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What is Pay Per Click on Google?
Google provides advertisers the opportunity to advertise their products and services through a number of different methods. Interestingly, four times as many users are likely to click on a sponsored advert on Google than on other search engines.
Pay Per Click (PPC) is a form of paid advertising, enabling businesses to publicise products and services at the top of Google search results. The search results page usually includes the paid adverts, followed by the organic results. This ensures that people searching for specific products and services are able to find your advert, boosting brand awareness and improving conversions.
How Pay Per Click on Google works is relatively straight forward. Basically, a person carries out a search using Google. Google takes a look at their advertising pool to find relevant adverts. If there is more than one advert in the pool, an auction is started. The auction takes milliseconds to complete, as Google takes a look at a number of different facts to determine the relevancy of the advert, before looking at the adverts Quality Score and maximum bid, this determines the advert rank. Your advert them appears in its appropriate rank for the user.
The entire process starts when a person carries out a search on Google. Your appearance in the search results is determined by the keywords you have selected. Your advert only appears when someone searches using your chosen keywords or phrases.
Google then takes a look at their advert pool to see what adverts are bidding on that chosen keyword. Google then determines if there is enough adverts to start an auction. Auctions do not take place with every search. Auctions are triggered if there is more than one advertiser after the same keyword, but will not happen if the advert you are running is for your business name, as chances are your business is the only one that will be in that keyword pool.
If there is more than one advert for that specific keyword, an auction is held to determine advert placement. This takes milliseconds to complete and the user will not have any idea it is happening behind the scenes. The auction ensures that the relevant adverts reach the users. This is done by taking the businesses maximum bid and quality score into consideration.
In order to determine the ranking of your advert, Google looks at your keyword selection. Businesses can bid on multiple keywords, but Google will always look for the most relevant keywords based on the users search query.
Your maximum bid is the most you are willing to pay for a click on your advert. This is a flexible amount that you can change as and when you feel it necessary. The best option is to research to see the average bid amount for your chosen keywords, helping you determine what you can afford to pay. This does not mean you will always pay the highest price, but one thing you can be sure of, you will never pay more than your maximum bid.
Quality Score is an important factor used by Google to determine your advert ranking. Quality Score is on a scale of one to ten. You want to score as close to ten as possible, as this will help you earn a higher ranking. Quality Score factors include click through rate, keyword relevancy, landing page relevancy, landing page quality, and ad text relevancy.
Once Google has analysed your keywords, bid, and quality score, it decides where to place your ads. They use a set formula; cost per click X quality score = ad rank. Once the search result loads, your advert appears in the search query, helping you reach your audience and drive traffic to your website.
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