Google Adwords or Google's pay-per-click (PPC) advertising option allows web sites to attract traffic on a pay per click basis. Each time a person surfing the Internet clicks on your web site you will be charged an amount. There are a lot of acronyms and jargon associated with Google adwords. We have included some definitions below:
Cost-per-click (CPC)
Using the CPC pricing model, you will be charged for each click on your ads. No costs will be incurred if your ad is displayed for a search query, but users do not choose to click it.
Cost-per-thousand impressions (CPM)
Under the CPM pricing model, AdWords will charge your account for each time your ad is displayed, whether a user clicks on it or not. You make your bid on each 1000 impressions your ad receives.
Quality Score
Quality Score is the basis for measuring the quality of your keyword and determining your minimum bid. Quality Score is determined by your keyword's click-through rate (CTR), relevance of your ad text, historical keyword performance and other relevancy factors. The higher your Quality Score, the lower your minimum bid and price you will pay per click.
Minimum bid
The amount assigned to a given keyword in your account based on its quality (or Quality Score). The minimum bid is usually the least amount you can pay per click in order for your keyword to show ads.
Click-through Rate (CTR)
Your click-through rate (CTR) is a metric that helps show you how your ads are performing. The more relevant your ads are, the more often users will click on them, resulting in a higher CTR. The system calculates your CTR as follows: Number of ad clicks/number of impressions x 100. We can help with Google Adwords Advertising VadeCom works closely with the worlds leading Pay Per Click advertising provider to offer our clients the best return on investment. To learn more about how VadeCom can help you with you Pay Per Click campaign in Google, Yahoo and MSN just click on the link below.
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