Nationwide Marketing
 

Cost Per Click (CPC)

Nationwide Marketing offers cost per click management and search marketing in an effort to increase leads and web traffic cost effectively. The advantage to search advertising is that you don't buy it the same way you do display advertising. Most print ads are priced by standard rate cards, based on an estimate of how many people might be exposed to the ad (cost per impression). But when you advertise on search sites, you only pay when your ad gets a response--a user clicks on it and visits your site. Search engines charge you based on how many people click on your ad. This is why this form of advertising is known as cost per click.

Cost per click, which usually goes by the acronym of CPC, has two different meanings. The CPC can vary for a search engine and for the advertiser, based on the popularity of the keywords, as well as the basic price that search engines charge. In most cases, the more popular the keyword, the more expensive the cost per click for the advertiser and the more money the search engine makes.

The cost per click for a search engine is different for every keyword or set of keywords, depending on the popularity of not only the keyword, but also of the search engine. While there are many search engines that offer pay per click services, the most popular are Google AdWords, Yahoo! Search Marketing, and MSN adCenter. The cost per click for these websites is generally higher than for smaller websites.

What is cost per click?

Cost per click, sometimes also known as pay per click (PPC), is an Internet advertising model used on search engines, advertising networks and content websites, such as blogs, where advertisers only pay when a user actually clicks on the advertiser's ad and visits their website.

With search engines, advertisers typically bid on keyword phrases relevant to their target market. When a user types a keyword query matching an advertiser's keyword list, or views a webpage with relevant content, the advertisements may be displayed. These advertisements are called sponsored links or sponsored ads, and appear adjacent to or above the natural (organic) results on search engine results pages (SERPs).

The PPC advertising model has been subject to abuse through click fraud, although Google and other search engines have implemented automated systems to guard against abusive clicks by competitors or corrupt webmasters.

Performance-based Variations of CPC

In response to changing and evolving marketing needs are different variations of the CPC model. These models are different than standard cost per click advertising in the respect that the site visitor has to do more than just click the ad. They actually have to perform a specific action, which is why these are considered performance-based advertising models. These performance-based variations include:

  • Cost per Lead: You only pay for each "lead" or potential customer you get from the ad. With custom filters, you can define what a true lead is. For example, a lead might be someone who signs up for a newsletter or who actually buys something.

  • Cost per Sale: As the name implies, you would pay for each sale you get that results from your ad.

  • Cost per Action: You define the action you are willing to pay for, which can include registering on your website or filling out a form.

  • Cost per Call: With this model, when a potential client clicks on your ad, instead of being sent to your web site, they're connected to your business phone. If you use this model, be sure to set the hours during which your cost per call ads appear when you are available to immediately answer your phone, so the prospect doesn't end up getting dumped into your voicemail.