Posts Tagged ‘Pay Per Click’

The Google Adwords Ad Auction and Quality Score Explained

July 12, 2010

Who better to explain the Google Ad Auction and the Google Adwords Quality Score than Google’s Chief Economist, Hal Varian?

In this video, Varian explains the AdWords Ad Auction and how an advertisers max CPC bid and quality score determine how much is paid for a click on

In summary: Max CPC bid x Quality Score = Ad Rank.

Advertisers actual costs per click are calculated by dividing the next advertiser’s ad rank by the given advertiser’s quality score + $0.01.


Internet Marketing Degrees

April 7, 2009

For profit educational institutions like appear to be the first to offer degrees in the Internet Marketing field.

According to the Full Sail website:

The future of marketing is online, and successful web marketing requires a new set of skills, and a unique language of its own. The Internet has changed the way companies attract and keep customers, requiring fresh advertising strategy that utilizes e-mail, websites, and wireless media.


I can’t imagine any student landing a marketing related job after college who isn’t familiar with doesn’t basic internet marketing terms and concepts.

Full Sail touches on four of the basics – Search Engine Optimization, Social Media Marketing, Pay Per Click and Web Analytics –  on their landing page for attracting potential internet marketing students.

Any marketer student or otherwise will need to be able to speak “internet marketing” language if they hope to work in the field of marketing tomorrow or in the future.

Getting a degree in internet marketing would be one way a future marketer could convince prospective employers of their employment potential within the marketing field.

Internet Marketing Degree

Internet Marketing Degree

and Microsoft Wanted To Buy Yahoo’s Search Business…

November 13, 2008

I have recently had some issues with a client’s account in Microsoft’s adCenter.

When Microsoft first launched adCenter – their search advertising system, I signed up and called in for some reason and realized at the time “customer support” was being handled by a call center.

During my call, I asked the CSR if they were an employee of Microsoft and she replied she wasn’t.

I thought maybe they had outsourced customer support initially because they were just launching their service.

I hadn’t called them since.

Yesterday I called in to investigate why my client’s ads were not being displayed under search queries for their brand name.

After a series of questions about the account from the adCenter customer support representative, I told her all I did was load two new text ads – over a week ago.

The entire account hasn’t generated any impressions let alone clicks since.

I then heard some additional voices on my call at which point I asked “is this call being monitored?”

She said “all calls may be monitored.”

I then asked are you in a call center offsite? Yes.

Are you a Microsoft employee? No.

If you have some free time on your hands, call adCenter’s customer support telephone number to discuss the nuances of pay per click advertising with “Microsoft’s” “customer support” staff.

You might be glad Microsoft hasn’t bought Yahoo’s search marketing business.

Microsoft adCenter Customer Support Telephone Number

Microsoft adCenter Customer Support Telephone Number

Pay Per Click Friction

October 4, 2008

There are many tactics search engine advertisers can use by design to either induce searchers to click or not click on their ads until after the ad viewer has self qualified their interest in the advertisers’ message.

Placing an offer’s price in the ad is one tactic often discussed.

Placing a lower price than other visible or known offers can reduce pay per click ad friction with its audience and tends to increase an ads click through rate. However, placing low prices in a pay per click ad doesn’t necessarily translate into more qualified searchers or buyers nor will it translate into high transaction volume.

Another tactic not mentioned as often is placing high price points in the pay per click ad which increases click friction. High price points within pay per click ads purportedly dissuades dis-interested and the budget conscious from clicking through to view the advertiser’s offer.

Today, I came across the most extraordinary example of an advertiser’s use of premium pricing to qualify search traffic I ever recall ever seeing.

Pay Per Click Friction

Pay Per Click Friction

Theoretically, in this example placing their minimum annual fee requirements of $150,000 in the ad would create click friction and cause searchers unwilling to spend $150,000 a year to pass the ad over – thus sparing the advertiser unwanted clicks and costs from disinterested searchers.

However, by placing such a high barrier into their ad this particular advertiser will more than likely experience extremely low click through rates which in turn will create the ultimate form of pay per click advertising friction for instead – the advertiser… lower click through rates, lower ad quality score and ultimately an ad that requires higher bids just to be shown at all.

Will the above example prove to be a successful marketing strategy for the advertiser or will their ad’s premium pricing cause fewer clicks and lower click through rates – ultimately bringing their pay per click advertising campaign to a screeching halt?

Yahoo Search Marketing: Searching for the Smart Start Guide

September 2, 2008

I went to the Yahoo Search Marketing blog for refresher tips on how to optimize Yahoo search marketing pay per click accounts.

Their most recent blog post gave some general ideas on how to improve an ads quality index.

From the Yahoo Search Marketing blog:

“Improve your ad quality by grouping related keywords
If you group your keywords the right way (by themes, such as product or service type, or special offers) and achieve high quality, you could receive a better rank in search results and/or a lower bid.”

These tips along with many others come from Yahoo’s Smart Start Guide.

The Smart Start Guide according to Yahoo, “is a guidebook geared especially toward the beginning search marketer, but it also offers tips for the more advanced Yahoo! Search Marketing advertiser.”

The Yahoo Smart Start Guide chapters include:

  • Getting to know your Yahoo account
  • Building a foundation with strong keywords
  • Organizing ad groups for success
  • Writing effective Yahoo ads
  • Making sure your Yahoo ads are high quality
  • Matching keywords to your customers’ searches
  • Determining effective bids
  • Targeting your Yahoo ads geographically
  • Advertising on content sites other than
  • Tracking your Yahoo results

The Yahoo Search Marketing blog then provides a link to download a pdf version of the Smart Start Guide.

Unfortunately numerous attempts to download the Smart Start Guide to Yahoo’s pay per click advertising system, I ended up with an unreadable pdf document.



I don’t know why the pdf failed, but I don’t think the download error occurred on my end.

Hopefully the Yahoo Search Marketing blog team will receive news of this blog post ping and fix their Smart Start Guide pdf download.

Otherwise, I will have to keep searching for answers to my Yahoo pay per click advertising questions elsewhere.

Update: Jeff the Yahoo Search Marketing blog editor contacted me and suggested I use Adobe Acrobat to open their Smart Start Guide which I did – successfully.

Apparently, my Apple Reader has some compatibility issues with viewing that particular Yahoo pdf.

Thanks Jeff…