Pay-per-click 'can be expensive but worth it'

11th February 2008

Running a pay-per-click campaign is getting tougher every year as the price of keywords rise and more businesses struggle to compete, it has been reported.

However Promotion World added that for small firms, pay-per-click is still a cost-effective and wise marketing strategy.

It recommended testing current keywords and using the most effective ones in organic search strategies and also using pay-per-click to trial new products and prices, as it accurately measures how many users click on an advert.

"The pay structure is what makes pay-per-click so effective for small businesses," the news source stated. "With pay-per-click you pay only for results. No matter how many times your ad is displayed you pay only when someone clicks on it."

Adverts which attract more clicks than others are rated highly by search engines, it adds, warning that the more expensive keywords also appear further up the rankings.

By knowing how much an individual site visitor is worth to the firm, a company can work out how much it is willing to bid on a keyword, the source claims.

Search advertisements made up 40 per cent of the total US spend on internet marketing last year, according to a report by eMarketer.