Pay per Click (PPC) is a form of marketing that refers to the way charges are made for a paid advert on a search engine as opposed to organic leads created through SEO as discussed previously.
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Each time a potential customer clicks on an advert a charge is made to the advertiser, regardless of whether there is a resultant transaction. Therefore if you see a paid advert, or sponsored advert on facebook, and you click on it, the business is charged. This is why PPC advertising is targeted only to those who have already organically searched, to prevent false clicking.
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It is estimated only 2% of first time visitors to a website follow through with a purchase, therefore by retargeting them through PPC you can increase this, as up to 50% of those who see the ad afterwards will click through and purchase. An example is how after you perform a search for a pair of runners your feed is filled with those runners or similar as the search engines have now added this to your feed.