How Pay-Per-Click Advertising Works

Pay-per-click advertising isn’t like traditional display advertising. PPC advertising doesn’t buy discrete space on a given web page, nor does it allow for graphics-intensive advertisements. Instead, it’s all about getting a text ad onto a specific search results page.

Purchasing Keywords

A PPC advertiser purchases a particular keyword or phrase from the AdWords ad network. More precisely, the advertiser purchases ad space that appears on Google’s search results pages and other websites that relate to the keywords in question. The advertiser’s text ad is linked to that keyword in two different ways.

First, when a user enters a query on Google’s search site, the advertiser’s ad is displayed on ...

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