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Sunday, September 14, 2008

Google to Dominate the PPC World


Everyone knows that Google has become the king of the search engine today. Unless you have been living under a rock for the last year or so, you probably realize that Google has become the king of the search engine hill.


Nowadays, there are two very powerful small business-advertising options created by Google. These two ingenious programs have all but revolutionized the way advertising is done on the Web. If you are thinking that the Internet Web advertising is not for you or maybe you just need a few more clients around the block, then, you better read this or are prepared to have your competitors eat your lunch.

Goolge AdSense, which is a program to allow Web site 'publishers' to add some code from Google and receive 'content relevant' ads on their site from other site owners. Here, those ads in the box on the right of the page are supplied by Google and are matched to the content on the page. When someone visits to the page and decides to check out one of those ads, the Web site owner gains a portion of the advertising revenue that Google receives.

Google was the first to figure out that ads should match with the content of the page. That is why if you go to a Web site about fishing, you will see ads about fishing and not about shopping. Google AdSense has worked so well that some Web site owners are actually developing content specific sites and paying for them solely through AdSense revenue.

The fact is the many Web site owners not considering Google AdSense as a tool to generate money, but they have found that Google is so respected and because the ads are highly targeted, they are no longer looked at by surfers as ads, they are looked at as a part of the content. Moreover, some will even go as far as to say that by placing the Google ads on our Web site, we actually better our chances of higher rankings with Google. However, Google flatly denies this claim and I do not consider it is true but I do know that Google AdSense ads should be on every small business owner's site.

The other powerful program is Google AdWords, which is Google’s program that is targeted for advertisers. Here, any Web site that wishes to bid for 'keywords' that are relevant to their service, product, or site and then creates ads to attract hits. These ads show up on private Web sites. For example, on the right side of Google search results like this search for 'Free download music', as you can see from this Google search you received the content related Web sites that you searched for but you also get some related ads that are sponsored.

So where is the genius part of those programs? Instead of simply subjecting surfers to any ads that anyone is willing to pay for, they actually police the ads that are running. On some pay per click programs, whoever is willing to pay to most is the winner. Google uses a performance model. In other words, an ad that is the most relevant and therefore gains the most clicks will move ahead of an ad that may pay more but is not as effective. This simple philosophy is why Google has quickly dominated the Pay-Per-Click (PPC) world.

Google also has a system that allows advertisers to target certain metropolitan markets only. In other words, a remodeling contractor who only wants to do kitchen remodels in say, Los Angeles, can bid on the keyword phrase 'kitchen remodel' and only have his ads show up for people who live in and around Los Angeles. In my humble opinion, small business owners can take lots of benefits by this program to dominate their markets.

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