At its most simple, Pay per Click or PPC as it is known and as the name suggests, is a way of advertising on the Internet where the advertiser pays for their ad when their ad is actually clicked on by an Internet user. As it hasn't been around for that long, many people still don't understand how Pay per Click works or if Pay per Click is something they could actually benefit from. If it's managed properly, a Pay per Click campaign can be highly lucrative.

Pay per Click search engines are those search engines that offer the Pay per Click option. When an Internet user runs a search on an Internet search engine, say Google for example, which is one of the most popular Pay per Click search engines on the web, they will obviously put some key words or phrases relating to what it is they are searching for.

When the results page appears, they will also see some adverts appearing on their search page. If they then click on these Ads and are taken to the landing page of the advertiser, the advertiser will pay the amount they originally bid on the particular key words or phrases. Of course there's no guarantee that by arriving at the landing page the Internet user will actually engage and sign up for or buy something, that will then depend on the appeal of the advertisers website. The fact that someone clicked on the ad is enough to generate a fee.

If a content website or blog chooses to display Ads on their website, advertisers will usually pay a fixed amount for the keywords as opposed to a bid. Again, they will only pay when an Ad is clicked on.

Pay per Click Campaigns

Basically when setting up a Pay per Click campaign you would have to choose your key words, decide how much you are willing to pay and which search engine or search engines you want to go with and then open an account with your chosen search engines. The greater the market coverage of the search engines the higher the price you are likely to pay.

Different search engines will have different 'rules' or guidelines concerning the Pay per Click ads you can place. Generally though, they will consist of a short title and description of what you are offering along with a link to your website. This title and description has to be relevant and is subject to review before your Ad will be accepted.

Obviously, the particular search engines you want to go with and the key words and phrases that you choose are of the utmost importance if you want to have those click throughs to your site.

When bidding on your chosen keywords you will pay more for popular keywords. It is you that decides what the maximum amount is that you are willing to pay for any particular keyword. Those who pay the most will appear higher on the search pages. The price of keywords can range from pennies to pounds or cents to dollars and will vary from country to country.

A properly managed Pay per Click campaign will increase click throughs (traffic to your site) and the number of conversions (those who actually become customers) which will give you a greater return on your investment.