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About Business Basics
Business Basics are AI-generated explanations prepared with access to the complete collection, human-reviewed prior to publication. Short and simple, covering business fundamentals.
Topics Covered
- PPC basics
- Keyword bidding & auctions
- Ad rank factors
- PPC targeting & measurement
- PPC challenges & optimisation
- Automation in PPC
- Ongoing performance tracking
Talk Citation
(2025, October 30). Pay-per-click (PPC) advertising [Video file]. In The Business & Management Collection, Henry Stewart Talks. Retrieved October 30, 2025, from https://doi.org/10.69645/OTYP1550.Export Citation (RIS)
Publication History
- Published on October 30, 2025
Transcript
Please wait while the transcript is being prepared...
0:00
Pay-per-click or PPC is
a key form of online advertising
that lets businesses
display ads in response to
relevant keyword searches on
platforms like Google,
Bing or Yahoo.
Companies bid on keywords
their ideal customers might
use when searching for
related products or services.
When a user clicks an ad,
the business pays a fee
to the search engine.
PPC allows ads to appear at
the top of search results,
offering immediate
visible exposure and
quick targeted traffic compared
to waiting for organic rankings.
Each time someone
enters a search query,
an automated ad auction
determines which
ads will be shown,
in what order,
and if they appear at all.
Key factors include
the advertiser's bid,
the ad and landing page
quality and the relevance
to the searcher's intent
together forming the ad rank.
Search engines balance bids
with ad quality and relevance,
preventing businesses
from simply
buying their way to the top.
While terms or
platforms may differ
slightly between the United
Kingdom and United States,
the basic mechanics remain
consistent ensuring
relevant ads for users and
measurable visibility
for advertisers.
PPC advertising offers
immediate visibility,
measurable results,
and robust targeting.
You can track
impressions, clicks,
and conversions to
gauge ROI in real time.
PPC enables precise targeting
by keywords,
location, and device.
However, PPC
presents challenges.
Costs can rise quickly in
competitive markets
and advertisers
must continually
optimize keywords,
bids, and add copy.