Sun 4 Jan 2009
Pay Per Click Internet Marketing: Does it make Sense?
Posted by Asem Eltaher under PPC (Pay Per Click)No Comments
In order to determine, if pay per click internet marketing is a cost effective marketing strategy for your online business, you must do some computing to figure out how much each visitor to your site is worth.
You can compute this value by dividing the profit you make on your website over a given period of time by the total number of visitors for that same time period. For example, if your site made $5,000 in profits and there were 2,500 hits, each visitor would theoretically make you $2. The basic formula is profits divided by visitors.
The figure of $2 per visitor is the point at which your online business breaks even. The idea, of course, is to show a profit, not to merely cover your costs. Therefore, you should adjust your bid at a figure less than $2 per click in order to make profits. Otherwise, pay per click internet marketing does not make sense for you.
Pay Per Click Internet Marketing: 2 High Level Benefits
Before we go on, in case you have just started to build your online business then it might be the case that you underestimate the importance to track your ppc advertising, which is always the first tip you get from any wise online marketing consultant. In case you properly track your advertising campaign, you would enjoy serious benefits from your campaign:
A nice benefit is that you can forget all the hard stuff concerning search engine optimization techniques to position your website in the top search results.
Another advantage of online advertising ppc is its simplicity. You just bid and you’re up and running. It doesn’t demand any specific technical knowledge, though the more you know about search engines and ppc keywords, the easier-and more effective - the process will be.
Pay Per Click Internet Marketing: Disadvantages
There is no way to find a 100% perfect online marketing strategy. Pay per click internet marketing involves the risk to be in a situation, in which you have to raise your bid to keep your ad in the top position under the sponsored links of the search engine results. This may consequently lead to decrease your profits.
I would highly recommend for you to start with free marketing strategies; yet effective ones like bum marketing or search engine optimization techniques. Then, you may start your ppc marketing campaign. This helps in two ways:
1. Having a closer look how hard or easy the competition is as well as having a better idea which keywords in your niche do not suffer from that high tough competition; yet enjoys decent traffic.
2. You would not have to start with an expensive marketing strategy. Instead, make money with articles or by driving free organic traffic to your affiliate website and then invest your money in an effective ppc advertising campaign.