Ad Words cost per click advertising is a subject which attracts opinion across the board, as a business promoter we look on facts rather than surmise because it is an accepted fact that 90% of users are paying too much for the results they get. The other 10% tend to use a PPC Consultant who truly understands the system and how to make it work for you.
Ad Words Cost Per Click Advertising – Or Search Engine Optimization
When we first meet with new clients they tend to fall into one of two categories:
They dislike pay per click and firmly believe that search engine optimization (SEO) is best because you don’t have to pay for new clients.
They dislike SEO because it is time consuming and cumbersome and they’ve experienced a Google algorithm change that has seen their website go from page 1 ranking to page 10 or below where nobody searches.
So now we give our opinion and state that SEO and PPC complement each other over the long term. The more SEO hits that you get the lower the cost to your business of finding new clients to replace those that leave you. However SEO is slow and you will be wise to disregard those that promise instant SEO results. Instant SEO results are achievable by using Black Hat methods and usually it takes Google a week or two to recognize the tactics you are using and penalize your website to the bottom of the list. Then all the money you spent on getting that ranking provides zero return on investment.
Compare this with Pay Per Click (PPC ) advertising which is instant, constant and does not need your website to be ranked on page one to benefit. – Please do not think that PPC advertising does not require you have a conforming website – it most certainly does require a quality landing page on a quality website or you end up paying the highest price for the least amount of clicks. Google must look after their own image or they lose searchers.
We always advise our clients to work both ppc and seo together because if we assume you need 10 new customers per month to meet your business expansion needs – you need these new customers now rather than 2 or 3 months down the track. The only way you will get them instantly is by Ad Words Cost Per Click Advertising. This fills the void until your search engine optimization clicks in and your website gets to page 1 on Google.
[Sideline] Many ask why we talk Google and not Bing/Yahoo – the fact remains that over 70% of searches for local goods or services still happen on Google, therefore that is where your advertising dollar should go.
Advertising Calculation Adwords
Ad Words Cost Per Click advertising does not favor the business that bids highest in most instances. Google takes various factors into account to decide which business gets the highest listing and cost offered is not at the top of the list. You must understand that 97% Google’s income is advertising revenue, they don’t charge the general public to use the search engine.
First they wish to check the quality of the ad, the bounce rate of the website landing page, the click through rate on the ad and does the destination website offer something of interest to the person that clicks the ad.
Imagine you run a plumbing business in Anytown, Any State, USA and the advised cost per click for “Plumber Anytown” is $18 per click. Now assume that your website is not mobile compatible. Because almost 60% of the searchers that click the ad will be from a mobile device. Google understand that the click through rate to this ad will be low, let’s say 3 clicks per month which equals a total income to Google of 3 x $18 = $54
Your competitor has bid $9 per click but his site meets all the criteria and he gets 16 clicks per month.
16 x $9 = $144. This ad is far more important to Google , it offers them more than double the income that the $18 per click site offers.
Taking it a step further assume both businesses convert their click to client ratio at 25% the first plumber gets 0.75 new customer a month while plumber paying just $9 per click converts 4 new paying customers per month.
Hopefully this paragraph explains why some advertisers never get the best out of ad words cost per click advertising.
Can We Help You?
If you are failing to get good returns from your customer recruitment budget using adwords it will benefit your business to employ a consultant to make it work for you. The average cost of a consultant is around $200 per month or 15% of your advertising budget, whichever is greater. That’s from $6.60 each day. A small price to pay to bring in sufficient new customers each month to make your ad words cost per click advertising work in a manner that will constantly expand your business base.
www.otecppc.com is a fully owned subsidiary of Otec Promotions.
We can carry out an assessment of your current campaign and put right all that is not working for you. Then we take of the bidding process and check what works and what doesn’t. Stop you spending on what does not work and channel your ad spend into what gets results. Contact us using the form on this page for a friendly chat to discover your goals and how they can be achieved reliably and cost efficiently.