The Benefits of a High CPC

PPC is a market based solely upon strategies. There are so many strategies you can use in your PPC campaign that can benefit your results. What target market should you aim at? What keywords should you use? What type of advert should you use? What should your text advert say? All of these are questions you will need to answer when creating your PPC campaign. One question that seems to have a non-negotiable answer is, ‘What’s the highest CPC should I bid for?’ The fact is that there are multiple answers to this question being high, low and average: alongside competition. This article will go through the benefits a high CPC can have on your campaign. 
Most advertisers are put off with bidding a high CPC for the most obvious reason. A high CPC means that each click will cost you more. Therefore:

• The cost of your campaign will increase.
• If on a budget, you will gain less results from the same amount of clicks.

The problem is that people don’t know that a high CPC in many cases can benefit your campaign more than a lower CPC. As I have already said, PPC is a market based solely upon strategies. Here is a prime example of a strategy you can implement while choosing your CPC.
 
A high CPC basically evolves around the idea of bidding for ad spots on websites with Adsense adverts enabled. This ad space is put on an ‘imaginary’ auction where advertisers that are related to the keywords on the page of the advert bids. The advertiser that is prepared to pay the most for the advertising zone wins the ‘imaginary’ auction and get’s his advert displayed on the website. Therefore, the first benefit of having a high CPC is that you will be able to outbid your competitors. If you want to competitively beat your advertisers for ad zones that gain audiences with better conversion rates, you can do this by raising your CPC. You will have priority of ad zones in you and your competitor’s market.
 
A high CPC also has the positive of getting instant results. I have said many times in articles beforehand that one of the reasons people use PPC instead of more conventional forms of advertisement is because PPC gives you instant results. After making a campaign that took 5 minutes to create, you will have the ability for your campaign to go live and start getting results. This is only one part of getting ‘instant results’ in PPC:

• Creating a campaign in 5 minutes getting it live to start bringing in traffic to your landing page doesn’t guarantee instant results because you may have such a low CPC that you may never outbid any advertisers to gain an advertising spot on a website.
• To achieve instant results with a new campaign, you will need a high CPC to, like I have said, gain priority. This will help you get early ad impressions on your adverts.

There you have it. Above are two benefits to having a higher CPC. The reason people look to never having a high CPC is mainly for financial reasons. From this, it is clear that the benefits above only apply to those where the finance of their campaign isn’t priority. However, due to the fact that we are in or just coming out of a recession where there have been cut backs in all types of businesses, I’m sure there are not many advertisers where they haven’t got their finance and budgets as priority…