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:: The Ultimate Pay Per Click Resource |
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 Pay Per Click Advertising Glossary - Terms and Acronymns:: Acronymns CPC: Cost per click. CPM: Cost per thousand impressions. CTR: Click-through rate. PPC: Pay per click. PPCSE: Pay per click search engine. ROI: Return on investment. SEO: Search engine optimization. :: Terms Ad Copy: The actual text of an advertisement that explains what product or service is being advertised. Analytics: A broad term referring to data analysis. Is used in PPC advertising to help determine the quality and success of specific pay per click advertising campaigns. Auto Bidding: The opposite of Fixed Bidding. A type of keyword bidding in which an advertiser sets a maximum bid for a specific keyword but may pay less for each clickthrough of that keyword. For example, if Advertiser A bid $0.10 on a keyword, but the next highest bid (Advertiser B) on that keyword is $0.05, then Advertiser A will pay only $0.06 for each clickthrough. However, if Advertiser B changes his/her bid from $0.05 to $0.09, then Advertiser A will pay the full $0.10 (Advertiser A's maximum bid) for each clickthrough. Bid (Keyword Bid): The maximum amount of money that an advertiser is willing to pay each time a Web searcher clicks on an ad and visits their Web site. Bulk Upload: A tool that some PPC search engines offer to advertisers that allows the advertisers to upload a large number of keywords into their account. In some cases, advertisers are able to upload complete PPC campaigns, or parts of complete campaigns, from one PPSCE to another. Click Fraud: Activity that occurs in PPC advertising when an ad is repeatedly clicked by a person, group of people, or some type computer program or software. Click-through Rate (CTR): The amount of clicks that an ad receives, divided by the number of times that ad is displayed (clicks/impressions). For example, if an ad is displayed 100 times and is clicked on 7 times, that ad has a clickthrough rate of 7% (7/100). Contextual Advertising: A type of advertising that refers to advertisements that appear on a Web site that are automatically placed depending on the content of the page in which the ads are being shown. For examaple, if contextual ads are being shown on a Web page discussing dog training, the automated system may display ads for dog collars, dog leashes and pet food. Cost Per Click (CPC): When an advertiser pays a specific amount of money (i.e. $0.10) each time a Web searcher clicks on an ad. Often used synonomously with "pay per click" or PPC. Conversion Rate: The number of visitors (expressed in a percentage) who "convert" after visiting a site through an ad. "Convert" can mean purchase an item, sign up for a newsletter, etc. That varies from site to site. For example, if an ad has 50 click-throughs and 4 of the 50 people who clicked on the ad proceed to convert, the conversion rate = 8% (4/50 * 100). Higher conversion rates generally translate into more successful PPC advertising campaigns. Editorial Review: A process in which advertiser listings are checked to ensure relevancy. Not all PPC Search Engines review listings. Fixed Bidding: The opposite of Auto Bidding. A type of keyword bidding in which you pay exactly what you bidded for each clickthrough. For example, if you bid $0.10 on a keyword, you will pay $0.10 for each clickthrough, regardless of other advertiser bids. See "Auto Bidding" for further explanation. Impression: An ad view. One impression = one display of an ad. If an ad is displayed 1,000 times, that is considered to be 1,000 impressions. Keyword: A specific word or group of words (keyword phrase) that a Web searcher might type in when searching for the product or service that a Web site offers. For example, possible keywords for a site selling apples would be "apple," "red apple" and "green apple." Landing Page: The specific Web page that a potential customer ends up on (or lands on) after clicking on an ad. Minimum Bid: The lowest amount of money that a Pay Per Click Search Engine allows advertisers to bid for a certain keyword. This amount is usually $0.01, $0.05, $0.10, $0.20, or $0.50. Organic Search Results: Unpaid search engine listings. The opposite of paid search engine placments, or pay per click ads. Paid Inclusion: A service that guarantees (for a fee) that a Web site's pages will be indexed. The fee guarantees inclusion within the search engine's results (and also that the search engine will spider the pages often) for a set period of time, usually one year. Paid inclusion guarantees that a Web site will be included in search results, but does not guarantee top placement within the search results. Pay Per Click (PPC) Advertising: Pay Per Click (PPC) Advertising is a type of online advertising in which advertisers (i.e. you) pay for visitors on a Cost Per Click (CPC) basis. That is, advertisers only pay when a Web searcher actually clicks on a link and visits their Web site. PPC advertising is different than "traditional" online advertising, where advertisers pay according to how many times their ad is displayed. With Pay Per Click Adverting, an ad can be displayed many times, but the advertiser pays nothing unless a Web searcher actually clicks on the ad. Pay Per Click Search Engine (PPCSE): A type of search engine in which search results are determined by advertiser bids. Generally speaking, the advertiser that bids the highest amount on a specific keyword will show up as the No. 1 search result for that specific keyword. PPC Management: A service that helps pay per click advertisers manage their various PPC advertising campaigns across multiple PPC search engines. Return on Investment (ROI): The amount of money you receive in relation to the amount of money you spend. In terms of PPC advertising, the formula would be: (Revenue - Expenses) / Expenses. For example, if you spend a total of $100 on advertising and receive $150 in revenue from those advertising efforts, your ROI would be 50% --> ($150-$100)/$100 = $50/$100 = 50%. Search Engine Optimization: An entire field devoted to increasing a Web site's (or specific Web page's) placement within the organic search results of one or more search engines. Unique Visitor: A specific person who visits a specific Web site. Even if this person visits the Web site 12 times in one day, he/she is still considered only one unique visitor (not 12). Visitor: A person who clicks on an ad or search engine results and actually views a Web site.
· The Top Five Pay Per Click Search Engines 
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