I have assumed that you have entered some money into your account when you signed up.
The search engine sign up procedures will tell you how much you need to deposit etc.
Now though you have to set your daily budget.
Normally this is requested of you and it is very important that you enter a figure here that you are happy with.
NEVER start a campaign without entering this figure.
If you don’t then you won’t be active for long!
Looking on the dark side and you don’t make any sales could you afford to lose this amount of money daily?
This is your safety net and the search engine will stop your campaign once this figure is reached.
Actually this is not strictly true as sometimes the search engine is not able to stop the campaign at exactly the right moment so look out for the explanations and guarantees given with the company literature
Having decided on the daily budget and the degree of risk you are prepared to accept we next have to consider how much to bid for each click.
Basically the more you bid the higher up you are on the search engine rankings for your niche.
It is not quite as simple as that since other requirements come into play but for our purpose here we will take the simple route,
Ideally you want to be in the first five or so.
Let us suppose that the person with the top spot is paying 10 cents per click, the second 7 cents per click and the third 6 cents.
If you bid 8 cents then you are obviously not going to get the top spot but the second slot looks likely.
However this may not be the case since normally the search engine automatically puts your bid (CPC ‘cost per click) down to just one cent more than the person below is paying.
So it is possible that the second guy has bid 9 cents per click which would mean you have made him/her pay more per click but he/she will remain in 2nd place and you will be third.
I hope that makes it clear.
Later you too of course may be paying less than you bid.
As I said above other criteria may be in force which can change the position of your bid.
The number of times an ad is clicked and the quality of the website to which the ad is linked may also affect the position but for our purpose here we will just consider the CPC.
Note that both the daily budget and the CPC can be altered during the campaign if you feel this is necessary.
When first running your campaign it is a good idea to stop it after a set number of clicks to review the situation before continuing (or perhaps cancelling!).
The “magic figure” I have seen mentioned is 300 clicks.
At this stage most marketers I have spoken to think that this number gives a realistic picture of what is happening.
So is pay per click worthwhile.
Oh yes a resounding yes IF you know what you are doing.
I hope I haven’t put you off from trying this method by this article but I have just tried to make clear all the ramifications.
Fortunately search engines are making the system easier to understand all the time.
As always treat your internet selling efforts as a BUSINESS with absolute CONTROL. That is the secret.
So go for it!
John Beaumont Internet Marketer
About the Author
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