Pay Per Click and Pay Per Performance

    Do you want to know how you can create a website that really pays? In Chapter 6: Pay per Click & Pay for Performance, you will be given important information on how many successful webmasters cash in on the number of hits that are made on their site. Learn about the strategies and tools that make websites as profitable as they can be..

  • Pay per Click & Pay for Performance
    • Pay Per Click Models
    • What are Pay Per Click Campaigns
    • Setting up a PPC Campaign (Keyword Selection, Bidding Strategies, Advertising Text, Developing proper landing pages, Tracking)
    • Major PPC Search Engines (Google AdWords, Overture PPC Ads, Other PPC Advertising Resources, SEO & PPC Tools for Google, SEO & ROI)
    • Pay Per Performance (What is Pay Per Performance, Pay For Performance Options)
    • Paid Submissions (Paid Search Engines and Directories)

Pay Per Performance


 What is Pay Per Performance

    Pay Per Performance is another advertising model in which the advertiser pays the search engine depending on the activities done by website visitors upon landing on their site. Unlike Pay Per Click, you don’t have to pay the search engine if there were no activities done on the site.

    What activities are being talked about here? You, as the Pay Per Performance advertiser, will have to define those parameters. For example, you will only be paying Yahoo or MSN if a visitor comes across your sponsored link and signs up for a newsletter, downloads a file, or makes a specific type of transaction.

    Pay Per Performance may be a smarter option as compared to PPC in so many ways. In this way, you will be able to determine what aspects of your site are strong points for consideration. And along with this, you are paying the search engine because you were certain an event was accomplished on your site.

    In PPC campaigns, there has been a debate on the possibility of committing click fraud, in which people are told to click on advertiser or sponsored links several times, to generate funds for the search engine or the PPC campaign services provider.

    In the case of Pay Per Performance advertising, you can say that click fraud is not a big problem here. You will pay for actual events that happened on your site that are beneficial to you. Unlike for PPC, a click may have been done, but no transaction has occurred. You still had to pay for that click.

Pay Per Performance Options

    Google presents Pay Per Performance options as part of their AdWords realm of services. They term this as Pay Per Action campaigns.

    Google’s Pay Per Action feature allows you to set up what aspects of your site you want to focus your campaign on. You determine what actions you want to pay for, and you can base this cost on a daily budget that you will also set yourself.

    In your AdWords account, you will need to define your actions, which can be found under Conversion Tracking and PPA. After you define those actions, such as newsletter sign-ups, purchases, comments, and others, you will set your price.

    Google suggests that once you have started on your Pay Per Action (PPA) campaign, you should track and monitor the progress of your advertising activities. Again, Google provides those tools and services for their website owners.

    For Yahoo, they also provide Pay Per Performance options through Overture. For Overture, their program is called Pay For Performance, and they are affiliated with search engines like AltaVista and AlltheWeb to display their sponsored links.