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A Complete Short Guide on Pay-Per-Click (PPC) Advertising

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You've probably encountered the term PPC while searching for effective ways on how you can successfully promote your newly established business via digital marketing. While it may appear like a complicated approach, learning the ins and outs is necessary in order for you to develop an effective online marketing strategy for your business. Not to mention, PPC can provide you with more timely results compared to other online marketing methods like Search Engine Optimisation. This article will provide you with the most important information about PPC to help you maximise its full potential.

Defining Pay-per-click or PPC

Pay-per-click (PPC) is an online marketing technique in which advertisers are charged a fee every time one of their ads is clicked by a search engine user. The amount paid is determined by the advertiser's bid, with the advertising position given to the highest bidder for each keyword used. PPC is by far the most popular type of search engine advertising. Moreover, it is now also accessible on a variety of social media sites. The goal of this type of advertising is to inadvertently direct potential consumers to the advertiser's product, website, or other sales funnels in the hopes of generating sales or exposure.

How does it work?

Paid search is based on a platform that auctions out ad space. The searcher enters a phrase or a keyword combination into each ad spot. Different advertisers will then compete for specific keywords in auctions. The winning bidder will take the ad space and ensure that their ad appears when a user searches for a specific term, phrase, or keyword.

Advertisers that operate larger campaigns commonly divide their ads into ad groups. This enables them to segment their campaigns based on keywords, displaying the most appropriate and relevant ad for the best keyword. As a result, the most relevant advertising reaches its intended audience.

When seeking to obtain an ad space, various variables are utilised to decide which bidder is successful. The bid price, landing page quality, ad quality, and historical CTR are among them. In addition, other elements may come into the equation based on the PPC campaign's platform. These characteristics are referred to as the quality score on Google. Other platforms, on the other hand, may have their own ratings.

What are the most popular PPC platforms?


When it comes to PPC advertising, Google is the most prominent in visibility. PPC advertisements can be found following a regular Google search, a Google Shopping search, or in other Google locations. Advertisers bid on keywords on Google, and the highest bidder for each term wins the ad space. The quality and relevancy of the keywords, as well as previous campaigns' CTR (click-through rate) and landing page quality, all play a part in determining who obtains the spot.


One of the most popular social media sites that is an excellent choice for PPC advertising is Twitter. However, the cost per click on Twitter is more complicated than on other social media platforms since it varies according to your bid, audience size, engagement, and competition. Nevertheless, whether it's video feed advertisements, regular feed ads, or hashtag promotions, all Twitter campaigns employ the same PPC strategy.


Facebook is becoming a more prominent advertising tool, with PPC ads at the centre of the site's marketing choices. With alternatives extending from carousel advertising to video ads, Facebook now has more PPC ad variants than any other platform. Instagram, which Facebook now owns, has a comparable selection of PPC options. Facebook's PPC advertisements, like Google's, use a keyword bidding system.

What is the PPC Budgeting and Bidding Process?

In most situations, you'll set your PPC advertising budget at the campaign level. Budgets will have a daily spending limit that will never be exceeded unless explicitly set differently. Furthermore, this does not guarantee that your whole budget will be spent every day since the cost per click, the ad position, and the number of clicks will all play a role in the distribution or delivery of the budget.

In addition, you have the option of deciding how you prefer to spend your money. This varies significantly depending on the platform, but the basic concept stays the same. For example, you may pick between the normal distribution method and the expedited distribution method.

Your budget will also affect the amount you may bid. Using Google as an example, you may select from various bidding techniques, each of which is meant to achieve a certain purpose. These Google strategies are the following:

  • Target search page location - By changing your bids, this technique seeks to guarantee that your ads are always displayed on the top page of the SERP. Because most users don't search past the first page, this is perfect for increasing the number of individuals who view your advertising. Bids are raised or lowered based on the likelihood of landing a first-page placement, with the algorithm prioritising the top of the first page.

  • Target Cost per Acquisition or CPA - The goal of target CPA (cost per acquisition) is to keep expenses low while increasing conversions. Google sets bids for this technique to optimise conversions at your given cost per acquisition. This makes it an excellent alternative for people on a limited budget.

  • Enhanced CPC - If the algorithm believes you have a probability of converting, you can boost your bid price with this bidding technique. Maximum bids can be increased by up to 30% over your initial bid limit. Conversely, if the algorithm believes you are unlikely to convert, it will decrease your offer in the auction in order to increase your CPC and gain the most value from it. Because Google calculates all of this based on previous data, you should only utilise this approach if you have enough data for Google to work with.

  • Target Return on Ad Spend or ROAS - Not all conversions are equal in merit. Target ROAS (return on ad spend) understands this and adjusts your bids automatically to optimise conversions while staying within your specified ROAS objective. This ensures that only the most profitable conversions are targeted.

Wrapping it up

Understanding PPC, how it functions, and how to design your own campaigns is only the tip of the iceberg when it comes to digital marketing. On the other hand, these fundamentals should get you started on PPC Services Management In Sydney and provide you with a foundation to improve and enhance your PPC campaigns as you get further and get you visible on search hopefully sooner than later.


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