Which is Better Pay Per Click or Pay Per Lead?

Pay per click and pay per lead image

Why does Pay Per Lead (PPL) Outperform Pay Per Click (PPC) for Small Businesses?

If you’re invested in advertising, chances are you’ve come across the popular pay-per-click (PPC) model. This approach can be effective for large corporations, but for smaller companies, it may lead to wasted investments on non-relevant audiences who won’t convert into actual customers.

That’s why I strongly recommend considering a pay-per-lead (PPL) model for your advertising efforts, especially if you’re a trade professional, cleaner, or small business targeting a local audience through Google. Let’s look at why PPL might just be what your marketing strategy needs.

Audience Accuracy

In the world of PPC, you’re essentially casting a wide net and hoping that some of the clicks will convert into customers. Unfortunately, this approach often attracts clicks from users who may not be genuinely interested in your products or services. As a small business, your resources are valuable, and targeting the wrong audience can quickly deplete your advertising budget and attract the wrong clients.

PPL, on the other hand, allows you to reach potential customers who have already shown interest in your services. Since you only pay when someone expresses genuine interest and becomes a lead, you can rest assured that your investment is being directed towards real prospects.

Cost Effectiveness

If you have a limited marketing budget then cost is a major factor in your advertising. PPC campaigns can quickly become really expensive, especially if your ad attracts a lot of clicks without converting them into leads or customers. This can result in a high cost-per-acquisition, making it challenging to achieve a positive return on investment.

PPL, with its “pay only for results” approach, reduces this risk. Instead of paying for clicks, you pay for actual leads generated by your ads. This shift in model ensures that you maximise your budget’s impact.

More Real Conversions

The ultimate goal of any marketing effort is to convert potential customers into paying clients. When you target an audience that is genuinely interested in your offerings, you have a higher chance of them becoming customers. 

PPL lets you build more real connections with your audience, as your focus shifts from driving traffic to nurturing leads. The leads generated through PPL are more likely to convert because they have already shown an interest in your business, products, or services. This increased conversion rate translates into a higher ROI for your advertising efforts.

Google Ads

Google Services Ads has recognised the importance of PPL for small businesses and so has introduced this model to cater to their needs. With PPL, local businesses can now leverage Google’s extensive reach and user base while maintaining a cost-effective approach to their advertising efforts.

Check them out here.

So, if you’re a trade professional, cleaner, or any small business looking to make a mark in your local market, consider shifting to the pay-per-lead model.

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