As most of you know by now, we’ve been using our Wednesday blog posts to talk about the 2 common problems that prevent most sites from doing well. In a nutshell, it all boils down to these two issues:
- Low traffic
- Low conversion rates
So, for the past few months, we’ve been solely dealing with the first issue and so far, we’ve covered SEO and have briefly touched on social media. We didn’t go in-depth with the social media topic because our previous 12-week series dealt completely with ways to utilize social media to increase sales.
Today, we’re going to talk about pay-per-click advertising and how you can use it to drive huge amounts of traffic to your website. However, don’t skim this post because you may miss the key factor that will determine whether you PPC advertising will be profitable for you or not.
Let’s start with a quick definition in case you’re not familiar with what pay-per-click advertising is. We’re probably all familiar with the Google interface. You know the ads that are in the sidebar? Those are called Google Adwords. They’re the pay-per-click ads. Just as the name implies, the advertiser only pays when someone clicks on the ad. Basically, your ad can show to thousands of people every day but you only pay when someone actually clicks on one of the ads and visits your website. You can pay anywhere from a few cents to nearly a hundred dollars per click, depending on how competitive your industry is. If you’re selling knitted salt and pepper shaker covers, you’re probably not looking at a lot of competitions so you’ll likely pay $.05 per click. On the other hand, if you’re a trial attorney looking to get clients who have mesothelioma you might pay $90 per click. That’s the most competitive keyword phrase on Google because the class action law suits can pay the attorneys millions of dollars. It’s worth it to them to pay hundreds or thousands of dollars to land a client that can net them a million or more.
Before you make up your mind about whether or not PPC is right for you, we need to talk about some of the benefits, and then we’ll look take a few weeks to look at the math and figure out if it’s really right for you.
Let’s look at the first benefit of pay-per-click advertising…
PPC Benefit #1: It’s pay for performance. You only pay for the clicks you get. Name another form of advertising where you only pay when someone responds to your ad. Radio? Nope. If your ad runs on the radio but no one ever calls or stops by, you still pay for the spot. TV? Same thing. Yellow pages? If no one ever opens their phone book, you still pay. Newspaper? You’re still paying, even if no one responds. But with pay-per-click advertising, your ad can be displayed to thousands of people and if no one responds, you don’t pay.