The Economics of Online Marketing

Warning: Don’t Drive PPC Campaigns by Averages

While averages are useful to describe portfolio economics overall, they’re not helpful for the actual management of your online pay-per-click (PPC) search efforts. Averages apply to populations, not individuals.

Your actual SPC estimates will vary widely across your keyword portfolio. Different terms will have different SPC measures. And when you delve into it, you’ll find these term-level SPCs will vary with the ad copy, destination URL, season, day of week and time of day.