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Pay per click, or PPC, is an advertising technique used on websites, especially search engines. Pay per click advertisements are usually text ads placed near search results; when a site visitor clicks on the advertisement, the advertiser is charged a small amount. Variants include pay for placement and pay for ranking. Pay per click is also sometimes known as Cost Per Click (CPC).
The most popular pay-per-click search engines are Google AdWords and Yahoo!
Overture, followed by Findwhat, Shopping.com, NexTag, Bizrate and Pricegrabber.
Depending on the search engine, minimum prices per click start at US$0.01 (up to
US$0.50). Very popular search terms can cost much more on popular engines. Abuse
of the pay per click model can result in click fraud.
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Parties involved
In this area, a publisher is a webmaster that displays advertisements, from the
advertiser. In order to bring together advertisers and publishers, a number of
advertising networks were formed. They are often search engines, who already had
man advertisers as clients, who they could link up with other publishers. The
advertising network collects the money from the publisher, and passes a portion
onto the publisher. Google is an example of this. Often these combined search
engines and advertising networks, are (in the context of PPC) referred to simply
as PPC engines.
Categories
PPC engines can be categorized in "Keyword", "Product", "Service" engines.
However, a number of companies may fall in two or more categories. More models
are continually being developed.
Keyword PPCs
Advertisers using these bid on "keywords", which can be words or phrases, and
can include product model numbers. When a user searches for a particular word or
phrase, the list of advertiser links appears in order of bidding.
Some of the PPC Keyword search engines are: Google AdWords, Genieknows, Yahoo!
Overture (previously GoTo), FindWhat, GoClick, Enhance Interactive, 7Search,
Kanoodle, ePilot, Search123, SearchFeed, Espotting, Xuppa, ROIClicks,
RevenuePilot, IdoFind
Product PPCs
"Product" engines let advertisers provide "feeds" of their product databases and
when users search for a product, the links to the different advertisers for that
particular product appear, giving more prominence to advertisers who pay more,
but letting the user sort by price to see the lowest priced product and then
click on it to buy. These engines are also called Product comparison engines or
Price comparison engines.
Some of the PPC Keyword search engines are: BizRate, NexTag, PriceGrabber,
Pricescan, Pricewatch, PriceLeap, Shopping.com
Service PPCs
"Service" engines let advertisers provide feeds of their service databases and
when users search for a service offering links to advertisers for that
particular product appear, giving prominence to advertisers who pay more, but
letting users sort their results by price or other methods. Some Product PPCs
have expanded into the service space while other service engines operate in
specific verticals.
Examples: NexTag, SideStep, TripAdvisor
The source of this article is
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