This section focuses on pay-perclick , sometimes called paid search. About 40 to 50 percent of all search queries now return paid ads. By far the most profitable and fastest growing source of revenue for search engines is advertising. Google presents normal organic results in a main list and paid listings on the side as sponsored links. Companies choose a keyword, or multiple keywords, associated with their product or service. They then bid on what they are willing to pay when a searcher clicks on a link .
Dawkins pointed out that one of the benefits nonprofits have in purchasing keywords relevant to their mission is that those keywords are not in high demand by commercial organizations. She stated, “In fact, bid prices are so low on some of these keywords that any small nonprofits can run highly effective in-house search engine marketing campaigns for as little as $200 per month” . Advertisers’ placement on the results page is determined by how much they are willing to pay if someone clicks on their ad. Minimum bids may vary, but they generally start at around $0.05 per click and can go all the way up to $100 per click for some mortgage-related terms.A 2005 62% of people using the Internet do not understand the difference between organic and paid listings on a search engine results page. Pay-per-click advertising is an innovation in marketing. Small businesses that would not traditionally advertise on the Internet are now spending much more on Web advertising because it is so cost-effective .
Labels: Google advertising, Paid Search
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