As this system grows, prices continue to rise amid intense competition. Many advertisers prefer to expand their campaigns, including adding search engines and adding more keywords. The more an advertiser is willing to pay for a click, the higher the ad will rank, leading to higher traffic. PPC comes at a cost. A higher ranking might cost $5 for a given keyword, while the third position costs $4.50. The third advertiser earns 10% less than the top advertiser while receiving 50% less traffic.
Investors must consider ROI when engaging in PPC campaigns. Purchasing traffic through PPC will result in a positive ROI when the total cost per click for a single conversion is lower than the profit margin. In this way, the amount spent on generating revenue will be lower than the actual revenue generated.
There are many reasons why advertisers choose SEM strategies. First, it is simple to create an SEM account and traffic can be quickly established depending on the level of competition. Shoppers who use search engines to find information tend to trust and follow the links displayed in the results page. However, a large number of online sellers do not buy SEO in order to obtain higher search result rankings, but prefer paid links. More and more online publishers allow search engines such as shandong mobile phone number list Google to crawl their web page content and place relevant ads on it. From the perspective of online sellers, this is an extension of payment settlement and an additional incentive to invest in paid advertising projects. Therefore, for advertisers with limited budgets, it is almost impossible to maintain the top rankings in the increasingly competitive search market.