This form of advertising only charges businesses when a user actually clicks on their ad, hence the name “pay-per-click.”
There are an array of different PPC ads, but the most common one is the “paid search ad”. This type of ads appears when customers use a search engine like Google to search for things online – especially when their searches are commercial, meaning that they’re looking for something to buy. This could be anything from someone looking for “restaurant near me” on their phone, to someone looking for a real estate agent or an architect in their area, to someone shopping for a gift (“Birthday flowers”) or a higher priced item such as a high tech computer software or luxury watch. All of these examples would trigger PPC advertising.
The goal of the ad is for the person who is searching for the item to purchase it.
How does it work? Any time there is an available ad spot on a search engine results page (SERP), an auction will take place for the keyword.There are many factors that decide the winner who will then appear at the top of the page, such as bid amount and quality of the proposed ad. These auctions start when someone searches for something specific on a search engine. Should there be current advertisers interested in showing ads based on what was searched, the auction is triggered based on keywords, and these keywords are what advertisers are bidding on.
The winner of the auction gets to appear on the search engine results page.Typically, advertisers that want to engage in these auctions use accounts platforms such as Google Ads to determine where and when they want their ads to appear and set up their ads.