Tuesday, January 17, 2012
Pay Per Click Advertising: What's the risk?
When trying to increase the amount of traffic driven to a website, many people turn to pay-per-click advertising (PPC). This involves a site being sponsored by another website. As a result, your website link will appear in the "sponsored links" section of a search engine. Whenever the link is clicked on, the site owner is charged a small fee for each click.
Yes, PPC advertising can produce fast traffic results as the link appears immediately. Yes, it will increase your site's visibility, especially if you don't have a strong online presence. And yes, you can control the budget for your advertising campaign, but there are a number of risks involved with PPC advertising. Before you purchase PPC advertising, you need to know the risks involved.
What's the Risk?
Although you control the keywords that are used for your advertising, the price of those keywords can fluctuate. You want to use relevant keywords, but if those keywords have a high hits number, expect to pay more. This has the potential to hurt your overall profit from the use of PPC advertising.
While PPC advertising produces quick results, they aren't lasting results. When the PPC campaign ends, so do your results, which means, if you want to keep your traffic up, you must be prepared to pay the long term expense of the advertising-- which may not be profitable in the long run.
There are a lot of fraudulent practices with PPC advertising. Because you're charged whenever a person clicks on your link, there are people who will pay others to sit there and repeatedly click on your link. This ends up being very profitable for them, but can really put you in the hole as far as income is concerned. These practices are considered to be unethical, but a lot of PPC companies don't care. Their only desire is to take advantage of you.
Sure, there are PPC advertising companies that are honest, but there are a lot that aren't. Finding a reputable company that's there to aid your site is difficult. If you're thinking long term, it's often best to stay away from PPC companies. Put in the elbow grease to increase your online presence yourself with SEO and SEM. It may take longer to produce results, but in the end, it's better and more effective.
Have you used pay-per-click advertising? How did it work out for you?