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One of the biggest mistakes that new business entrants make in the pay per click market is impatience. They build a site, then, often with the aid of a free $50 or more Adwords offer, start a pay per click campaign. Unfortunately, pay per click does not run like a normal newspaper classified ads. Each of the search engine pay per click markets publish ads based on a score given to each ad – Google, for example, calls theirs a quality score.

Some of the factors that go into a quality score include click through rates, page quality, ad relevance, geographic terms, and landing page load times. Each search engine has their own secret formula for determining this quality score. The exact formula for them determining an ad’s placement is not known, but it could be as simple as your bid value times your quality score.

With that formula in mind, you can see that a high quality score can outrank another ad, even though the bid price is lower.  There are other benefits to a high quality score including:

  • more clicks for the same budget
  • higher placement leading to a higher click through rate
  • lower costs for better quality keywords
  • better conversions

The last comes, not so much because of your quality score, but because of the work put into your site to gain that quality score. For example, creating a better, faster and more relevant landing page should lead to more conversions when compared to a click just landing on a home page.

For new business owners, it is far more prudent to wait a little longer, to develop a top quality landing page, and to then use any free offers to test out a small range of keywords. If they attract clicks and conversions, you will be on the road to earning an income which you can then use to extend your campaign. Use the approach I outlined in the first paragraph, and you will find your free offer gone with little or no conversions and probably a bad taste in the mouth over pay per click.

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