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How Google Adwords PPC Program Works
Do you know what PPC is? There are so many abbreviations used in the
world of Internet Marketing that it is often hard to keep up, but PPC
stands for Pay-Per-Click, and it is pretty much self explanatory.
A PPC ad campaign is an ad campaign where you will be charged a certain
amount of money for each and every click that your ad receives. Google
AdWords is such a PPC advertising program.
You can set up a Google AdWords account for free – but it is
not free to run an ad campaign if you get clicks, because you will pay
for each click that you get. The objective is to ensure that those
clicks revert to sales, at some point, so that you can cover the costs
of the PPC AdWords campaign.
When you set up a Google AdWords account, you select your keywords, and
determine a price that you are willing to pay, per click, for each of
those keywords.
The ads that will pay Google the most per click appear at the top of
the sponsored section on the search results page when those keywords
are searched for – so, the higher you bid for keywords, the
higher your ad will appear.
Now, once you’ve set up your ad campaign in AdWords, Google
makes sure that your ads appear in the sponsored section of the search
results, again, based on how much you bid for each keyword, but they
also make sure that your ads appear on websites that contain keywords
that are related to the keywords that you chose.
This is done through Google’s AdSense program, which is set
up for website owners who want to earn revenue from Google by placing
ad code on their pages. They are paid a percentage of what the AdWords
advertisers are paying Google for the keywords each time someone clicks
on a link on their site.
So, Google makes money because you pay for clicks on your ad, the
AdSense publishers (website owners) make money when their visitors
click on your ads, and you, of course, make money by getting more
visitors to your site, in a small amount of time, which you can then
convert to sales.
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