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What Is PPC Advertising and When It Pays Off
PPC advertising means you only pay when someone clicks your ad. See how it works on Google and social media and when it pays off for a small business.
In this article
PPC advertising means you only pay when someone clicks your ad. The name stands for pay per click. The best known example is Google ads that appear above the results when someone searches for your service.
How PPC works
- You choose the terms or audience the ad is shown to.
- You set a daily or monthly budget.
- The ad is shown and you pay when someone clicks.
- The price of a click is set in an auction among advertisers. More in what is CPC.
Where PPC is used
- Google Search. Ads for people searching for your service right now. The clearest buying intent.
- Google Maps and local ads. Ads next to local results.
- YouTube and the Google Display Network. Video and image ads.
- Facebook, Instagram, LinkedIn and TikTok. Can be charged per click or per impression.
Advantages of PPC
- Speed. Enquiries can arrive the same week the campaign launches.
- Cost control. You set the budget and can change it every day.
- Measurability. Every click, call and enquiry is visible.
- Targeting. Terms, city, time and device.
Disadvantages
- Traffic stops as soon as you stop paying, unlike organic traffic built by SEO.
- In competitive industries a click can be expensive.
- A poorly set up campaign quickly spends the budget on the wrong searches.
When it pays off
PPC pays off when you need enquiries quickly, when you launch a new service or when SEO has not yet brought rankings. It works best alongside SEO: ads bring enquiries today and SEO builds traffic that lasts. Read the comparison in local SEO or Google Ads.
How to start
- Set up call and enquiry tracking before the first click.
- Start with a small number of precise terms and exclude those that do not bring customers.
- Send each ad to a page about exactly that service.
- Track cost per enquiry, not just cost per click.
I run PPC campaigns in the Google Ads, Facebook advertising and LinkedIn advertising services.
Frequently asked questions
What is PPC advertising?
PPC (pay per click) is advertising where you pay when someone clicks your ad, not when they see it. The best known example is Google search ads.
Is PPC the same as Google Ads?
Google Ads is the best known PPC platform, but PPC also includes ads on Bing, Facebook, Instagram, LinkedIn and elsewhere when they are charged per click.
How much does PPC advertising cost?
It consists of the click budget, which you set yourself, and a management fee if an agency runs the campaigns. For smaller businesses the ad budget often starts at a few hundred euros a month.
About the author
Matija Terzić
I am the founder of VRH Agency from Rijeka. I run the whole marketing for businesses, from ads and SEO to websites and automation, so they win more clients and more profit, and I write about it from my everyday work with clients.
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