Pay-Per-Click Advertising: A Complete Guide to PPC

Pay-Per-Click Advertising: A Complete Guide to PPC

Focusing on SEO optimization helps to improve your site in Organic ranking, Optimizing your On-page SEO factors helps you to increase the SERP position organically, and Optimizing Technical SEO factors makes your site easy for Google to crawl your site. 

But for businesses we need immediate results, To produce results need to focus on lead generation, When it comes to lead generation we must focus on Immediate results that can convert potential customers into leads. To generate online leads PPC advertising is a highly effective channel.

What is PPC

Pay-Per-Click or PPC Advertising is a type of digital advertising in that the advertiser only needs to pay if their ads are getting clicked. Most importantly, you can focus on your targeted audience. PPC advertising has different types:

  • PPC marketing.
  • Display advertising.
  • Social media marketing
  • Retargeting PPC advertising.

Cost per click in PPC

CPC or Cost-per-click is the amount given to the ads by the advertiser for every click. In Google PPC advertising, CPC is determined by Bidding for relevant keywords by specifying the maximum amount they are willing to pay for a specific keyword.

There are two ways to set your CPC of Google ads:

  • Manual CPC.
  • Automatic CPC.

Automatic CPC

It is a Bidding strategy that automatically sets the bidding amount for your ads by Google based on factors like competition, ad relevance, and historical data. This will be more convenient, you don’t need to adjust your bid constantly. But if you focusing more on cost consciousness, Manual CPC is best for your business.

Manual CPC

In manual CPC you have the freedom to decide the maximum fee you want to pay for each click on your ad. Based on your ad CPC your ad will show to more people.

The maximum fee you are willing to pay on your ad is calculated by,

(The Ad rank of the competitor below (In SERP) / Your ads Quality score) + 0.01 = Actual CPC.

Actual representation of how CPC is calculated for PPC ads.


Ad Rank

The position of your ad displayed on Google a search engine result page determines the value of Ad rank. 

It’s calculated by:

  • Maximum Bid * Quality score

Maximum Bid 

The maximum amount you are willing to Pay for your PPC ads. This fee is only payable if the user clicks on your ads.

Quality score

A higher Quality Score can result in lower ad costs and better ad positions. This score is calculated based on factors like, Click through rate (CTR), Ad relevance, Landing page experience, Ad format, and Historical performance.  

Based on these factors quality score will be calculated by Google which ranges from 1 to 10.

Ad Group

Ad grouping in PPC Advertising allows you to group together a set of related keywords, ads, and landing pages. Each ad group contains a specific set of keywords and a corresponding set of ads that are designed to target those keywords.

When a user search for a query that matches the keywords in the ad group, Google decides which ads to show based on some factors like ad relevance, ad quality score, and the bid amount. 

Ad text

The Ads must have the relevant keyword, Confirming the relevant keywords are present in the headline and description of the ad text will increase the ad’s relevancy.

Historical performance of the relevancy of your ad to the query will improve the Quality Score of your Ad group. 

These are the factors that improve your ad positioning to the query as well as these can help you optimize your ad spend and get the most out of your advertising budget.

Benefits Of PPC

PPC Helps You with Immediate Results

Looking out to generate leads for your business, PPC Advertising will help you to get immediate results. Unlike SEO, which can take time to show results, PPC marketing can provide instant visibility for your business.

PPC Helps you with Targeted advertising

Using PPC marketing you can segment the audience based on their Geographic location, Demographics, Languages, and devices. This will help you to effectively target your audience and improve the efficiency of your advertising budget by focusing on the people who are most likely to be interested in your product or service.


Compared to other advertising, In PPC Advertising you can target the people who are most likely interested in your product and you have to pay only if the ad gets clicks. You can also set daily or monthly budgets to ensure that you stay within your advertising budget.

Measurable Results

PPC Advertising is highly measurable, which allows you to track clicks, impressions, conversions, and other metrics like Click-through Rate (CTR), Conversion tracking, Cost per Acquisition, and Return on Investment.


PPC marketing campaigns are highly customizable, allowing you to adjust your ad copy, targeting, and budget on the fly to respond to changes in your business needs or market conditions.

Link building

It is an Off-page SEO strategy in which you can optimize SERP positions by getting backlinks from high-authority sites. There are a lot of link building strategies used by marketers to build backlinks from quality websites, Which are guest post link building, HARO, etc. 

PPC vs Link Building

Cost: PPC involves paying for each click on your ad, while link building is typically done through organic methods such as creating quality content, outreach, and guest posting. While link building may not require an upfront cost, it does require time and effort to create and execute an effective strategy.

Speed: PPC Advertising can generate immediate traffic to your website, while link building may take time to show results. It can take weeks or even months to see the benefits of a link-building campaign, as search engines need time to index your content and recognize your authority in your niche.

Control: PPC Marketing allows you to have more control over your advertising campaign, as you can choose which keywords to target, set your own budget, and adjust your ad copy and targeting as needed. Link building, on the other hand, is more reliant on external factors such as search engine algorithms and the quality of the sites linking to you.

Long-term impact: While PPC can provide immediate results, its impact is typically short-lived. Once you stop paying for ads, your traffic will drop off. Link building, on the other hand, can have a more long-lasting impact on your search engine rankings and traffic, as quality backlinks can improve your domain authority and organic search rankings over time.

Even you can use a combined PPC Advertising and link building strategy to get better results.

Wind Up

On-page is purely focused on building your site to drive traffic in an organic manner, as well as Technical SEO factors are makes your website easy for Google to crawl and index it. 

Trying PPC (pay-per-click) advertising has numerous advantages, and the downsides are minimal. Therefore, experimenting with PPC is worth considering to determine how it can positively impact your business and provide you with valuable insights to enhance your other marketing and optimization strategies.


  • Sankaramoorthy Thirugnanam

    A Digital marketing expert with 2 Years of hands-on experience in On-page SEO, Off-page SEO, and WordPress. Currently working as a SEO Interim Manager at 7Eagles. He Completed his Master Degree MBA Specializing in Marketing and Finance. He has 2 Years of work experience in Digital Marketing Field. He Handled projects in Saas, Healthcare, Finance, Real-estate. He is strong on Handling Y.M.Y.L (Your Money Your Life) Niche projects.

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