PPC – The Anti-Linear Marketing Channel

When it comes to setting up marketing channels, owners of small and mid-sized businesses try to use traditional methods to do Internet Marketing. As Karl Ribas wrote on Search Marketing Gurus, this is not effective.

No fixed price tags

One of the traditional approaches to marketing is the idea of fixed costs. If I spend $10,000 on a billboard, I know it’s going to be there for the length of the contract, and there will be an average of “x” traffic to see that billboard.

When it comes to Pay-Per-Click marketing (PPC), this no longer holds true. The idea behind PPC is that advertisers compete against each other for placement and price. The key variables that determine these two items are:

  1. Quality Score (relevance of ad copy to keyword as well as relevance of landing page to keyword)
  2. Bid price

Advertisers compete against each other in these two areas. … Continue reading