I am sure many beginners often become confused to these terms PPC, CPC, CPM and Google Adwords. Online marketers and SEO companies often talk about these terms would lead to more confusion which one to choose for your online business. lets go depth and understand what it is all about.
Pay Per Click (PPC) is one of the term used in online marketing to display ads. Usually PPC ads cost nothing to display but advertiser is charged when a user clicks on the ad. ad formate can be text, image or video.
In some cases ads are charged per 1000 ‘impressions’ (1 impression = the ad appears one time on a webpage displayed on one person’s computer which is called CPM.
There is one more term called Cost Per Click(CPC) These two can be nearly synonomous but CPC is more often used when referring to advertising campaigns you are running as to how much you are paying per click. ie: I am running PPC advertising on the internet. My CPC is running about $.28.
Adwords advertising is a service offered by Google which uses PPC system, Adwords is in that category of PPC, along with bing, facebook, adbrite, and lots of other smaller companies.
Lets take a look at below image to understand better.
I wrote an article about Signs Of Work At Home Scams, you can see two ad slots displayed ads in above image. Google has displayed online jobs related ads in text ads through Adwords using PPC system so the owner who is running this PPC campaign gets charged if any user on my site clicks on any of the ads and i get paid on basis on CPC.
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