Pay Per Click (PPC) is an Internet advertising model used on websites, where advertisers only pay when they host the ad is clicked. With search engines, advertisers typically bid on keyword phrases relevant to their target market. The contents of the site is generally set a fixed price per click instead of using the bidding system.
Cost per click (CPC) is the amount of money advertisers pay search engines and other internet publishers for one click on an ad that brings one visitor to the website.
Unlike the common portal, which seeks to encourage a high volume of traffic to one site, PPC affiliate called to apply the model, which provides purchase opportunities wherever people can surf. This is done by offering financial incentives (as a percentage of revenue) to affiliated partner sites. Affiliates provide purchase-point-click through the merchant. This is a pay-for-performance model: If the community does not generate sales, it represents no cost to the merchant.Variations include the banner exchange, pay-per-click, and revenue sharing programs.
Sites that use PPC ads will display ads when the keyword query matches the keyword list of advertisers, or when displaying content relevant site content. Such ads are called sponsored links or sponsored ads, and appear adjacent to or above the organic results on search engine results pages, or where web developers chose the site content. [1]
Although many PPC providers exist, Google AdWords, Yahoo! Search Marketing, and Microsoft adCenter are the three largest network operators, and all three operate under the model-based bid. Cost per click (CPC), vary depending on the search engine and the level of competition for certain keywords. [1]
PPC advertising model is open to abuse through click fraud, although Google and others have implemented automated systems [2] to prevent abusive clicks by competitors or corrupt web developer. [3]
Contents [hide]
1 Determine the cost per click
Flat-rate PPC 1.1
1.2 based PPC bid
2 History
3 See also
4 References
5 External links
[SuntingMenentukan cost] per click
There are two main models to determine cost-per-click: a flat-rate and bid-based. In both cases, advertisers must consider the potential value of clicks from certain sources. This value is based on individual types of advertisers expect to receive as visitors to his Web site, and what advertisers can gain from the visit, usually income, in both the short and long term. Like other forms of advertisement targeting is key, and the factors that often play in PPC campaigns including interest on the target's (often defined by the search term they have entered into a search engine, or the content of the pages they are browsing), intentions (for example, to buy it or not), location (geographical targeting), and day and time that they browse.
[Edit] Flat-rate PPC
In the flat-rate model, advertisers and publishers to agree on a fixed amount to be paid for each click. In many cases the publisher has a rate card that lists CPC in different areas of their web site or network. Various This amount is often associated with the content on the page, with content that is generally more valuable to attract visitors have a higher CPC content that attract visitors from less valuable. However, in many cases advertisers can negotiate a lower price, especially when making long-term contracts or high value.
The flat-rate model is very common for shopping comparison engine, which usually publishes rate card. [4] However, this figure is sometimes a minimum, and advertisers can pay more for greater visibility. These sites are usually neatly compartmentalized into a category of products or services, allows high-level targeting by advertisers. In many cases, the core contents of the site are paid advertising
[Edit] PPC-based jobs
In bid-based model, an advertiser signs a contract that allows them to compete with other advertisers in a private auction held by the issuer or, more generally, an advertising network.Each advertiser informs the host of the maximum amount he is willing to pay a particular ad spot (often based on keywords), usually using online tools to do so. auction plays out in automatic mode every time a visitor where the trigger ads.
When an ad spot is part of search engine results page (SERP), auto auctions take place every time the search for the keywords being bid up happening. All bids for keywords that are geo-targeted search location, day and time of search, etc. are then compared and determined the winner. In situations where there are several ad spots, common in the SERPs, there can be multiple winners whose position on the page affected by the amount of each bid. Ads with the highest bid appears first usually, although additional factors such as quality and relevance of the ads can sometimes come into play (see the Quality Score).
In addition to ad spots on the SERPs, a large advertising network allows for contextual ads to be placed on the nature of 3rd-party with whom they have partnered. These publishers sign up to host ads on behalf of the network. In return, they receive a portion of advertising revenue generating network, which can be anywhere from 50% to more than 80% of gross revenue paid by advertisers. These properties are often referred to as the network's content and advertising them as contextual ads because of the fact that ad spots associated with the keyword based on the context of the pages where they were found. In general, the ads on the content network has a much lower click-through rate (CTR) and conversion rate (CR) of the ads found on the SERPs, and consequently less well appreciated. Network properties can include content sites, newsletters, and e-mail. [5]
Advertisers pay for each click they receive, the actual amounts paid based on the number of bids. This is a common practice among hosts auctions to fill the winning bidder only slightly more (eg one cent) than the next highest bidder or offer of actual amount, whichever is lower [6].This is to avoid situations where bidders continue to adjust their bids with a very small amount to see if they can still win the auction, while paying a bit less per click.
To maximize success and achieve scale, automated bid management system can be used.This system can be used directly by advertisers, although they are more often used by advertising agencies that offer PPC bid management as a service. These tools are usually allowed to bid on a scale of management, with thousands or even millions of PPC bids are controlled by a system that is highly automated. This system is generally set each bid based on goals set for it, such as maximizing profit, maximizing traffic at break-even point, and so forth. These systems are usually tied to the advertiser's website and eat the results for each click, which then allows to set a bid. The effectiveness of this system is directly related to the quality and quantity of performance data that they have to work with - low-traffic advertising can lead to problems of data scarcity, which makes a lot of bid management tool useful at worst, or at least efficient.
[Edit] History
In February 1998 Jeffrey Brewer of Goto.com, a startup company employees-25 (later Overture, now part of Yahoo), presented a pay per click search engine proof-of-concept to the TED conference in California. [7] This presentation and the events that followed created the PPC advertising system. Credit for the concept of the PPC model is generally given to the Idealab and Goto.com founder, Bill Gross.
Google started search engine advertising in December 1999. Not until October 2000 that the AdWords system is introduced, allowing advertisers to create text ads for placement on the Google search engine. However, PPC only introduced in 2002, until then, advertisements were subject to a fee-per-thousand impressions
Although PPC GoTo.com began in 1998, Yahoo! Not started syndication GoTo.com (later Overture) advertisers until November 2001. [8] Previously, Yahoo SERPs main source of advertising including contextual advertising IAB units (especially the 468x60 ads). When the syndication contract with Yahoo! Is for renewal in July 2003, Yahoo! Announces intention to acquire Overture for $ 1,630,000,000. [9]
