What is Paid Advertisement Marketing and How Does it Work?

For the past five years, demand for the services of digital advertising agencies has been exploding at a rate of about 25% each year. In 2023, businesses are now investing about $60 billion each year in digital advertising. There are now more than 161,000 digital advertising agencies operating in the United States alone.

Perhaps the biggest reason this industry is growing so much is that businesses are seeing how effective digital advertising now is. In some cases, that goes double for paid advertisement strategies.

As the business landscape evolves, the most effective strategies change. Some business leaders have looked at paid advertisement marketing before but have now decided to give it a closer look. So what is paid advertisement marketing, and how does it work?

Read on to learn all about the most important details to understand about paid advertisement marketing and the benefits it might be able to provide for you.

What Is PPC Advertising?

Paid advertising is also known as PPC advertising. PPC is an acronym that stands for pay-per-click. You can use PPC ads to have search engines show your ads to customers searching for related search terms.

As its name might suggest, you only end up paying for each time a search engine user actually ends up clicking on your ad. Although you can buy PPC ads on any search engine, the vast majority of people pay attention to Google much more than any other search engine.

It is worth noting that there are a lot of different kinds of PPC ads you can buy. For example, you can buy ads that invite people to buy your product or service, but you can also buy PPC articles.

In other words, you can create a PPC blog that you want to show up when people are looking for information related to a certain search term. Instead of clicking on your ad to buy something, they will click on it to consume your content.

Although some people ask which of these kinds of ads is more effective the truth is that both have their place. Depending on where your business is at, you might want to focus more on one or the other.

Some people mix up PPC advertising with SEM. SEM is a more generic term that refers to search engine marketing. It is an umbrella term that includes PPC along with other strategies.

For example, organic digital marketing tactics land under the SEM umbrella but are not an example of PPC marketing.

How Does PPC Advertising Work?

In PPC advertising, you will end up bidding for a place for your ads. However, you don't have to spend a lot of time on this process. Instead, you will start out by creating an ad and then selecting a number of trigger keywords.

These are keywords that you want to lead to your ad when people use them in a search engine search. For example, if you are selling beauty products, you might want a trigger keyword like "top skin cream" to lead to your ad.

What you will discover is that some trigger words will cost more than others. You will get to decide how high up on search engine results your ad will show. But the more popular a trigger keyword is among advertisers, the more expensive it will be for you to have your ad show up near the top.

As a result, many advertisers shop around for different trigger keywords until they find the best ones for them. The right trigger keywords for your business might be those that balance popularity with search engine users and cost.

Once you have finished this process, the search engine will input your decisions and then weigh them against all of the other ads to decide when to show them to search engine users.

It will also take into account things like how relevant your ad seems to be to your chosen trigger keywords. For example, if you are selling beauty products but you choose a trigger keyword like "pet shop", your ad might show up much less often because it seems irrelevant.



Of course, you can also work with a quality PPC advertising agency to help you through this entire process.

Benefits of Working With a Paid Search Company

Maybe in the old days of Google AdWords, you were able to put together a simple text ad and get it online. But today’s PPC platform is a lot more complicated. A PPC Agency has experts within their team that can create the right content for your specific campaign. Sometimes text ads are not enough. Other times, a video ad may be too much. With a PPC Agency in your corner, those decisions can be made on your behalf and not take up a lot of your precious time. Anything DIY will. PPC is not DIY.

At GreenFlow SEM, we specialize in helping businesses get more leads from Google Ads. We have a strong connection to younger markets and help a wide variety of businesses in San Diego take their marketing efforts to the next level.

Regardless of whether you work with a service or not, there are some huge advantages that come with investing in PPC advertising strategies.

You Only Pay for Clicks

In Pay-Per-Click (PPC) advertising, the beauty lies in the fact that you only pay for actual clicks on your ads. Once your campaign and ads go live, you establish a daily budget, and platforms like Google ensure that your spending doesn't exceed this budget throughout the month.

The cost of each keyword in your campaign varies, with some keywords commanding higher prices due to competition and customer value. However, maintaining relevance between your ads, keywords, and landing page can significantly impact your expenses.

By achieving a higher Quality Score for your ads, thanks to their relevance, you'll end up paying less for each keyword. So, it's crucial to optimize your campaigns to align with user intent and boost the overall effectiveness of your PPC strategy.



PPC done right can give you a far greater return on investment (ROI)--and for small businesses on a budget, this is a great way to promote your products or services.

To delve deeper into the setup and management of Google Ads, click here to explore further insights.

You Can Enjoy Results Right Away

Another huge benefit of working with PPC ads is that you can get results much faster than with many other advertising strategies. Again, there are a couple of ways that PPC ads lead to faster results.

Once you set up your ads, they can start appearing in search results within 24 hours. And if your ads are relevant to the people who are searching for your products or services, you can start getting clicks and conversions very quickly.

Of course, the better your landing page and the more relevant your ads are to the searcher's intent, the higher your conversion rate will be. A conversion in Google Ads is when a user performs some specified action after clicking an ad, such as purchasing a product, installing a mobile app, or making a form submission or phone call.

The beauty of PPC is that, with the right account setup and a skilled PPC manager, you can witness remarkable results in no time – sometimes even within a single day!

You Can Experiment With Different Ads

PPC ads also lend themselves to experimentation. For one thing, you don't have to spend too much on any single ad to find out how it performs. On top of that, as we have seen, it is often simple and fast to create PPC ads.

As a result, PPC ads can be one of the most powerful ways to ping the market. If you are unsure which of a couple of different marketing approaches might be the most effective, consider creating a PPC ad for each approach. Then, you can run both ads and see which one generates more engagement.

Once you know which approach is the right one for your business, you can focus on it with your PPC and even your other advertising efforts.

Grow Your Business With Paid Advertisement Tactics

We hope that you now have a deeper understanding of paid advertisement strategies and why they might be a great option for you. If you have not experimented with PPC ads before, it might be worth finding out for yourself if they will work for your business situation. The best marketing strategies often combine effective paid advertisement tactics with other marketing methods at the same time.

To learn more about how you can enjoy the benefits of the most effective PPC ads, reach out and get in touch with us here at any time!