Free Website Content - Pay Per Click Definitions
Pay-Per-Click marketing has become an online phenomenon,
with marketers only paying for traffic they receive. As
Internet marketing has evolved, pay-per-click is seen by
many as the middle ground between paying per impression
and paying per sale. Advertisers only pay when they receive
traffic that may or may not be targeted.
The pay-per-click advertisements are usually displayed
with the advertisement from the highest paying bidder in
the top position.
Navigating the complex web of Internet marketing, publishers
and marketers are often confronted with terms that seem
foreign. This simple guide will assist marketers in navigating
the Pay-Per-Click marketing model.
Bid - The amount that an advertiser is willing to
pay for a click on a specific keyword.
Budget - The amount of money that an advertiser
sets aside for an advertising campaign. Different publishers
allow for advertisers to set daily, weekly or monthly budgets.
Clickthrough Rate (CTR) - The percentage of clicks
on a link. This is usually a percentage based on the total
number of clicks divided by the number of impressions that
an advertisement has received.
Conversion Rate - The relationship between visitors
to a web site and actions considered to be a "conversion",
such as a sale or request to receive more information: the
percentage of people whose clicks have resulted in a sale
or desired action in relation to the total number of clicks
on an advertisement.
Cost Per Click (CPC) - The cost or cost-equivalent
paid per click-through to an advertiser's website.
Cost Per Thousand (CPM) - The amount an advertiser
pays for one thousand advertisement impressions, regardless
of the consumer's subsequent actions.
Delisting - The removal of a listing as a result
of inaction or poor performance.
GeoTargetting - An advertisement targeted at a specific
geographical region, area or location.
Impressions - The number of times an advertisement
is viewed by web surfers.
Keywords - Search terms or phrases that are related
to an advertisement or ad copy.
Landing Page - The specific web page that a visitor
ultimately reaches after clicking an advertisement. Often,
this page is optimized for a specific keyword term or phrase.
Linking Text - The text that is contained within
a link.
Pay Per Click (PPC) - Advertising model in which
advertisers pay for click-throughs to their website. Ads
are served based on keywords or themes.
Rank - How well a particular web page or web site
is listed in a search engine or advertising results.
Return On Investment (ROI) - The percentage of profit
that results in a marketing or advertising campaign. Naturally,
advertisers want the amount of money made to exceed the
money spent.
Understanding the above terminology will help marketers
navigate the pay-per-click advertising model, which has
emerged on the Internet and become one of the leading advertising
models in the online world.
About the Author:
Sharon Housley manages marketing for FeedForAll http://www.feedforall.com
software for creating, editing, publishing RSS feeds and
podcasts. In addition Sharon manages marketing for NotePage
http://www.notepage.net
a wireless text messaging software company.
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This article may be used freely in opt-in
publications and websites, provided that the resource box
is included and the links are active. A courtesy copy of
the issue or a link to any online posting would be greatly
appreciated send an email to sharon@notepage.net
.
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at http://www.small-business-software.net/free-website-content.htm
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