PPC Management Fees A Beginners Guide

PPC Management Fees A Beginners Guide

PPC Management Fees : A Beginner’s Guide


PPC management fees are a necessary good. When the firm you hire gets the job done, you’re not really spending anything. Instead, you’re just doubling down on an investment. This has led to the process of choosing a company that is right for search marketing a lot more complicated than it used to be. This as a result will lead to you having to choose which one of these is the most experienced in this area.


You will also want to make sure that you look at their level of integrity and the track record that speaks volumes for them. The last thing that you need to understand is the pricing model that is being implemented in the services that are being offered.


This as a result can lead to you really being confused as to what the actual fee structure that is presented to you. The first way to make sense of this is to know that this translates into one of three pricing models that are used. Flat-fee, percentage of spend and performance based.


The Bare Bones

Before we dive into PPC management fees, we should get down to the bare bones about PPC. The goal is when a person puts in your keywords or phrases, that your business will appear before your competitors. There is the off chance that they are willing to bid more and thus will appear before you on the search results. There are many businesses out there that are willing to pay more than what a lot of other businesses are willing or even able to.


If you have a surf shop and you are using a high ranked keyword that can earn you $10,000, you can expect to pay more than $10 for that keyword. There are many companies out there that are willing to pay much more than that to have the keyword and phrases. When setting up your budget, make sure that you are realistic as to what you are expecting.


How  To Save Some Serious Bucks

There is a way that you can save some serious cheddar regardless of the pricing model that you fall under. The biggest thing that you can do in helping you to save money is to make sure that you go out of your way to avoid some of the larger contracts that some companies will offer. If you have a shorter contract under a pricing model, it will be natural that the provider will work harder.


The other thing that you can do is make sure that you have insight as to what is being done with your PPC strategy. Avoid the firms that are not upfront with you as to how the results that you are getting are achieved. You will want to go with a firm that is open and welcoming to explain to you all that is involved in getting results and the services you are getting for your money.


You will also want to be careful agencies that are adamant about controlling the accounting. In other words, if the agency takes an overall budget from you, and claims to be subtracting your PPC management fees from that budget, you’ll want to ensure that they also send you billing reports.


Percentage Of Spend

Percentage of spend fee structure is exactly as it sounds. Their charges will depend on how much money you put on the table. They will try to sell you that the more money you spend, the better the results will be.


If you are not looking to spend a lot of money, then they will keep a percentage of the money for them and your campaign will not get the level of attention that it should. Make sure that you know ahead of time the percentage that they keep as their fee and what amount of the money you spend is actually going on the PPC.


Pay For Performance

A performance based fee structure has a good sound on the front, but the truth is when you decide to dig a little deeper and see what is actually being done. If the PPC firm is charging you based on the number of conversions that you have this can mean that you are having games played with your strategy. Many of these firms will go to great lengths to keep their strategy a secret to keep you from knowing exactly what is being done and why.


This comes down to one simple thing, they purchase the branded keywords and hope that your customer base is strong enough for the conversions. If possible, it is a good idea to not get into a long term contract as this will be a detriment to you down the road.


Flat Fee

The last thing is flat fee, This is the fee structure that many of the more reputable. This is a more fair fee structure and one that is more fair to the average customer. The customer will not be placed into a high pressure situation to feel that they have to spend more to just break even.


As you are able to see, there are a load of things that need to be considered when talking about PPC management fees. It is not a tough subject for you to understand, it is just one that you need to make sure that you have all the information on. Someone that goes in unprepared, will discover that they are not prepared for dealing with the subject in full.


It’s your money and your business, make sure that you are getting the best deal for your value.
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