Why is PPC important? How PPC reflects sales & profits in organizations?
PPC or Pay per click is an important advertising tool for online marketing of the brand. How PPC works is, that a business identifies the keywords most relevant to the brand and when the target demographic uses the selected words in the search engine, an ad is strategically placed on top of the search results. When users click on this link the advertiser pays a small commission to the host, hence the service is called pay per click. Both big and small businesses alike PPC proves to be resourceful to promote products or services, improving brand visibility or communicating vital information to your audience. We have listed out key factors to look into when using PPC for your brand.
Elements of PPC:
- Landing Pages – Landing page or destination page directs traffic who are interested in your advertisement to your determined pages. Make sure landing pages have the necessary information about the brand and how they can reach you. In case of product-related destination pages, it is advisable to have individual product landing pages for better conversion rates
- Ad Relevance – Ad relevance measures how closely user’s search matches the ad campaign. Factors like keywords, landing pages, ad affect the relevance factor
- Keyword – Keyword or keywords, a word or group of words used in ad campaigns to determine which ad to show the users.
Keyword Planning: Keywords lay the foundation of any PPC campaign. Please identify the relevant keywords for your business and research on the subject goes a long way. It might be difficult to hit it right on the first try but don’t worry, you can keep refining it by adding elements that work and removing the ones that don’t. Try looking into your competition, see the kind of keywords they are investing in. Start by listing out keywords based on the following characteristics
- Relevant – Relevant keywords can be anything that directs the users to your products or words commonly associated with your products or services
- Exhaustive – Extensively long or over specific keyword chain can seem unimportant or redundant but more often than not users resort to long-tail searches and conversion rate is much higher for this traffic. The best part of it all they are cheaper in comparison
- Negative – This common for the misdirected traffic to reach your landing page when using generic keywords are used. This problem can be easily rectified by eliminating non-relevant ones
- Keyword Grouping – This is a task of combining similar keywords into groups so that you can better monitor the performance and understand consumer behavior. This helps greatly in optimizing the keywords
ROI Planning: Most lucrative aspect of PPC is quick results and real-time monitoring of data and budget. In case of advertising through pay per click, one should strategize their daily limit and monthly spends. Keeping a close eye on the money spent gives excellent insight on what works for your brand and what doesn’t and with that information you can maximise the return from the limited budget. Following are a few things one can consider for effective money management with PPC.
- Start small – Don’t put all your eggs in one basket no matter how eager you are for quick results. Start with a small sum of money and observe the response. Whichever channel you might think of using make sure to do thorough research on how it works and what it features
- Get most out of the money spent – Get most out of the money spent on the user, response filter your bids based on what geographical location is favourable? What devices are more responsive and which day of the week or time of the day generate the maximum traffic. Monitor your target demographic’s behaviour and schedule your campaigns accordingly so that you can get the best returns for your ad spends
Relevance: Relevance factor of your ad determines the CTRs. CTR or Click Through Rate of any ad can be determined by how many people have seen the ad versus how many clicks it generated. Better your CTR scores more relevant it is in the targeted demographic. Google AdWords gauges your keywords through the quality score, and this score controls the CPC or Cost Per Click. Improving quality score will maximise the PPC profits. To improve the quality score, focus on keywords, landing pages and refining your approach.
When not to use PPC – Although one of the best tools at disposal for marketers, sometimes it might not yield the best results if :-
- Your profit margins are very low, then the money spent on PPC would not prove to be beneficial in terms of return on investment.
- If you don’t have a proper landing page, if seekers of your brand are getting directed to broken links, incomplete contact information or unsafe e-commerce sites.
- Running extensive ad campaigns without any professionals’ help.
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