Pay Per Click or PPC is among the most popular of all web-marketing tools. It is nothing but a small two or three line text advertisement which contains keywords and phrases. These small advertisements are usually found on the right side of search pages on leading search engines. Quite often one or two links are also highlighted on search pages. These links are termed ‘sponsored links’ and can be seen in leading search engines such as Google, MSN Live and Yahoo. These sponsored links are nothing but PPC advertisements.
The three entities involved in PPC advertising are the visitor, the host that carries the advertisement and the advertiser, who has advertised a product or service on the host website, usually a leading search engine. In this form of advertising, advertisers have to bid on keywords and phrases. Whenever someone searches a product or service using certain keywords, the search result page will feature those advertisements which contain the keywords using which the visitor actually searched in the first place.