PAY-PER-CLİCK
It is the money that companies that want to advertise on the internet pay each click to ad marketing companies or media marketing companies. The important thing here is the number of clicks on the links in the banners and emails. PPC, located in SEM systems, is a successful method of delivering advertising to the consumer.
PPC model, advertiser charged per user clicks is a paid model. In this type of advertising payments, the advertiser pays directly at the click rate. What is important in this ad model is that the website clicks on the given advertisements or has the potential to click, rather than the number of daily visitors. This model, which is widespread today, is very efficient for both advertisers and companies that offer advertising infrastructure.
How to Work ?
There are 3 main main factors in paid advertising: advertisers, advertising network or intermediaries (Google Ads, Facebook etc.) and publishers. advertisers target the users of the network by making certain targeting on the network they choose and pay these publishers. Costs may vary depending on determined bidding strategies. Among them, the most used ones are as follows;
CPC (Cost per Click)
Pay-per-click: A type of advertising where advertisers are costed for clicks, and that showing ads does not cost anything. In this type of bidding, which is particularly common on the Google search network, advertisers pay the publisher for each ad click that occurs. For example, showing an ad that appears after a query on the Google search engine does not cost the advertiser. Costing occurs only for users who see and click on this ad. CPC model is one of the most important advantages of PPC ads.
CPM (Cost per Mile)
Pay per mile: It is the advertising model where advertisers are costed by the impressions of their ads. It is one of the oldest types of bidding of internet advertising. In short, advertisers specify the amount their ads want to pay every 1000 impressions, and pricing proceeds through this system. So if you set 2TL for CPM, you will be costed 20TL for 10,000 impressions of your ads. Intermediaries do not guarantee you clicks on the advertisements you give with CPM model. Showing your ads is enough for the realization of the cost. 3.party is still used as a broadcast by publishers, although it is not highly recommended for ads you manage performance-oriented (MESTÇİ, 2013) .
CPA (Cost Per Action)
This is the type of offer that the advertisers pay for the actions determined by the advertisers. These actions may be a sale, a lead generation, or different things that have been determined. In short, advertisers in the type of offer that can change according to their advertising targets only pay in line with the determined targets. For example, the advertiser may say to the publisher that I can give you 10 TL for every sale you make. The sale to the advertiser is costed as x 10 TL.
Resources:
MESTÇİ,A.,(2013) İnternette Reklamcılık.
İstanbul:Pusula Yayıncılık.pp97-100.