Pay Per Click Advertising on Search Engines

Pay Per Click Advertising preview
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Pay Per Click Advertising on Search Engines

When automotive internet started in 1995, the idea of Pay Per Click advertising on search engines had not even been born yet. Scott Banister came up with the idea in 1996 and Overture was the first company to implement it in 1998. Google Adwords was started in 2000 as a cost per thousand model and failed until it switch to pay per click. The pay per click model served dealers well over a variety of changes, and more refinements are sure to come. Some of the key lessons learned are 1) it doesn’t make much sense to pay competitive rates for search terms if you’re driving traffic to a website that’s not competitive. 2) Insist on complete transparency all the way down to the keyword level. It just doesn’t make since to spend 80% of your budget on the 20% of your inventory that already turns the fastest. You’ve got to know what your money is doing for you. 3) Base your decisions on the cost per lead or an alternative action. Cost per click is how you get charged, but it’s not how you decide what to buy. These are some historic lessons that were true 10 years ago, are true today, and will remain true 10 years from now.