Should your business use PPC advertising? That depends on your budget, goals, needs, and industry. PPC definitely has its benefits. Compared to SEO, or search engine optimization, PPC fast tracks your website to the top of search rankings, precisely targets customers, and drives conversions. Businesses use PPC to buy visits to your website or landing pages rather than earning traffic organically through SEO.
However, PPC also has its downsides—usually expense. Depending on your industry, PPC cost-per-click may be high and a barrier of entry—even though you can control ad spend. Resources are also another potential downside of PPC. You 100% need a seasoned PPC manager and creative team to create display and text ads, optimize your campaigns, and report on the results. Otherwise, you may waste your precious marketing budget.
That being said, your question, “should my business use PPC advertising?” is entirely up to you. The following info should help you make the best decision for your business—and possibly launch some PPC campaigns soon!
Why PPC is important for your business
Benefit #1: PPC boosts brand visibility and website traffic
PPC has the power to generate traffic immediately for your website. And get your company more recognition too. That’s because ads pop up overall organic content in search engine results. While organic SEO and PPC work in tandem and both strengthen one another, PPC will give you more immediate results. Organic SEO can take six to 12 months to generate your goal traffic.
Benefit #2: PPC targets exact demographics
Unless you own a global company, you don’t need to target everyone in the world. In fact, you shouldn’t. PPC ads give you the ability to choose specific terms or interests, isolate and exclude keywords, and fully hone in on your audience so you appear in front of qualified leads. And only pay for people who may buy your product or service. Whether you run your PPC ads or hire an agency, your demographic optimizations can deliver amazing results for your conversions and traffic.
Benefit #3: PPC provides lots of data and insights
What’s the beauty of PPC? You can get real-time data on all your campaigns and optimize daily, weekly, or however often you’d like. There is no need to guess about the results or how much you spend. You always know the exact worth of every click, how many leads your campaigns bring in, and your ROI. As you pay attention to data and optimize, your cost-per-click will decrease over time. That will free up more of your budget to go back into your ad spend and make more impressions.
Benefit #4: PPC has fantastic ROI
According to Hubspot, businesses make two dollars for every dollar they spend in AdWords. Plus, half of the people who type in a search engine query click on text PPC ads. Those are some mighty favorable stats for your future marketing investment.
Which industry or type of business use PPC advertising most?
Many types of businesses benefit from PPC advertising—from medical to legal to sustainable and health and wellness brands. There’s really no wrong industry for PPC—just how and when you use it. That being said, while most businesses can benefit from PPC advertising, there are some factors that may lead to even better PPC results.
Businesses with high customer lifetime value
Your investment in PPC will be worth it if you have customers with high lifetime value. You know, patients, clients, or customers who tend to make a lot of repeat purchases. This includes businesses like
- Dental practices
- Medical practices
- Telecommunication companies like phone and internet
- Car dealerships
If you own a brick and mortar store, PPC can help tremendously with your local marketing. That’s because 88 percent of people who search for local businesses visit the store within one day. It’s super important that your business shows up at the top of rankings when a customer searches for relevant terms so they come in to see you. Google Maps rankings also help with local marketing.
Businesses with seasonal promotions
PPC is a great tool to use for the holidays or seasonal promotions. If your sales cycle has a definitive time of year you push more inventory or services, consider PPC. There are lots of primed buyers around trending holidays. Plus, a sea of competitors to get a leg up on with the visibility PPC provides.
Businesses with high profit margins
Businesses that have a high profit margin don’t need as many sales to make a profit. Think about big purchase items like:
- Luxury brands
- High-end electronics
- Technical software
Businesses with niche or varying products and services
If your business offers something hard to find or unique, you can use PPC to make it more visible. The same goes for stores that sell diverse products. Creating ads for these niche products allows people to find them more easily online.
Is PPC right for my small business?
Before jumping on the bandwagon with PPC advertising, you must thoroughly examine your existing business and marketing practices. Ask yourself the following questions to see if it’s the right time for your business to use PPC advertising.
Does your digital marketing need a visibility boost?
Have your sales declined? Is your website traffic lower than you’d like? Are competitors outranking you in search results and taking the lion’s share of market share? You may want to consider running PPC ads to increase your visibility and prominence in search results. However, if your organic SEO ranking and other tactics like social media marketing deliver healthy website traffic and conversions, you may not need a PPC campaign—especially if you’re tight on budget. More is never more in marketing.
Do you have time and expertise to create a PPC campaign the right way?
Keyword research, number crunching, and the technical set-up of tracking and landing pages for PPC campaigns comes with a steep learning curve and time investment. Do you have the team to get the job done right? If not, do you have the budget to hire a PPC manager to help? That should tell you if you’re ready for PPC right there.
You also need to factor in organic SEO for your PPC program. Every business needs a team to optimize your website content, do a formal SEO audit, and write SEO blog posts to enrich the SEO health of your site over time. You can use actually SEO keyword phrases in your ads and vice versa. See how the two continue to yin and yang?
Do you have a PPC budget?
How much does PPC cost businesses? Typically, your monthly ad spend plus either a percentage of your ad spend, a management fee, or a set fee. If you have the marketing budget to cover this, then you can get going with PPC. If not, it’s best to wait until you do. Investing too little in PPC won’t lend results or spend your marketing dollars wisely.
What are your goals for PPC?
Do you have a goal to generate leads or make direct sales? Perhaps, you want to do both. Depending on campaigns, cost-per-click and management fees will vary. For example, let’s say that the average cost-per-click is approximately $5. You have a budget of $1,500 per month–based on the average cost-per-click, that would buy you 300 click-throughs to your URL. Does that number match your goals and expectations? It’s a conversation to have with your PPC and marketing strategy teams, for sure.
As you explore PPC, you’ll find it’s suitable for any kind of business—whether small, medium or big. Integrating PPC into your marketing strategy will ensure you make an impression on potential customers at the right time. If you have more questions or need a PPC agency to get going, get in touch! We’d love to hear from you.