What type of business will PPC benefit and what is the conversion cost.

What types of businesses does it benefit?
Just about any business website that needs visitors who are interested in the product or service can benefit from pay per click (PPC) advertising.

Or to look at it another way: if you think visitors will use a search engine to find you then there is a good chance that PPC will work for you. A more important questions is: how much will it cost and will it be cost effective?

First you need to learn about Conversion Rate and why it is so important
In web page terms the conversion rate relates to how likely the visitors on the site are to buy or enquire. This is expressed as a percentage. So in simple terms if there are 100 visitors on the website and 1 of them buys a product the conversion rate would be 1%.

The next part of conversion rate is conversion cost. This is the cost for the advertising you need to pay to get a sale or lead.

OK, so how much does it cost to get a sale or lead with PPC?
From my experience of working with pay per click advertising over the past few years a rough guide to sales conversion cost would be:

• Holiday website £20 to £35 per enquiry
• Manufacturing £5 to £20 per enquiry
• Leisure websites £3 to £15 per enquiry
• Ecommerce website £3 to £20 per sale
• Ecommerce website expensive items £20 to £70 per sale
• Sales products (non ecommerce website) £10 to £25 per enquiry
  

The above are just a rough guide and should not be taken as actual figures. They are also based on optimised PPC campaigns that are working effectively and may be different from non optimised campaigns.