Pay-Per-Click (PPC)

A Definition to a Common Term Related to Web Analytics

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Term: "Pay-Per-Click (PPC)"


Pay-Per-Click (PPC) is a digital advertising model used on search engines, advertising networks, and content websites, where advertisers are charged a fee each time a user clicks on one of their online ads. The essence of PPC is to drive direct traffic to websites, rather than earning those visits organically. This model allows advertisers to bid for ad placement in a search engine's sponsored links when someone searches on a keyword that is related to their business offering. For example, if an advertiser bids on the keyword “PPC software,” their ad might show up at the top spot on the Google search results page.

The cost per click (CPC) can vary significantly depending on the competitiveness of the keyword and the platform being used. PPC campaigns require careful setup, ongoing management, and optimization to ensure they are cost-effective and achieving the desired results, such as generating sales, leads, or brand awareness. Popular platforms for PPC advertising include Google Ads, Bing Ads, and various social media platforms like Facebook Ads and LinkedIn Ads.

PPC is a crucial component of digital marketing strategies for businesses of all sizes, offering a way to gain visibility on search engines and other digital platforms quickly and to target specific audiences with precision. It provides measurable ROI, allowing advertisers to see the direct impact of their ads in terms of traffic, conversions, and sales.

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