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What Is PPC Advertising

What is PPC advertising?

Pay-per-click (also known as PPC) advertising is all too familiar if you’ve ever noticed ads next to search results on Google or another search engine.

Photo by Justin Morgan on Unsplash

Pay-Per-Click (PPC) Advertising: What Is It?

A fee is received by the platform owner when an ad is clicked. This fee is collected from advertisers who use the pay-per-click (PPC) advertising model.

The goal of the advertisement is to send the person who clicks on it to the advertiser’s website or mobile application, where the user can conduct a beneficial activity, such as making a purchase. Because search engines allow advertisers to display relevant advertisements depending on what users are searching for, they have grown in popularity as hosting platforms for websites.

Using real-time bidding (RTB) systems, such as those used by Google Ads and Microsoft Ads, marketers can offer advertising inventory in a private auction based on the most recent data available in real-time.

What Is the Process of Pay-Per-Click Advertising?

Whenever an advertisement appears on a search engine results page (SERP), a bidding war for that specific term begins immediately following the ad.

The top place is granted based on various factors, including the amount of money bid and the quality of the advertisement.

These auctions help to keep PPC’s wheels turning. When someone types a search query into a search engine, the procedure begins.

When there are enough advertisers who want to show ads based on a user’s search query, an auction is triggered. This happens as long as there are enough advertisers who want to display ads based on the search query of a given user. The adverts awarded the winning bids appear on the search engine results pages.

To participate in these auctions, advertisers must first set up their ads on Google Ads, indicating where and when they want them to display.

If you have many locations, product types, or other valuable categories, you can break your accounts into campaigns to save time. Each campaign has its own set of ad groups, each set of keywords and related advertising.

Pay-Per-Click Advertising Keywords

The Ad Auction, as its name suggests, is a bidding system. Advertisers must therefore place bids on the terms for which they want their ads to be “triggered” or displayed. Keywords are a term used to describe these terms.

When it comes to camping gear, for example, you might run a business. It’s possible that someone searching for “camping equipment” in a search engine would look for retailers selling tents, sleeping bags, and portable stoves.

The Ad Auction is based on complex algorithmic calculations performed by the search engine when a user submits a search query. That determines which ads are shown, in what order, and by whom.

Because you’ll be charged for each ad click, it’s critical that you only bid on keywords that are directly related to your company’s goals. You can use a keyword tool to help you find the right keywords to bid on that are both likely to generate sales or conversions and aren’t prohibitively pricey.

AdWords Pay-Per-Click Optimization

If you’re looking to drive more customers to your website and expand your business, pay-per-click advertising may be an excellent option. However, it takes time and effort to get it right the first time. PPC costs can be affected by a variety of factors, including:

  • Keywords relevant to your target audience — If your target audience is looking for products or services that solve their problems, are these the search terms they’re using?
  • Your ads and landing pages’ quality — A good customer experience is rewarded with the top ad positions and the lowest ad prices by Google. Your ad’s click-through rate, or CTR, is a good indicator of whether or not your ad creative resonates with your audience.

A well-structured account — Your PPC account is like a home, and you need to treat it as such. A solid foundation is a necessity for everything. In this guide, you’ll learn more about account structure.


Advertisers must prepare ads for their campaigns in addition to keywords. Groups of advertisements that use similar keywords based on common themes group these together.

If the auction is won, users will see ads, so they must be perfect. It’s common for them to include headlines, description lines, and links.

They can appear at the top or the bottom of a search engine results page (SERP). Make sure you’re testing multiple ad copy variations before finalizing one that works best for your target audience.

Ad extensions offered by companies like Google Ads and Microsoft Ads improve the visual appeal of ads. Ad extensions are great because they increase the visibility of ads by making them more engaging to users while also providing more information to the audience.


All of this effort isn’t just for the sake of getting people to click on your link. The ultimate goal is to increase the number of conversions.

These are what advertisers want people to do after they have clicked on their ad, and they vary according to the type of business being advertised.

Examples of common conversions include:

  • Buying a product or service.
  • The act of subscribing to a newsletter.
  • Using the phone.
  • And there’s a lot more.

Tracking conversions is critical to know how effective a PPC campaign is and how many conversions can be traced to paid search.

Tracking conversions can be done by inserting a snippet of code into the source code of a conversion page using platforms like Google Ads.

When it comes to tracking conversions, it’s not always as simple as clicking on an ad and making an immediate purchase. Searches and visits to the website can lead to an email, phone call, or even a visit to the store. The credit for conversions can be assigned to various paths using an analytics service like Google Analytics.

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If Needed: Seek Professional Assistance with Your Pay Per Click Advertising Campaign

Pay-per-click advertising can be summed up like this. Managing a successfully paid search account is anything but simple, especially if you’re a small business owner or you’re working with a limited budget.

We’re here to help advise you on your ppc marketing needs in any way that we possibly can. If we’re not able to help you directly, we’ll know exactly who to send you to.

This was originally published on the Nurturely blog

Nurturely is a marketing automation platform designed for local businesses who need:

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