits organically.
PPC advertising is playing a main role in building a relationship between two companies, websites or blogs. Advertiser depends upon Publisher for getting visitors and Publisher depend on Advertiser to earn revenue by ads placements. Some of the Big brands like Google, Yahoo and Facebook having a major source of earning is through PPC ads.
How PPC Advertising Relationship Works ?
PPC is a type of an online advertising technique. PPC is the easiest way to drive traffic from one website to another on the basis of clicks. PPC requires minimum two different parties or websites in which one website or Party act as Advertiser and other act as Publisher.
Advertiser wants more traffic and customers to their site or product to grow their business. So they adopt CPC based method to pay money to publisher site for every click on Ad. In that way, the advertiser has to pay for every successful unique click on their product link or banner.
Publisher is the person who has any website or blog with traffic and wants to generate revenue from visitors. So publisher sells ad space or uses any third party ad network for ad placement on their site. For every click on ad banner on publisher which generate earning based on CPC rate.
Before further detail about both types lets see how CPC or PPC rate works on the basis of simple formula
For Advertiser :-
Cost Per Click = Total Advertising Cost / Total Ad Clicks
Cost Per Click= Total Earning / Total Ad Clicks
Its is based on the total budget set by the advertiser and on that basis how many total clicks they need. The results are in the form of every click rate which is CPC.
Different Types of PPC (Pay per Click) Advertising
Mostly PPC ads are based on two methods Flat Rate PPC and Bid Rate PPC.
Flat Rate PPC
In short and simple words if the advertiser set up the fix rates of CPC. That type of ads is considered as Flat rate CPC. It mostly takes place in direct advertising or even many third party ad networks available. So the fixed rate CPC will be provided for total clicks on an ad banner. Normally it is beneficial in direct advertising relationship.
Bid Rate PPC
This technique is mostly used by big third-party networks. Because in third-party ads, there is no direct relation between advertiser and publisher. Agencies having many different advertisers and Publisher with websites on different niches. So Agencies rotate ads automatically and fill ad banner with highest paying ad which depends on visitor location, interest, niche and many other factors. So the Bidding is done for highest rates according to these factors. Rate may vary because relevant and irrelevant ads will displayed on web pages. Overall performance of bid based network is good but earning for publisher totally depend on website or blog niche.
How Advertiser Grow Their Business With PPC Ads ?
PPC based advertising is traditional and basic method to promote and get traffic online. PPC adverting depend on two different parties, an Advertiser or a Publisher both take its benefit equally. Advertiser setup the total budget and approx amount traffic with be generated according to the CPC rate . Which makes an advertiser clear that how much money is required for total amount visitor they need and will it be profitable for business. For PPC based advertising you need to concentrate on following factors Like
- How Much Budget You Have ?
- How Much we want to spend for total Visitors? Means setup a CPC rate for every click.
- Target users according to Interest, behavior, GEO location. Try to make better mechanism to adjust the best CPC for these different factors.
- Make Sure that Revenue generated should be more than your expenditure on the PPC campaign.
So if you want to advertise your brand, website, blog, services page, landing page or any other product. You can need to join as an Advertiser on Ad exchange networks or agencies. For better startup I recommend going for these 3, 4 for PPC companies.
Bing and Yahoo network
How Publisher Can Earn Money With PPC Ads ?
On another side of an advertiser, there is a Publisher. Website or blog which place ads and they earn from then is a publisher mean who publish and promote ad unit. Publisher having 100% benefit just they don’t need to spend anything and there is no risk of loss. Whenever a person starts a new website or blog. They want to earn revenue from it. So the basic and simplest way is just placing a few ads which are based on PPC.
Now Question arise is How will you earn just by placing an advertisement on website or blog? Who will give you money?
There are many third party agencies for PPC ads. A person has a need to join as a publisher on behalf of its website or blog. After joining, they will provide ad unit code which a publisher have to place on there blog or website. Then from these banners publisher earn money.
List Of Best PPC (Pay Per Click) Publisher Ad Networks
Here are some networks which offer good CPC rates. These networks are highly trusted and publisher can earn decent revenue. Google Adsense, Media.net
For More PPC Based network i recommend to read full article about Best PPC (Pay per click) Sites For Publishers. Where you will find more networks from which publisher can earn money.
I hope all doubt regarding PPC or CPC will almost be clear. It necessary to learn from everyone before making internet marketing as a profession. I try to explain each and every part of about Pay per click advertising and how to will be beneficial for both advertiser and publisher. In case you want any information or you feel something is missing in the topic. Feel free to share your thoughts in comments.