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Pay-per-click (PPC) advertising in e-commerce allows businesses to place ads on search engine results pages (SERPs) and other websites and only pay when users click on the ad. It can be a highly effective way for eCommerce businesses to increase sales by driving targeted traffic to their website.

Many companies, however, are still determining how much an e-commerce PPC campaign takes costs and whether it is worth the investment. This article will look at the factors influencing e-commerce PPC costs, provide an average eCommerce PPC cost, and discuss ways to reduce eCommerce PPC costs. We will also discuss why businesses should invest in eCommerce PPC ad campaigns.

What is E-commerce PPC?

Businesses that use e-commerce PPC advertising pay a fee each time one of their ads is clicked online. Companies can place advertisements on SERPs and other websites and only pay when users click on the ad. E-commerce businesses can increase sales using PPC to attract more traffic to their website.

Factors that Affect Ecommerce PPC Cost

Several factors can affect the cost of ecommerce PPC. These include the industry, keywords, ad quality, and targeting.

1. Industry: The cost of ecommerce PPC can vary depending on the industry. Some industries, such as legal services and insurance, have higher cost-per-click (CPC) rates than others, such as retail and education.
2. Keywords: The cost of ecommerce PPC will also vary depending on the specific keywords or phrases that businesses are bidding on. Highly competitive keywords will generally have higher CPC rates.
3. Ad Quality: The quality of the ad, as determined by the search engine, can also affect the cost of eCommerce PPC. Ads with high-quality scores may have lower CPC rates.
4. Targeting: The specific audience businesses are targeting with their eCommerce PPC ads can also affect the cost. Targeting an exact geographic location or demographic may increase the price.

Average Ecommerce PPC Cost

It isn’t easy to give an average eCommerce PPC cost because it varies so much depending on the above-mentioned factors. The average CPC for e-commerce companies, according to WordStream, is $1.26, but this can range from a few cents to more than $50 per click.

How to Lower Ecommerce PPC Costs?

There are several ways that businesses can lower the cost of their ecommerce PPC campaigns. These include using negative keywords, long-tail keywords, testing ad copy and landing pages, and using remarketing.

1. Use negative keywords: Adding negative keywords to an ecommerce PPC campaign can help to exclude irrelevant searches and lower costs.
2. Use long-tail keywords: Long-tail keywords, which are more specific and less competitive, can often have lower CPC rates.
3. Test ad copy and landing pages: Regularly testing and optimizing ad copy and landing pages can improve the quality score of an ad, leading to lower CPC rates.
4. Use remarketing: Remarketing allows businesses to show ads to users who have previously visited their website, which can be a cost-effective way to target potential customers.

Why Ecommerce PPC is Worth the Investment?

Despite the potential cost of ecommerce PPC, it can be a highly effective way for businesses to drive targeted traffic to their website and increase sales.

Here are a few reasons why ecommerce PPC is worth the investment:

1. Ecommerce PPC can drive highly targeted traffic to a website, which can lead to higher conversion rates.
2. It allows businesses to reach potential customers at the exact moment they are searching for a product or service. This means that businesses can target their ads to people who are actively interested in their products or services, increasing the chances of a successful sale.
3. Ecommerce PPC can be easily tracked and measured, allowing businesses to see a return on their investment. This means that businesses can see how many clicks their ads are receiving, how much they are spending on their campaigns, and how many sales or conversions they are getting as a result.
4. It can be a quick way to drive traffic and sales to a new ecommerce website. For businesses that are just starting out and trying to get traction, ecommerce PPC can be a fast and effective way to get people to visit their website and make a purchase.

End Up

Ecommerce PPC can be a valuable investment for businesses looking to drive targeted traffic to their website and increase sales. While the cost of ecommerce PPC will vary depending on a variety of factors, there are ways to lower the cost and make it more affordable. With the ability to track and measure results, businesses can see a return on their investment and determine whether ecommerce PPC is a worthwhile strategy for their business.

Related: How to Find Keywords for Amazon PPC