Google Pay-Per-Click (PPC)
There are mixed reviews in a lot of business owners minds about PPC. “Does it work? Will I lose money? I’ve heard horror stories.” These are fair concerns. First it is important to understand that when you open a Google Ads account, it is a software with a blank slate. Many owners believe that the program “knows” what to do on its own to get them customers. This is false.
The PPC Numbers Don’t Lie
Breaking it Down
Let’s use the robot comic below to understand the process. In the first picture you see a baby robot; this is the blank slate Google Ads Account. You are on the left asking the baby robot to find you some oranges, where oranges are sales. The baby robot has no idea what oranges are, so it brings you everything it can find. In the third picture it brings an orange, but also brings a car, a wrench, a pencil, and an apple. Each of these non-oranges are clicks that you had to pay for and were clients that were not searching for your product. At first you get upset and question what this baby robot is doing. If you take the time to educate the baby robot what an orange is based on what the baby robot brought, it will go into the world with this knowledge and find more suitable oranges. Over time as you continue to teach the robot what is and is not acceptable, it will eventually bring you the perfect client every time.
Within each account we will go through each search term that produces a click. We will break this up and tell the algorithms what keywords are good and which ones are “negative.” As time goes on, this negative word bank will increase, narrowing down each search so that each click will be more likely to be a customer.
Pay Per Click means exactly that. You will pay for each click on the ad regardless if that click turns into a sale.* The price is subject to market price. The program will tell you how much you can expect to pay per keyword per click to be on the first page. If you choose to pay more, you have a better chance of being on the first page.
MOST agencies will charge $500.00 flat rate (or more) or a % of the spend, which ever is greater. Sometimes you’ll see companies charging as much as 30%. Most companies land in the 12%-20% range depending on the budget..
Typically, there are a total of 20 spaces on the 1st page, broken down into three sections:
- 7 spots are usually reserved for Google Ads – 3 at the top, 1 in the maps, and 3 at the bottom
- 3 spots for Local map
- 10 organic spots
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