With old-school advertising—radio, TV, newspapers—you can never be certain how many people see your ads and decide to take action. These campaigns also tend to be expensive—you’re paying for broad exposure, and there’s no way to pay only for the audience who engages with your content. That’s where pay-per-click (PPC) advertising shines.
You can make money from PPC ad campaigns by attracting potential customers at minimal costs. If you’re selling a product or service, PPC ads can help you reach an interested audience, and it only costs you when a lead actually clicks the ad. Here’s how to use a PPC advertising strategy to generate more revenue.
What is pay-per-click (PPC)?
Pay-per-click (PPC) is an online advertising model where advertisers pay a fee each time a user clicks on their ad. This category includes text-based, photo, or video ads. PPC ads appear on various platforms including search engine results pages, social media platforms, and websites. The ad content and format depend on your advertising platform and campaign goals.
Advertisers place bids by specifying a maximum fee per click. PPC advertising platforms use algorithms to compare bids and determine ad placement. How much you finally end up paying depends on how competitive the keyword is, the ad quality, and bid amount. Users see your ads when they search for one of the keywords you’ve bid on.
PPC advertising enables precise targeting by letting you bid on specific keywords, user behaviors, or audience interests. For instance, your athletic apparel brand could bid for the keyword “retro sweatbands” as well as tennis as a general interest group.
Platforms like Google Ads offer segmentation tools to further refine these ad groups. You can use them to target niche audiences using parameters like demographics and location to ensure that ads reach the most relevant users.
Elements of a successful PPC campaign
Building and managing a PCC ad campaign involves selecting an advertising platform, allocating ad spend, and developing a bidding strategy. Here are some of the essential elements of a strong campaign:
Clear goals
Set clear goals to help develop and deliver effective advertisements. PPC campaigns can have a variety of objectives, like increasing conversions, driving awareness, or generating leads. Each of these objectives requires different messaging and focus on a different target audience.
Robust keyword research
Identifying relevant keywords is a key element of successful PPC campaigns. PPC ad placement is based on keyword selection, so a strong keyword strategy ensures your ads reach the right audience.
Start by defining your target audience by mapping their interests, pain points, and search behaviors. Then, use keyword research tools to select keywords directly connecting potential customers to your product’s unique value proposition. For example, if you sell simple handmade leather wallets you might target the keywords “handmade wallet” and “minimalist wallet” to attract design-conscious customers.
PPC advertising platforms view ad relevance as a component of quality—ad content is ideally related to target keywords. If your chosen terms aren’t connected to your ad content, your ads are less likely to receive placement.
High-quality ad content
Create engaging ads that resonate with consumers and align with your campaign goals. Depending on the ad type, include a headline, tagline, call-to-action (CTA), and imagery. Focus on clear communication and showcasing your product’s appeal. Ensure images are sharp and the ad copy is free of errors. Consider creating multiple versions of your ad content and use A/B testing techniques to identify high-performing assets.
Optimized user pathway
Where do users go when they click your PPC ad? Choose a destination that supports your campaign goals. Common pathways include product pages, lead-capture forms, or dedicated landing pages.
A targeted landing page amplifies ad effectiveness by continuing the advertisement's narrative and guiding users toward a specific conversion goal. For example, if your ad is meant to drive sales, you could create a landing page with a purchase link and a call to action encouraging visitors to “Buy Now.”
Performance data
Monitor PPC ad campaign performance by tracking metrics like cost per click, click-through rate, and return on ad spend to optimize your ad spend.
Use your advertising platform’s analytics tools to identify high-performing keywords and ads. This data can help you decide if you need to adjust your keyword strategy or reallocate your budget to place more money behind top terms.
How to make money with PPC ads
- Product advertising
- Awareness campaigns
- Remarketing
- Lead generation
- Ad extensions
- Pay-per-click affiliate programs
PPC ads generate revenue when they successfully drive purchases. Here are some of the strategies you can use to start making money with PPC campaigns:
Product advertising
Brands can use PPC advertising to promote products and drive sales. Conversion-focused campaigns use clear CTAs like Shop Now or Add to Cart to encourage purchasing. Target keywords related to your product’s category or intended use. For example, a Bluetooth-enabled toaster company could bid on search terms like “smart toasters” or “how to brown bread.”
Awareness campaigns
Brand awareness campaigns can drive long-term growth by introducing products to new markets. These campaigns focus on creating memorable impressions through broad, engaging messages that spark curiosity. Awareness campaigns don’t always ask consumers to purchase right away. Instead, they may use CTAs like “Learn more” or “Sign up for the waitlist” to intrigue potential customers, and target keywords that encompass broad product categories or niche interests.
Remarketing
PPC remarketing, also known as retargeting, allows you to focus on converting users who’ve engaged with your website or products in the past. They’ve already shown interest—a well-placed ad can remind them to finish the job and make a purchase. Remarketing ads often show users products they’ve previously viewed or related items, and can increase conversions and reduce cart abandonment rates.
Lead generation
Build your potential customer base with a PPC lead-generation campaign. This strategy focuses on collecting user contact information and demographic data. Instead of immediately asking visitors to make a purchase, lead-gen campaigns often offer a discount or perk in exchange for specific actions like email sign-ups. The goal is to build your email list, which can help you generate more revenue over time.
Ad extensions
Increase paid search ad engagement through ad extensions. These additional content pieces appear below the paid search ad, expanding their real estate on search engine results pages. Extensions provide valuable supplementary details like product specifics, pricing, business locations, or contact information, turning your basic search ads into more informative, compelling marketing assets.
The more room your ad takes up, the less there is for competitor information. You can add ad extensions on Google (called assets) for free, though whether they're displayed depends on the algorithm.
Pay-per-click affiliate programs
PPC affiliate programs allow website owners to earn money by hosting ads. Affiliate marketers earn money each time a visitor clicks on an advertisement. Popular affiliate programs include Google AdSense and Skimlinks.
PPC affiliate marketing can be a good fit for bloggers and other content creators. For ecommerce businesses, displaying advertisements from other brands on your blog could distract customers from your own products. If you decide to join a PPC affiliate program, consider setting strict parameters to prevent low-quality or competing ads from appearing on your page.
Make money with pay-per-click FAQ
What are some of the platforms for PPC advertising?
The best PPC platform depends on your budget, target audience, and campaign goals. Popular platforms for search engine advertising include Google Ads and Microsoft Advertising (formerly Bing ads). Social media networks like Facebook/Meta, TikTok, and LinkedIn also support PPC advertising.
How do you set up a PPC campaign?
To set up a PPC campaign, start by defining your campaign goals and selecting an advertising platform. Use keyword and demographic research to create ads and inform your targeting strategy. Set your budget, choose a bidding strategy, and launch your ad campaign. After your ad is live, monitoring success can help you get the most out of your ad budget and refine your strategy.
Can you make money with pay-per-click?
Yes. Effective pay-per-click advertising can help your business make more money by driving website traffic and boosting sales. Solid targeting and retargeting strategies and smart budget management will increase your chances of success.