An Introduction To Pay Per Click

Pay per click advertising has been under intense scrutiny since mid-November of 2007.  By the beginning of 2008, ComScore reported to Google that Adsense earnings had evened out; and that pay per click revenues were flat in the month of January.

A popular theory is that Google decreased the clickable area of the AdSense ads, in an effort to reduce accidental clicks. Google in turn, could make up lost ground by increasing the value of the clicks; that do not occur by accident. This creates a winning scenario for Google, Adwords buyers and AdSense partners; as referrals will cost more, but are much more likely to produce conversions.

Here are 8 common mistakes to avoid when investing your time and money in pay per click advertising:

1) Too many keywords per ad group. Take the time to target your keywords to be as relevant as possible.

2) Do not use negative keywords. Avoid using words that contain “-free” or “-off”.

3) Failing to test for weak performers. Take the time to test different variations of your ads. Change the titles, copy and display URL option; and track your results.

4) Poor tracking of statistical data. It is paramount that you log and review the traffic and other statistical data to determine your “return on investment” and “cost per action”.

5) Keywords are not specific enough. Broad and generic keywords can drive large amounts of traffic to your website, however the chances of a conversion are greatly reduced.

6) Failing to apply Keyword tracking. The use of proper analytics is essential for translating the data you have collected. If one keyword is generating revenues and another isn’t, lower and raise your bidding as necessary.

7) Failing to utilize Long-tail Keywords. Building a list of individual ads utilizing long-tail keyword can be both time consuming and highly profitable. Consider these 2 search terms: “mobile phone” and “Nokia 8800 gold edition”. One consumer is doing research, the other is close to making a conversion.

8) Failing to applying Geo-targeting. The top three pay per click engines will allow you to Geo-target. This allows you to utilize non-local phrases in your ads; while encouraging predominantly local consumers to visit your website.

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One Response to “An Introduction To Pay Per Click”

  1. new iphone says:

    Very interesting article, i bookmarked your blog, thanks for share

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