Pay-per-click (PPC) Campaigns
PPC Terms Reference
These are the most common terms used when using pay-per-click (PPC) services:
PPC Pay-per-click = general name for this type of service
CPC Cost-per-click = amount paid each time an ad is clicked on
CTR Click through rate calculated from impressions and clicks
Impressions Number of times an ad is displayed in search results
Using PPC Campaigns
Pay-per-click (PPC) ad campaigns are now the easiest and most cost effective way to get first page listings on major sites like Google and Yahoo.
You will have to compete with others in the same industry to get the best top 3 positions, but overall costs are still very competitive compared to offline advertising such as trade magazines. This is particularly so now that Overture and Google AdWords also offer channels for syndication of the ads in hundreds of related content websites and portals.
For a demo of the Google AdWords pay-per-click advertising features, click on the “Quick Tour” link at the following URL. This will give you an overview of how a PPC service works:
http://www.google.com/adwords
You do not pay for your ads to be shown alongside search results. You only pay when someone clicks on the ad and they are forwarded to your website. The costs can range from as low as US$0.10 per click to several dollars per click, depending on the number of other advertisers competing for the top spots and the number of people using each search term.
PPC Campaign Costs
The costs of setting up a PPC campaign are very dependent on the scale of your promotional efforts. The more keyword phrases, campaigns, individual AdGroups and ads you have, the more there is to manage and monitor.
For the most frequently used phrases the costs are in the US$1.00 to US$8.00 per click range, at the high end of PPC prices in the market generally. For other terms there are still many opportunities in the US$0.10 to US$1.00 per click range.
It is recommended to start with as many keywords and phrases as possible, but only at the minimum click through cost of 10 cents per click. Then, during the first few weeks of the campaign refine the bids on each keyword to improve your position within your budget.
Starter Package
AdWords Account Setup
AdWords Account Configuration (100 keyword phrases x3 variations = 300 phrases)
AdWords Campaign and AdGroup creation and ad authoring
Campaign Refinement and Management (Month 1)
= HK$10,000
[US$1,300]
Plus Google ad click costs – ongoing:
Suggested click through budget US$10-25/day. Costs could be kept lower if you do not wish to target top 1-3 positions when ads are displayed.
If you want to run a larger campaign, AdWords professional service fees are detailed in Appendix C.
Third Party Fees
Note that you are responsible for the payment of third party fees to the PPC service to cover your click through costs. These costs are not included in the professional service fees shown here.
If you require us to make any third party payments via our credit card on your behalf, there will be a transaction processing fee of HK$150 per credit card payment transaction made and an admin fee of 5% of the amount paid.
PPC Account Maintenance
PPC Campaign maintenance is available beyond month 1. Based on the size of your overall website promotion project and PPC campaign we can offer ongoing campaign maintenance options to meet your specific needs.
|