From its humble beginnings in 1996 to the present status as an essential part of business marketing investment, pay-per-click (PPC) is a valuable tool that boosts your business by raising brand awareness, driving conversions, and generating leads. According to Google, companies stand to earn an average income of $2 for every $1 spent in AdWords, the world’s most popular PPC program. No wonder 73 percent of marketers want to increase their ad spend in 2018 (. However, this doesn’t answer if pay-per-click marketing is right for your business. What works for one business may not work for the next, which is why every marketer should invest some time weighing up the pros and cons of PPC before jumping on the bandwagon. Consider the points below:
1. Your Target Audience
At the heart of your PPC campaign is the audience, and establishing a relationship is the only way to maximize your benefits. Familiarize yourself with their needs and interests, and harness the power of targeted advertising for more clicks. If you’re a local business, geotargeting ads can improve your click-through rate and make your PPC efforts successful. But if you run a broader campaign that does not target specific demographic, PPC might not yield the desired outcome. Customer value is also worth considering. Investing $2 per click on an advertisement cannot be justified if the product you’re selling is worth $3. But PPC marketing makes sense if you’re paying $2 a click and earning $600 for your product because of the larger profit margin.
2. Your Budget
Marketers must allot a monthly budget and a maximum cost per click for every keyword. Thankfully, flexible PPC pricing means this budget can go as low as $50 a month or as high as $500,000 a month. You have the choice of starting out slow with a minimum price per click and increasing it later. But businesses with limited resources would do well to avoid bidding wars as the cost per click for some industries often go high. Plus, you must add a PPC expert to your marketing group – someone who will stay abreast of the latest industry developments, create extensive keyword lists, devise well-planned campaigns, implement PPC landing pages, and analyze account performance. Altogether, these costs amount to a lot, and your business should be in a position to handle them.
3. Your Site Rank
How well does your website rank in the search engine results page? If you succeed in securing a decent rank organically, there is no reason why you should pay for clicks. In fact, an Oxfam report found that 55 percent of searchers cannot differentiate between organic and PPC ads.
While there are many marketing methods to grow your business, a good pay-per-click campaign offers strong, consistent results. A lot of marketers might balk at the idea of not earning profits on their first attempt, but sometimes losing money helps you to stay on course and rectify their mistakes. So, maintain your PPC strategy and get ready to earn great returns on your investment over time. And, if you need help setting up your PPC marketing, contact us here.