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Pay
Per Click is a very important part of SEM, but can prove
to be very expensive if you don't know what you are doing. The LoudMouse
team will be happy to provide you with a free consultation click
here
| This
article highlights the importance of Pay Per Click
Advertising .
Pay-Per-Click
is a simple type of paid advertising that most
search engines now offer. It
requires a
bid for a "per-click" basis, which translates to your company paying
the bid amount every time the search engine directs a visitor to your
site.
T
As
with all marketing campaigns, there are advantages and
disadvantages. If you understand the process and monitor your
pay-per-click
campaign frequently, it can be very effective. One of the
greatest
advantages
is that you never have to tweak your web pages to change your position
in search
engine results, as you must do in a typical SEO campaign. What you do
have to
do in a pay-per-click campaign is pay a fee.
Another
advantage is the simplicity of the pay-per-click
process. You just bid and you're up and running. It doesn't demand any
specific
technical knowledge, though the more you know about search engines and
keywords, the easier - and more effective - the process will be.
The
downside is that pay-per-click
is essentially a bidding
war. A higher bid than yours will lower your position on
search engine
results.
This means that you will have to raise your bid to regain your position
- which
can obviously become quite expensive, especially if you are bidding on
a
popular keyword.
In order to determine if pay-per-click is a cost effective
form of marketing for your business, you must do some computing to figure out
how much each visitor to your site is worth. You can compute this value by
dividing the profit you make on your website over a given period of time by the
total number of visitors for that same time period. For example, if your site
made $5,000 in profits and there were 2, 5000 hits, each visitor would be
theoretically worth 50 cents. The basic formula is profits divided by visitors.
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The
figure of 50 cents per visitor is the point at which
your business breaks even. The idea, of course, is to show a profit,
not to
merely cover your costs. Therefore, you are aiming at a figure less
than 50
cents per click.
Be
aware that the most popular keywords often cost
considerably more than 50 cents a click. The only way around this is to
bid
less for these phrases or you will be paying too much for each
individual hit.
The
key (pun intended) to success is to learn everything you
can about search engine keyword research. The good news is there isn't
a limit
to the amount of keywords you can add to your bid because additional
keywords
do not add additional cost. This translates into a lot less hassle for
you
because there is no need to optimize your site to index a particular
set of keywords.
Obviously,
some keywords are much more effective than others
are, but they will not cost you anything except time to set-up your
account in
your pay-per-click bid.
Of the popular search engines that offer
pay-per-click,
one called Overture provides an online tool that will give you the data
on how
often particular keywords are entered into their search engine. They
also offer
suggestions for keywords after you enter a description of your site.
In
pay-per-click, this written description is crucial. You
must understand that the object of your description is not to generally
attract
visitors, but to be as specific as possible so that only those visitors
who are likely to buy
your service or product go to your site. You must use expert marketing
copy to
guarantee that your description is both precise and enticing to attract
the
most ideal candidates to your site. This description is your most
powerful tool
to insure that your bid is profitable.
Another
essential element of pay-per-click advertising is
that you constantly monitor your bid. It is very important that you
bear in
mind that the results of the top search engines providing pay-per-click
advertising, which are Overture and Adwords Select, usually appear on
other
popular search engines. Because of this, the competition for top
ranking is
intense, and very often you will find that the bidding price balloons
too high
for pay-per-click to yield a profit.
If
this happens, it is advisable to withdraw your bid on
that particular keyword and try another one. Remember: when you pay too
much
per click to make a profit, you are in essence losing the bidding war.
Since
losing is not acceptable, you must have a plan in
place to closely track the effectiveness of your keyword. It is
advisable to
monitor your keywords on at least a monthly basis.
Monitoring
of your pay per click campaigns is crucial to your success,
you need to
know what phrases are converting to determine what ROI each phrase is
generating. Constantly monitor and split test your campaigns with
different Ad copy and landing pages, then try different bids and measue
the effectiveness. This data is excellent market/customer research and
used wisely will help ensure the success of you your pay per click
advertising campaign.
The LoudMouse Team
will be happy to provide you with a free Pay Per Click consultation
click
here
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