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Pay Per Click (PPC) Management

Pay Per Action – The Be All OR End All Of Online Marketing

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Filed under: Pay Per Click (PPC) Management by Dan @ 4:50 pm

Pay per click marketing has been a phenomenon of modern business. It has raised Google to dizzy heights and cast others down to the depths. Yet while the success has been accessible for all there has been a growing fear and (paranoid) suspicion that a good portion of PPC budgets are lost to click fraud. The solution Pay-per-action or PPA.

Why pay for all the clicks when you can just pay for the one that is actually worth some thing to your business?

Still currently in the Beta test stage for Google, but widely available on other engines such as SNAP.com, PPA has been hailed as the solution to click fraud. The impressions and clicks are monitored yet not charged. Only when the visitor completes an action that you deem valuable you are charged.

Set up in much the same way as conversion tracking in Adwords it couldn’t be easier. Once the “action” or conversion method has been verified, all you need to do is watch the clicks and impressions to build up and wait for those sales & leads. But what affect will this model have on the wider market of PPC.

PPA is an effect of consumer pressure. In this case, we, the advertisers, are the consumers. We want to only pay for the clicks that convert to sales or leads, but what about the other clients of the engines, the publishers.

The adsense program for Google has long since been a good source of revenue for web sites of all sizes. Do they want PPA? I doubt that very much. Why should a publisher not get paid every time someone leaves their site? After all it’s not the publishers fault if it doesn’t lead to a sale. Google has already stated that up to 5% of all adsense ads will be PPA for all publishers, unless they opt out. And I image a good number will.

So without publishers where will PPA go? On to the sponsored links of the engines?

Another factor of PPA, that could be accelerated if the sponsored links auction system is used, it could be to inflate the bids and effective cost per action. This could consume the profit margins of any business, therefore losing the attraction of the PPA model completely. One of the biggest draws of the PPC model is that smaller companies can compete with the corporate web using well built, strategized campaigns

While PPA is an attractive package, it has many draw backs and will is unlikely replace the PPC model

Related posts:

  1. Yahoo take on PPC Click Fraud
    Yahoo have introduced a new reporting feature in the Panama pay per click (PPC) interface. Under the heading of “Traffic Quality Reports”, the new Report is called “Click Filter”. The stats displayed in the report relate to the volume of sponsored search clicks not charged or discounted as matching Yahoo’s...
  2. PPC Click Fraud
    PPC Click Fraud is the action of somebody clicking on your ads despite having no intention of visiting your site or making a purchase; the reasons for doing so can vary, but the end result is that it costs you money while delivering absolutely no financial benefit from your PPC...
  3. Free – Risk Free – Traffic
    Way back in March Google launched the PPA platform. After a huge amount of pressure form the advertisers, Google allowed the beta test to begin. Since then there has been relatively little discussion about the platform negative or positive. The idea behind the PPA platform is simple. Pay only for...
  4. Don’t Neglect Yahoo and MSN in your PPC Campaigns
    Everyone who knows anything about PPC and SEM knows that Google is the 'Daddy'. Google boasted over 70% share of US searches in July and has had over 85% share in UK searches for some time, they are also pulling away with ever increasing statistics being recorded. As such any...
  5. Warning: Adwords IP Excusion tool is not 100% accurate!
    If anyone is worried about invalid clicks through PPC then I want to give everyone a bit of assurance on the matter and warn you that the Google Adwords IP exclusion tool is definitely not 100% accurate. We have a client spending a fair size per month on Google and...

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This entry was posted on Wednesday, September 12th, 2007 at 4:50 pm. You can follow any responses to this entry through the RSS feed.

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