How does pay-per-click advertising works?

Essentially, it's a way to buy visits to your site, rather than trying to “win those visits organically”. Search engine advertising is one of the most popular forms of PPC. For example, in search engines, online ads (also known as sponsored links) only appear when someone searches for a keyword related to the product or service being advertised. You can get competitive insights, and more, with Semrush's advertising research tool, where you can monitor and analyze what your competitors are doing, analyze their strategy, and understand how much they spend on PPC and how much traffic they receive.

To participate in these auctions, advertisers use accounts on platforms such as Google Ads to set up their ads and determine where and when they want those ads to appear. In the offer-based model, each advertiser places an offer with a maximum amount of money that they are willing to pay for an advertisement. Personal event targeting allows advertisers to reach people who are undergoing a significant change in their lives and who are likely to be in the market for certain products and services. Before we get into Google Ads specifically, it's important to understand what PPC is and how PPC advertising fits into a successful global marketing strategy.

It is often considered a “preferred” option for advertisers who want to promote their products to consumers based on demographics and interests. For advertisers, the model is advantageous because it provides an opportunity to advertise products or services to a specific audience that is actively looking for related content. If that number is higher than the ad ranking of other advertisers bidding on the same keyword, your ad will appear at the top. Advertisers who prefer rich media to promote their brand can hire a professional to create a custom image, animated GIF, or even video and serve it as an ad on a network that supports that format.

But if you're already using Google Ads and Microsoft Advertising and you still have marketing money to allocate, it might be the right option for you. It's rare for a company to use online advertising as the only way to drive traffic to its website. If you're looking at your overall marketing budget and wondering if it makes sense to allocate a portion of that budget to PPC advertising, you're not alone. Online businesses can monetize their free products through online advertising, especially the PPC model.

Although ROI is more difficult to calculate, it's worth considering social media advertising for your business, especially given the increasing role it plays in the lives of your prospects.