Pay Per Click Advertising (also known as PPC, Pay Per Ranking, Pay Per Placement, Pay Per Position or Cost Per Click) is a term used to describe online advertising programmes, where the advertiser (site owner) pays the publishing site/engine each time a prospect clicks on his advert. Google Adwords is the best and most popular PPC programme online.
PPC enables you to list your site at the top of search engine results by advertising on keywords that best describe your product or service.
There can be several reasons for using PPC as well as Search Engine Optimisation (SEO).
The position of your advert on a Google search results page, whether on the top of the page or in the right hand side column, depends upon how much you are willing to pay for a particular position. Using a system of bidding, the advertiser can choose to have his ad listed higher or lower, depending upon how many clicks he can get on each position and how much it costs.
You pay only when a searcher clicks on your listing and connects to your site. You don’t pay to show your advert, you only pay for clicks or click-throughs. Therefore, the more you pay “per click”, the better results you will have. The cost per click can vary from a few pence to a few pounds, depending on how much demand there is for your chosen keywords and key phrases. This way you only pay for the traffic to your site, there are no other hidden costs. But, don’t be scared by runaway costs in case you have a lot of clicks – you can set a daily budget, so as to limit your spend to suit your budget!