The cost of having a digital advertising clicked. Advertisers pay a publisher (typically a search engine, social media site, or website owner) a set amount of money each time their ad is clicked. When someone searches for a keyword that matches the advertiser’s keyword list, which they submit to the search engine ahead of time, PPC ads display an advertisement.
PPC ads direct traffic to the advertiser’s website, and PPC is used to evaluate the cost effectiveness and profitability of your paid advertising campaigns.
PPC advertisements can be paid in two ways:
Flat rate: When an advertiser and a publisher agree on a set amount for each click, it is known as a flat rate. This is most common when publishers have a set fee for PPC in various regions of their website.
In a bid-based advertising network, the advertiser competes with other advertisers. In this situation, each advertiser specifies a maximum spend for a certain ad spot, and once that amount of money is gone, the ad will no longer appear on that website. It also indicates that the lower your PPC will be the more people who click on your ad, and vice versa.