Mastering Pay-Per-Click Advertising: Best Practices to Drive Traffic and Revenue

Pay-per-click (PPC) marketing is a powerful advertising strategy for businesses of all sizes. Even small businesses can reap the benefits of pay-per-click advertising, drive traffic to their website, and generate quality leads. Thus, making it an effective way to reach the target audience and boost online presence. However, attaining success in PPC requires careful planning and execution.

A 2022 research by Search Engine Land reveals that 73% of people clicked on Google ads that year. Therefore, whether you are new to PPC marketing or looking to optimize your existing campaigns, here are a few tips to help you get the maximum returns from your advertising budget and achieve your business goals. Before we dive into the best practices, let’s understand pay-per-click advertising and its working.

What is Pay-Per-Click Advertising?

Pay-Per-Click (PPC) advertising is a way for businesses to buy traffic to the website, rather than earning it organically through Search Engine Optimization (SEO) or other marketing efforts. PPC ads appear on search engines or social media platforms in the form of sponsored ads. Advertisers choose keywords or phrases relevant to their target audience or product and bid for them. If anyone clicks on the ad, the advertiser pays a fee.

PPC advertising is a cost-effective way to reach potential customers. According to Search Engine Land, a further report reveals that businesses can make an average of $2 in revenue for every $1 they spend on Google Ads.

How Does Pay-Per-Click Advertising Work?

PPC advertising primarily relies on the choice of keywords. It involves bidding for keywords or phrases relevant to the target audience or products the business wants to advertise. When someone types a search query that matches the keywords, the ad will appear at the top of the Search Engine Results Page (SERP), marked as “sponsored” or “ad.”

The order in which these ads will appear on the search engine depends on several factors, including the bid amount, ad relevance, and the ad’s Click-Through Rate (CTR).

If someone clicks on the ad, the advertiser pays a certain amount based on the bid and factors, such as the quality of the ad and the landing page it leads to. Therefore, PPC advertising aims to drive targeted traffic to a website and convert that traffic into leads.

What are the Different Bid Strategies Available for PPC Advertising?

There are several bid strategies available for pay-per-click advertising. But the choice of a bid strategy depends on the advertising goals, budget, and target audience.

1. Manual Cost-Per-Click (CPC) Bidding

This is the most common and straightforward bid strategy, where advertisers manually set bids for each keyword or ad group based on their advertising goals and budget.

2. Enhanced CPC Bidding

This bidding strategy uses machine learning algorithms to adjust real-time manual bids. It works by analyzing historical data on ad performance and adjusting bids accordingly. This bidding strategy mainly focuses on increasing conversions using Artificial intelligence or AI.

3. Target Cost-Per-Acquisition (CPA) Bidding

With this bidding strategy, advertisers set a target CPA for each conversion. Google’s machine learning algorithms then adjust bids in real-time to reach the target CPA.

4. Target Return on Ad Spend (ROAS) Bidding

With target Return On Ad Spend (ROAS), advertisers set a target ROAS for their ad spend. Google’s machine learning algorithms then adjust bids to maximize revenue while achieving the target ROAS.

5. Maximize Clicks

This bidding strategy aims to maximize the number of clicks an ad receives within a given budget. Google’s algorithms automatically set bids to get as many clicks as possible while staying within the advertiser’s budget.

6. Maximize Conversions

This bidding strategy aims to maximize the number of conversions an ad receives within a given budget. Google’s algorithms automatically set bids to get as many conversions as possible while staying within the advertiser’s budget.

Each bidding strategy has its advantages and disadvantages, and the choice of strategy will depend on the advertiser’s goals and budget. However, choosing the best practices for bid strategy is crucial to get the maximum return from PPC advertising campaigns.

Also Read: How Does Digital Marketing Work and Why Is It Important for Online Visibility?

Best Practices for Bid Strategy

1. Set a clear goal: Determine what the brand wants to achieve with PPC campaigns, such as increased website traffic or more conversions.
2. Know your target audience: Identity who the brand wants to reach with the ads and select keywords they are likely to search for.
3. Use bidding tools: Most PPC platforms offer bidding tools to help manage bids and track results.
4. Adjust bids based on performance: Monitor the campaign’s performance and adjust the bids accordingly. Increase bids for keywords that are performing well, and decrease bids for those that aren’t.
5. Consider the competition: Take into account which competitors are bidding for the same keywords, and adjust the bids accordingly.
6. Test and experiment: Test different bid strategies to see what works best for the business. Also, experiment with different ad formats and targeting options to find what works best for the audience.

What Makes Ad Copy Effective in PPC Advertising?

An effective ad copy in PPC advertising should be relevant, compelling, and clear to the target audience. Here are some key factors that make ad copy effective in this digital marketing strategy:

1. Relevance

It’s important to ensure the ad copy is relevant to the product or service that the business wants to advertise. This means including keywords that people may search for and using persuasive language to make them click on the ad. The ad should clearly describe the offers related to the product or service. This will help the ad appear in search results and get people to click.

2. Value Proposition

The ad copy should clearly state the product or service’s benefits and its edge over the competition. Moreover, highlighting the unique selling proposition of the products in the ad copy helps to stand out from other options.

3. Call-To-Action

Ad copy should be concise and easy to understand and have a clear call-to-action button Call-to-action guides the user to take the desired action, such as “Buy Now,” “Learn More,” or “Sign Up Today.

How Can Landing Pages Help in Improving PPC Campaign Performance?

Landing pages can help improve PPC campaign performance in several ways:

1. Relevance: Landing pages can be designed to be highly relevant to the ad copy and keywords being targeted in the PPC campaign. This helps to increase the user’s engagement with the landing page and makes it more likely that they will take the desired action.
2. Conversion rate optimization: Landing pages can be optimized for conversion rate by including persuasive copy, clear calls to action, and relevant images or videos. This can increase the likelihood of users taking the desired action, such as purchasing or filling out a form.
3. User experience: Landing pages can be designed to provide a positive user experience by loading quickly, being easy to navigate, and being visually appealing. This can help to reduce bounce rates and improve engagement with the landing page.
4. Quality score: Landing pages can also impact the quality score of PPC campaigns, which is a metric used by search engines to determine the relevance and quality of ads. High-quality landing pages can lead to higher quality scores, which can result in better ad placements and lower costs per click.
5. Testing: Landing pages can be used for A/B testing to determine which design or copy elements perform best. This can help to refine the PPC campaign and improve overall performance.

Also Read: 7 Free Types Of Lead Magnets That Convert Prospects Into Customers

Excel at PPC Advertising with Emeritus

By following these pay-per-click advertising best practices, marketers can create effective marketing campaigns. If you want to learn more about PPC advertising or digital marketing, take Emeritus’ digital marketing courses. These courses will equip learners with in-demand skills, enhance their understanding of digital marketing, and fast-track their career aspirations.