1. What does PPC mean?

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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.

Every time our ad is clicked, sending a visitor to our website, we have to pay the search engine a small fee. When PPC is working correctly, the fee is trivial, because the visit is worth more than what you pay for it. In other words, if we pay $3 for a click, but the click results in a $300 sale, then we’ve made a hefty profit.

 

2. What is PPC ad spend?

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Ad spend, also known as advertising spend, is your ad network budget. It’s how much you’re willing to spend with ad networks, whether for the year or the month. In most cases, businesses use ad spend to refer to their monthly budget.

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3. Where can you advertise with PPC ads?

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You can advertise across the Internet with PPC ads. The most popular locations include:

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• Search results

• Third-party websites

• Social media

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4. What factors determine my PPC costs?

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With PPC, what you pay per click depends on several factors, including:

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• Bid: In PPC, your bid is how much you’re willing to pay for someone to click on your ad. While you may pay less than your bid (depending on the ad auction) you won’t pay more than your bid.

• Targeting: Targeting, from keywords to demographics, can also influence your PPC costs. Bidding on a competitive keyword like “consumers insurance agency,” for instance, can result in higher costs because it features a higher cost-per-click (CPC).

• Ad quality: Quality score also matters in pay-per-click advertising. Big brands can’t pay-to-win in PPC because ad networks, like Google Ads, look at the quality and relevance of ads. Often, high-quality ads can maintain lower costs than low-quality ads.