How does Pay Per Click work?

Pay per Click advertisements are triggered by keywords that the advertiser has defined. An advertisement is displayed. when a visitor types in a search with the keywords selected by the advertiser. Generally selected keywords must be related to the service or product the market brand or sector. PPC advertising also allows you to display your advertising only to people who are really interested due to a careful selection of keywords which trigger your advertisment. This is because the searcher is looking for those services in the search engine.
You pay only when a customer clicks on your advertisement thereby eliminating the fixed costs of a publication in which it is unknown if there is a return in terms of visibility, brand recognition or in terms of business conducted.

If you advertise in a newspaper do you know how many people will see your advertisement?
The answer is probably no, not the exact number, just an estimated number of readers, but it just an estimation.
With PPC you know the exact number of impressions (at no cost to you).

Do you know how many people have seen your advertisement before calling you?
Again, there may be a certain number, perhaps a few who can say exactly when and where they have seen your advertisement.
With PPC you know exactly where the contact came from, if they have purchased something, if they have completed an enquiry form, and which advertisement had caught their attention.

How do you calculate the return on investment (ROI) from your newspaper campaign if you do not know the number of sales accumulated?
With a PPC campaign you know which income came from which advertisement, so you can calculate important parameters like the cost per contact, cost per conversion plus existing and estimated future ROI.

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