Since pay per click marketing has been known to the online world, it has become an attractive tool for business owners to advertise their products, and for those who want to make money from their websites.

But what does it mean to engage into pay per click marketing, and how did it came into being?

A man named Jeff Brewer introduced the concept of pay per click advertising in 1998. He was the one who founded Goto.com that started to implement the pay per click concept, but it was not yet known as pay per click marketing then. Years later, it was renamed Overture and in 2003, Overture was acquired by Yahoo! to make it their advertising tool which is known today as Yahoo! search marketing.

After the introduction of the pay per click concept in 1998, it was years later that Google made its own program adopting the concept. It was in 2000 that the Google Adwords came out. It was the company’s marketing tool using the pay per click system. However, it started with payment through impressions. The full adoption of the whole pay per click concept was only in 2002.

So what is pay per click and what does it mean to engage into it?

Pay per click marketing, popularly referred to as PPC, is an online advertising tool that allows businesses to promote and introduce their products online through ads, texts and banners. Like advertising in newspapers or television where you are given ad spaces and airtime for your ads, pay per click marketing allows you to post in ad spots in websites or in search engines.

However, the internet has millions of users online and with this complexity, it is sometimes difficult to determine the impact of the ad to your business. In pay per click, advertising does not simply mean posting your ad on a certain website. It works farther to make sure that the ad is getting the attention of potential customers, thus pay per click marketing only involves cost when an interested online reader clicks on the ad.

Unlike the usual forms of advertising where you pay for the size of the ad or the duration of your TV commercial, regardless if anyone is interested or anyone has heard your ad on the radio, pay per click does not require cost by just placing your ad on websites and search engines. Your cost will be proportional only to the number of individuals interested in your business, as you will have to pay only if your ad is clicked.