What is Pay-Per-Click Advertising?

AdWords for SearchPay-Per-Click (PPC) advertising is a method of bringing visitors to your website by using an advertisement that you only pay for when someone clicks through to visit your site. Made popular by Google.com’s AdWords system which allows advertisers to place context sensitive advertisements on the search results of the Google search engine and on other websites that choose to display Google AdWords content in return for income. Another example is the Yahoo! owned Overture (Yahoo Search Marketing) that also offer sponsored search results on a PPC basis. These two services are the largest PPC systems available however many individual sites also offer similar sponsorship opportunities.

One of the main appeals of PPC is the level of targeting available to advertisers. By placing advertisements that only appear when specific search terms are used or on websites that have a specific type of readership, advertisers can market to a reasonably well matched audience to their business and bring through quality traffic – visitors that are more likely to be interested in what they offer. Add to this the benefit of only paying for clicks and detailed real-time statistics on advertisement performance, and you have an unparalleled advertising medium.

PPC has consequently become a very popular option to market for both purely online enterprises and traditional bricks-and-mortar (real world) operations wishing to benefit from a better advertising solution. This has resulted in a decline in the use of older established advertising media such as television and print (magazines/newspapers) that don’t offer the highly trackable and targetable benefits of PPC.

PPC evolved as a better option to CPM (cost per thousand impressions) advertising that was the original metric used to sell advertising on websites. CPM charges advertisers for displaying their advert regardless of whether it is clicked or not. While beneficial for branding purposes the often low click-through rates suffered by CPM campaigns in the early days (often due to poor targeting and visitors mentally “screening out” banners) made the enhancements provided by PPC a much more effective option in most cases. With Google commanding the lion share of the search industry the AdWords system quickly became the most popular method to advertise online and now represents 95% of the income earned by the search giant.

AdWords For ContentAdWords for content

From the user point of view PPC advertising is not easy to comes to grips with initially but will reward those marketers that spend the time learning to use the system and optimize their campaigns. Google’s system has been widely touted as ingenious, offering highly customisable campaigns manipulated via a reasonably simple interface. Results can be attained within hours of placing an advertisement and offer businesses of any size an affordable and effective means to promote online.

If you are interested in PPC advertising start by familiarising yourself with the Google AdWords step-by-step guide.

Make sure you don’t spend any money until you know what you are doing. Get some education, try Perry Marshall’s free AdWords e-course.

About Yaro Starak

Yaro Starak is the author of the Blog Profits Blueprint, a report you can download instantly to learn how to make $10,000 a month, from only blogging 2 hours per day. You can find Yaro on Facebook, Twitter and .

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  • “Google’s system has been widely taunted as ingenious”

    Spot the error. Feel free to delete this comment when you correct the error as well.



  • That’s it Simon – from now you must read all my articles before they go live!

  • Very nice, simple explanation of PPC advertising, thanks Yaro!

  • Thanks for this Yaro. Google Adwords is one of the best things that ever happened to online marketing. In the right hands it is fantastic. And Perry’s course is some of the best info around on it.

    Google Adwords is also light years ahead of Yahoo Search because of the superb interface and the level of control. In our marketing tests we’ve found that the ROI from Adwords **ALWAYS** beats Yahoo Search.


  • I’m curious how Yahoo Ads are going (the equivalent of google adsense but for the yahoo network).

  • Re: Yahoo Ads. I don’t know how much Yahoo is making out of them, but in the tests I’ve done their performance has always been abysmal.

  • […] The key is to find topics that people search for and advertisers use Pay-Per-Click marketing and other online advertising methods to sell to these people. Your niche content site helps to bring these two groups together and you take your middle man fee, with the help of the search engines for traffic and advertising programs for a monetization system. […]

  • […] I’ve already started to see what appears to be paid search listings in things like my Hotmail account and other Microsoft Network sites. It will be interesting to see how well these listings perform against the other options in the Pay Per Click arena. […]

  • Another great post, Yaro. Lots of people still timid to enter the PPC search engine marketing arena and rightly so, if it’s Google that they want to master.

    Perry Marshall’s guide is really the ‘definitive’, to date.

    But I would add that newbies would be smart trying some 2nd tier PPC search engines to get their feet wet. Even non-newbies can boost their ROI by doing this. Truly, Google is NOT the only PPC search engine game in town that’s giving advertisers a GREAT outcome for their advertising dollar.

  • […] This is why Aaron’s SEOBook is so large – he’s covered topics that go beyond just SEO, including subjects like choosing a domain name, copywriting, pay-per-click advertising, usability, hosting and even a history of the Web. On the face of it, this is fantastic because in SEOBook you really do have an all-in-source to learn everything. If you have never done any Internet marketing before, reading this book will get you up to scratch really quickly. SEOBook in a way teaches almost everything I know about the web in 290 pages – that’s a scary thought – but great for you if you want to save time and get into Internet business. […]

  • […] campaigns, including these two articles on the Google Slap and Quality Score here and here, my introduction to AdWords and Pay Per click here and here, and the best resource if you want to become an AdWords expert is Perry Marshall’s […]

  • A good read that I could send to my clients who are unfamiliar with PPC.

  • ray

    I have used adbrite and have had very little success on pay per click.Ive pulled away from them and am gravitating toward google.

  • Most of AW’s stuff is right on the money, but I too haven’t had much success with PPC.

  • I have tried PPC advertising. It is extremely targeted and it works. It can also get very expensive if you don’t know what you are doing.

  • fine note

    Misbah Mumtaz

  • PPC campaign helps you to reach your customers online via paid search advertising. Godesigny is a trusted PPC advertising service provider in New York . We can manage your PPC advertising on google Adwords , Bing, and another reputable PPC provider with the best affordable prize only at godesigny.com

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