The Power of Pay Per Click and Search Advertising

Did you know that 85% of Internet users use a search engine to find what they are looking for? Now, if 85% of over 100 million Internet users in North America use a search engine to find information, it makes a lot of sense to make sure that your website appears when people are searching.

Often times when we do a search using a search engine, we are returned an abundance of results to sort through in the tens of millions. How can you ensure your website is among those results? One method is through Search Engine Optimization which is a process of defining keywords and organizing a site to be as relevant as possible to a search term. As Search Engine Optimization is a process that requires time to see results, businesses often want something that will work at a moments notice. The answer to this is through Pay per Click (PPC) advertising.

With Pay per Click, your ad is shown among the top on the first page of a search engine's results listing when search engine users are actively searching for your products or services. Searchers will read your ad and then decide if your product or service meets their needs.

The Power of Your Ad in Pay per Click Advertising:

• You bid on search terms that are relevant to your products and services.


• Your ad is then displayed when Internet users search for your search terms.


• You can decide which geographical area your advertisements are served to.


• You pay ONLY when searchers click through to your website.

The Control You Have with Online Campaigns:

• You determine your overall online advertising budget.


• You decide how much to spend each month or each day.


• You bid on how much you want to spend per click.

Now this sounds wonderful, doesn't it? Let's put a little more butter on the bread and give an example.

Let's say a company sets out a sales goal whereby they would like to sell 100 units of a product this month and it has been calculated that they need at least 10 leads to close one sale. For each sale, the company's net income will be $100.

Through our research we can see that 100,000 searches are performed on a monthly basis for this company's product and that for $2.00 per click, the company can be listed in the 3rd listing for a Search Engines paid advertisements.

If we said that in order to sell 1 unit that we need 10 leads, then it is calculated that to sell our goal of 100 units in a month, we need to purchase 1000 clicks for our ad. At $2.00 per click, our monthly ad budget should be $2000. So, from our $2000 spent on our advertisements, we will therefore be making $10,000 this month (100 leads x $100 net income per unit). Not too bad, but let's see what our Return on Investment (ROI) is.

For our ROI calculation, we'll need our Return (net income from our monthly sales), which in our example is $10,000 and our investment (ad spending for the month), which we have said is $2000. To calculate our return, we will divide our return by our investment and multiply by 100. For our example, our ROI for our PPC campaign is a whopping 500%! Now try and get that return from traditional advertising channels.

Pay per Click advertising is a powerful means of obtaining sales for your business. Even if you are a business catering to your local community, it is known that 25% of every Web search performed is local in nature, so there is definitely a market our there for you.

Whether your business is just getting started with a website online or you would like to gain that extra step against your competitors, Pay per Click advertising is something every business with a website should consider and think about discussing with qualified Internet Marketing professionals.