Getting to know Google’s Pay per Action Advertising Product
One of the most popular PPC ads service providers is Google Adwords. Over the years, Google has introduced a lot of online tools and features through Google Adwords which can help you launch and maintain your PPC campaign. One of the newest methods that Google is now implementing is Pay-per-Action advertising. This is a new pricing method which allows the PPC ad owners to pay only for the completed actions which they themselves will define.
There are currently three advertising models which are widely-used in the internet and these are Cost per Click, Cost per Action and Cost per Impression. For Cost per Click, which is the most popular model and most used among the three, the advertiser will pay a corresponding amount whenever someone clicks on their ads. On the other hand, in Cost per Impression the advertiser will only pay for every time the ad will appear on the website.
If you want to use Pay-per-Action in your ads, you need to undertake the following steps:
- Define specific actions
- Set up conversion tracking, and
- Create the PPC ads
Once you have done this, the different publishers of Google will choose which ads they will place in their websites. When it comes to pricing, you will be the one who will set a fixed amount which you are willing to pay the specific action is completed. For example, you have decided to pay $2 for every complete registration form submitted and $4 for every complete purchase. When it comes to tracking, Google uses conversion tracking which will determine if the specific action you defined is completed.
Google’s Pay-per-Action Advertising product can be somewhat too technical and advanced for first-time PPC advocates. If you own a website and you know how much the process of acquiring customers cost, then this product is a good option for you. If you are starting out with PPC, you should stick with the basics first and gradually, you will be able to use these advanced programs to work for your advantage. But generally, Google products are very user-friendly even for beginners.
On the advertisers’ side, this is a good opportunity for them to select which ads they want to run on their site. One of the deciding factors they have is the level of relevancy that their site has with the PPC ad that they want to put in their site.
One of the main benefits that you can get from using Google’s Pay-per-Action Advertising is that it minimizes the risk of click fraud which can cost you a lot of money. With Pay-per-Click, the clicks are all registered without taking into account if they are valid or not. On the other hand, with Pay-per-Action you’ll pay only once the specific action is completed.
Click fraud is a serious problem when it comes to PPC ads and this will surely minimize the risks that websites are exposed at. If you are a small company or website, Pay-per-Action will definitely benefit you because you will be assured that the money you are spending is actually a result of a customer action.
