The Pay Per Click Test for a Non-Believer   November 17, 2006

November 17, 2006

Being masters at e-marketing a friend recently approached me about Pay
Per Click (PPC) advertising for their e-commerce site. Although a long time
website owner they were very skeptical and a true non-believer in this
new wave of advertising so they asked for a one month test to see if it
would work. I said sure why not, we’ve done this plenty of times before
thus setup a campaign of 200 keywords, tracked the campaign and
recorded the ROI of clicks associated to sales. We ran it for one month
with $2000 spent on PPC and $2000 gained in online sales a result. My
client pulled the campaign immediately offline claiming PPC is a bust.

Uh …what?

Now granted it won’t work for everyone, and will work beautifully for
others but overall claiming PPC “a bust”? They explained that breaking
even was just not good enough and does anyone else besides me think that philosophy is wrong?

the fact that a one month test of any advertising is not a real
benchmark to base an opinion on, but the real deal is that the $2k in
new sales led to brand new customers. These are new customers who
discovered a business they never knew existed before and the odds of
them becoming lifetime customers with lots of repeat purchases is good
possibility. Advertising whether PPC or traditional in some cases
celebrates success in just responses not purchases, they chalk it up as
“branding” but some argue that’s a bigger bust. I’ll take the sale and new customer any day for my investment.

If interested in Pay Per Click advertising you can find the top providers here:

Yahoo Search Marketing

Google Ad Words

And if not interested, just stay away from developing annoying ad banners
that install privacy exploiting spyware … you’ll thank me later.

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