News & Insights from Resultful, a Channel Marketing Agency

PPC 101 (Pay-per-click advertising)

Written by admin | Mar 5, 2023 8:33:07 PM

PPC has been around for years now and is a major driver in awareness and engagement of both B2C and B2B brands. However, there are still hundreds of searches each month, with people wanting to gain a better understanding.

So, to help, we've listed all of the most common PPC-related questions!

How does PPC work?

PPC does what it says on the tin. PPC stands for pay-per-click, which means adverts are shown to a target audience (either proactively through targeting, i.e., custom segments or people who have previously searched for X, or reactively based on somebody searching for a specific keyword or phrase.

When an ad is clicked, the advertiser is charged. This can range from pennies through to pounds, depending on how competitive the keyword or phrase is.

How much do Google ads cost?

By their nature, PPC ad costs can range. B2C costs are typically much more expensive than B2B clicks due to the opportunity size. For example, a B2C product (i.e., shoes) might cost the consumer £70. A piece of B2B software might cost a business £10,000 per year. Thus, B2B brands are willing to pay higher costs.

It's also important to bear in mind the quality of ads. A good quality ad with engaging copy and/or creative will drive more clicks, meaning the average cost per click will be lower.

In addition, you need to think about the volume of searches and how competitive the terms are, as well as the ad type. For example, a display ad could carry a cost per click as low as 1p. Whereas a search/text ad could cost as much as £12.

How to make money with Google Adsense

How many times have you been on a website and noticed an ad for something you've searched for recently? In the PPC game, we call these display ads. They exist on a website because website owners offer ad space to search engines and social platforms. This allows website owners to generate revenue based on website traffic and the total no. of people who click a specific ad. 

The greater your website traffic, the greater the opportunity to monetise and generate money with Google Adsense.

What are the main types of PPC platforms?

There are two main search engines where PPC ads are located - these are Google (Google Ads) and Bing (Microsoft Ads). Google, as a search engine, received approximately 75%+ of all search engine searches, with Bing acquiring around 20-22% and the remaining across other search engines such as DuckDuckGo or Yahoo.