March 21st, 2007
Categories: Internet Advertising, Online Marketing Analysis
Historically Google has focused on Cost-per-Click (CPC) advertising, or rather, ads that require payment for each click. A web surfer sees a Google Ad, clicks the link, is delivered to a webpage specified by the advertiser and is charged by Google for delivering the traffic. Advertisers like this model because they only pay for relatively targeted traffic that has shown an active interest in their product or service. Advertisers dislike this model because they pay for a percentage of traffic resulting from erroneous clicks, clicks from competitors researching online, etc.
Pay-per-Action (PPA) advertising takes another approach all together. With PPA (Also called Cost-per-Action), advertisers only pay for traffic if a visitor reaches the intended website and completes the desired action (such as filling out a form, or adding a product to their cart.) The PPA service is (of course) currently in beta and we’ll keep you updated on what impressions and results we gather from the program. Several of our clients campaigns could benefit from this model immediately if the product performs even remotely as well as others in the PPA industry such as Snap or Turn.
Leave a Reply
You must be logged in to post a comment.