Do You Know These Pay Per Click Terms?

Pay per Click (PPC) advertising is one of the important and popular ways of advertising on the web. These advertisements are displayed along with the highest paying bidder ads appearing in the top position. Explained below are some terms that are very much a part of PPC marketing campaign and that an internet marketer must be well versed with:

Bid-The amount of money an advertiser agrees to pay to the search engines for a click on a specific keyword.

Budget-The amount of money that is set aside by an advertiser for an advertising campaign depending upon whether he decides to have an advertising budget on a daily, weekly, or monthly basis.

Clickthrough Rate(CTR)-This is the percentage of clicks on a link that is calculated as the total number of clicks divided by the number of impressions received by an advertisement.

Conversion Rate-This refers to the percentage of people whose clicks have brought about a sale or resulted in desired action in relation to the total number of clicks on an advertisement.

Cost Per click(CPC)-The amount paid for every click through an advertiser's website.

Cost Per Thousand-The amount paid by an advertiser for every one thousand advertisement impressions, regardless of whether a consumer bought anything or not after clicking.

Delisting-When a listing is removed due to inaction or bad performance, it is called delisting.

Geotargetting-Targeting an advertisement at a specific geographical area or location is geotargetting.

Impressions-Every time a web surfer views an advertisement, it is called an impression.

Keywords-The relevant search words or phrases that are related to an advertisement are called the keywords.

Landing Page-Is the web page that a visitor comes to after clicking on an advertisement.Usually this page is optimized for a specific keyword or phrase.

Linking Text-Is the text included within a link.

Rank-This is the rank or position of a web site in the search engines or advertising results.

Return on Investment-This refers to the profits generated through marketing or advertising campaign. Every advertiser wants the money spent on the campaign to be exceeded by money earned through it.

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