Paid advertising is an online advertising model that allows advertisers to participate in real-time auctions and display ads in slots on specific platforms or networks. Sometimes referred to as bidding media or PPC advertising. PPC stands for Pay Per Click Ads and usually pays every time someone clicks on an ad.
Many well-known platforms monetize the data collected through paid advertising. From established Google and Bing, disruptive Facebook and LinkedIn, to beginners like Tik Tok, you have a wide range of choices. Recognizing that these platforms can make a lot of money from biddable media, they have increased advertising space in recent years.
Most platforms that offer paid advertising services use algorithms to conduct real-time auctions. The algorithm determines which ads will be placed in the available online slots. Criteria are often a combination of bid size and ad quality but can vary depending on the platform you use. However, platforms do not always make standards transparent. There are also various other variables to consider.
According to revlocal.com, paid advertising is worth the time, money and effort for the revenue it can generate for your business. PPC visitors (visitors who click your pay-per-click ads) are 50% more likely to purchase something than an organic visitor and search ads can increase brand awareness by 80%.
Another big advantage of paid advertising is its high scalability. This means that there is no limit to the number of people and customers you can reach with paid ads. The higher your budget, the more people you can reach. Last but not least, most paid advertising platforms provide in-depth analysis that you can use to measure the performance of your campaign. You can see how many ads have arrived, how much you have spent, conversion rates, and more.
Before you start spending on paid advertising, it's important to consider a few factors. The first thing to consider is your budget. Paid ads can be expensive if you don't know what you're doing. If you are a business or website owner with a significant advertising budget, there are some free advertising options that you should check first before considering paid advertising. The next thing to consider is the return on investment (ROI), many customers and revenue from paid ads may still be getting a negative ROI. So, make sure you get a positive ROI from paid ads.
Nowadays, which platforms do you think have the best effect for paid ads, Smart People? And have you been attracted to or even bought items from some brands because you saw their paid ads on some platforms?
Author: Mia Patricia | Ilustrator: Rizky Sabilurrasyid
