There are multiple bidding options and strategies out there in the market. All with their respective ups and downs. Of course, it comes to you to evaluate which one is most suited to your business strategy, but we certainly can help you make that choice!
In today’s market, no one wants to wait for months or years to see results. People want to start winning now. Well CPC came to solve that issue! As it can provide instant results and it’s easily scalable it guides you towards big results in the short, medium, and long term.
CPC main benefits
We can start by saying that CPC strategies cost is normally way lower than any other bidding strategy.
Let’s look at it this way: Instead of paying a website where you get about 3% or 4% CR you are using CPC strategies that get you mutch better traffic sources and better results in general. CPC also increases the likelihood of conversions. For example: if you bid on the keyword “hardcore”. Then people who search that specific keyword are more likely to convert than who clicks your banner on a website.
People often do a head to head between CPC and CPM. We are not going to say you which is better, it depends. On your objective and you’re strategy. The one thing that we can say is that as you are paying for the click, using CPC, it is way more likely that you get better conversions.
Think like this if people click on your ad they saw anything that they liked. There is only a small step until the conversion is done.
On the other hand, by using CPM. As you are driving more traffic towards your ads, you have no guarantees. No one ensures that even one of the people that you drive towards your ad is going to click it.
Which CPC strategy should you chose
As you already saw the benefits of the CPC strategies is time to show you how you can make money using that bidding type. There are two different approaches that we are going to expose to you. And depending on your strategy you can opt for one or the other.
Low CPC strategies: If you are on a budget maybe it’s not that bad that you opt for this strategy. These campaigns usually are much slower. On the other hand, your campaign runs way more efficiently as the money you spend per conversion is way lower than with a high CPC.
Making money with low CPC
As you already saw, low CPC is not that bad at all and the main way that it can make you money is increasing your results.
Let’s assume you have a 20€ budget. If you use Low CPC (1€ a click) for example, you will have 20 clicks in your ads. Low CPM is useful, especially for larger campaigns. If they do campaigns on high CPM is likely that their gains will be lower than their costs, as they spend too much money trying to advertise.
Note: Don’t go too low on CPC, if you do so your impressions will drop and you will be outbid by your competitors. Keep the CPC low enough to get its benefits without having the downsides of CPM strategies.
High CPM strategies: If you have a big budget you can for high CPC. Normally people don’t have big budgets so low CPM becomes the clear option. But you already saw where it can make you money.
There is a big misunderstanding around high CPM, everyone tells you to avoid it but let u show you where high CPC can be useful.
Making money with high CPM
The main ways that you can make money with high CPM is though outbidding your competitors. As the majority of advertisers are on low CPM strategies, if you are paying more for an ad spot most likely you will get it. Not any ad spot the top priority ad spots, the ones placed at high traffic zones.
Another huge benefit form High CPM is the pace of the results. On the flip side of low CPM, higher CPM runs much faster as you are placed at top priority. This priority position makes it possible for your ad to get a good amount of impressions early on.
Conclusion
As you already saw how low and high CPM strategies can make you money, remember that a big part of the business is down to your ad. Make sure you optimize it, doesn’t matter if it is a banner ad or video ad, what matters is the quality.
High-quality ads fused with a high-quality strategy will be the success of your campaigns!
