PPC Stats and Marketing Trends for 2019 [Infographic]

Digital marketing is ever-evolving, and marketers now have access to a library of techniques and strategies to stand out online. One of the earliest forms of online marketing is PPC or pay-per-click. Although it is one of the more traditional forms of online marketing, it remains a dominant force as evident by the current PPC stats.

PPC is basically a model of internet marketing in which advertisers pay a company a set amount of fee for every time one of their ads is clicked on. To this date, PPC is widely used. To gauge its importance in digital marketing, here are some statistics that every marketer should take note of.

PPC Stats - infographic

General Stats and Facts 2018-2019

  • Each advertiser has a monthly budget for PPC, which ranges from $50 to $500,000 per month, depending on the industry and company.
  • How much is pay per click?  Across all industries, the average cost per click is $2.69.
  • Companies can get up to $2 for every $1 spent on PPC.
  • Google Ads is the largest platform on the market as it has a network of over 2 million websites and applications.
  • 4 out of 10 marketers are hoping to increase their budget for PPC in the coming years.
  • 72% of marketers are spending more on social ads, whereas 60% are spending more on mobile ads.
  • 40% of the clicks made on Google’s search results are focused on the top three ads on the first page.
  • PPC stats reveal that people are 52% more likely to click on an ad if it is on the top page of Google’s results page.
  • Businesses can increase their brand awareness by up to 80% using search ads.
  • When browsing online, 90% of consumers have the tendency to trust companies with good reviews.

Google Adwords Industry Benchmarks 2018-2019

PPC is being used across various industries online as one of the most cost-effective marketing tools. And there are already some benchmarks being used by companies that have set a standard to expect when employing the pay-per-click marketing technique.

 

1. The Average Cost Per Click

Google AdWords still remains as the top platform for pay-per-click. The average cost per click by industry on the search network is $2.69. The industry with the highest cost per click is the legal industry, while the lowest is in the dating industry.

Source: Valve And Meter

 

2. Average Conversion Rates

On Google AdWords’ search network, the average conversion rate across all industries is 3.75%. The highest conversion rate is from the dating industry with over 9%, while the lowest is from the advocacy industry at 1.96%, according to the Google adwords statistics.

Source: Valve And Meter

 

3. Average Cost Per Action

Cost per action is the amount it takes for any action made through Google AdWords. The average across all industries on Google is $48.96. The highest goes to the technology industry, which is tagged at over $133, while the lowest is at the auto industry at $33.52.

Source: Valve And Meter

 

4. Average Click-Through Rate

AdWords statistics suggest that the average click-through rate in all industries last year is 3.17% on the search network.  The industry with the highest click-through is the dating industry, while the one with the lowest is the legal industry.

Source: Valve And Meter

PPC ROI Stats

From the get-go, one of the goals of PPC is to give the company that uses it some profit in return. PPC isn’t a free service, however, so investments come into play. One of the statistics that people immediately look for is the return of investment or ROI. Just how effective is PPC? Let’s take a look at the numbers.

 

5. Businesses Can Get Half Of Their Investments Back

Google AdWords is a very efficient and effective platform for PPC. It is also among the most measurable online channels, making it easy for companies or organizations to track if their campaign is making any progress. But the question remains, how much do PPC ads pay?

According to statistics, every $1 spent on the platform results in an average revenue of $2. Because of this, ad spending is increasing. According to data from 2018, 72% of marketers are spending more on social ads and 60% are spending more on mobile ads.

Source: Valve And Meter

 

6. Companies Are Allocating More Budget On PPC

40% of brands want to increase their budget for PPC advertising. The primary reason for this is that PPC is becoming a lucrative tool for marketers.

Source: Valve And Meter

Google Ads PPC Statistics

Google aids in generating PPC leads through a marketing platform called Google Ads. This useful platform has been used by bloggers, website owners and companies alike when it comes to PPC marketing. Here are some of the facts and numbers that show Google Ad’s performance.

 

7. Google Ads Reaches Out To Millions

As one of the top marketing platforms online, Google Ads has a network of over 2 million websites and applications, the most of any other marketing platform. Not only that, roughly 36% of mobile searches are local and performed using Google, while 74.5% of computer searches are made on Google.

Source: Google Ads

 

8. ROI Of Small Businesses

Startup businesses can earn at least a PPC ROI average of $3 in revenue for every $1.60 spent on Google AdWords. The same rate applies to average-sized businesses.

Source: Power Traffick

 

9. PPC Links On Google’s Search Engine

People who land on websites through a PPC link on Google’s search engine results page (SERP) are 0.5 times more likely to purchase off of the page as compared to those who get to it via organic results. At the same time, 40% of clicks made on Google’s SERP are distributed to the top three ads. Of course, content plays a huge role here. People are also 52% more likely to click on a paid advertisement at the top of Google’s search results. 

Source: Disruptive Advertising

 

10. Google Adwords Gaining More Volume

Companies are also looking out for Google Adwords effectiveness statistics to see if it will be a good technique for them to use. The good news is that the trends search volume has gained 39%, meaning people usually search for related keywords of a company’s services or products.

Source: Power Traffick

 

11. Google Ads And Brand Awareness

Search ads can reportedly increase brand awareness by at least 80%. This means consumers are more likely to remember a brand and interact with it if they came across it via search ads.

Source: Valve And Meter

PPC and Local Search Ads

Consumers are now more akin to using local search than ever. Local search allows them to easily locate any establishment online and get details from it. The local search and PPC stats below show the correlation between the two ads.

 

12. Mobile Users Are Always Actively Searching

Smartphone users are the primary target of most marketing campaigns as they are the most accessible. Infact, 82% of smartphone users use their device to find details on businesses within their local area. Of all the searches, at least 30% of searches on a specific location result in a purchase from that establishment.

Even when they are inside the store, advertising statistics 2016 suggest that more than 40% use their smartphones to do more research.

Source: Valve And Meter

 

13. Almost Half Of In-Store Purchases Start With Searches

People are now more akin to getting information from search engines before making a purchase. 40% of in-store purchases start with online interactions. So companies should increase their presence online.

Source: Valve And Meter

 

14. Consumers Spend More Money After An Online Interaction

People who get information off of a business’ products and services online are more likely to spend 10% more in that store, compared to those who didn’t have an online experience with it first.

Source: Valve And Meter

 

15. Online Information Leads To Conversion

Local search and PPC statistics also show that people who actively search for business online are more likely to visit that establishment within the day. In total, 76% of people visit the place on the same day they searched for it on a search engine. 70% of mobile searches are also likely to call a business through a link from the results.

Source: Valve And Meter

PPC and Conversion

One goal of PPC is to get the attention of a consumer on the brand that is being displayed on the banner. The other goal is to convert that consumer into becoming a customer. Pay per click statistics show that the strategy is indeed effective when it comes to conversion rates. Here are just some of the numbers that companies should know.

 

16. Consumers Trust Online Reviews

PPC can lead consumers to an array of crucial content, including addresses, products and services lists, and most importantly, reviews. According to PPC statistics, 90% of consumers say they trust online reviews. So companies should strive to get reviews from their customers as much as possible as it could help them raise conversion by a substantial amount.

Source: Valve And Meter

 

17. Consumer Trust The Top Results

The first page of Google’s result page must be the goal of all brands. Ideally, they must be at the top of the page as more than 95% of clicks go to the top four search results. Consumers will trust those companies at the top of the list as they will feel that it is more credible than others.

Source: Valve And Meter

 

18. Retailers And Cross-Device Attribution

Retailers will need to make use of the pay per click leads and all other possible techniques to get high conversion rates. That being said, they need to do cross-device attribution as it can increase conversions by 16%. Cross-device attribution is the data that shows when customers interact with multiple ads on multiple devices.

Source: Google Ads

PPC Trends for 2019

With another year ahead of us, marketers are beginning to take up new techniques and strategies when it comes to PPC. These new trends will become the benchmark for the year ahead, and it will be exciting to see what’s next for PPC and digital marketing in general. Here are the next trends that marketers should watch out for.

 

19. Industries That Spend On PPC The Most

Google AdWords statistics 2018 suggest that the industries that spent the most on PPC include travel, retail, publishing, and education, while the least that spent on PPC are home improvement, consumables, and automotives. This trend is expected to continue well into 2019 and onwards.

Source: Valve And Meter

 

20. Top PPC Channels

There are many top pay per click advertising channels out there, but the commonly used ones are text ads, remarketing, and mobile. For the years ahead, it is expected that mobile will continue to rise to the top as more consumers focus their attention on mobile platforms for e-commerce.

Source: Valve And Meter

 

21. More Budget For PPC

Using it as a marketing strategy provides great PPC results, and more and more marketers are eager to join the bandwagon. 4 out of 10 marketers are hoping to increase their PPC budget for the next year. That means the industry will grow even more competitive.

Source: Valve And Meter

 

22. Next Frontier In Digital Marketing

Many marketers also believe that the next frontier in digital marketing is artificial intelligence. It was already an important player in 2018 and remains one of the top digital markeitng trends for 2019. 80% of respondents in a survey believe that this will be the case in digital marketing.

Source: Valve And Meter

Comparing SEO vs PPC statistics will be a key in showing marketers which strategy is right for them. As these PPC stats show, PPC can still hold its own when it comes to profit-making. Companies should still take full advantage of it as it is a service that could get them more earnings beyond their establishment. Still, you should also know the ins and outs of how SEO works and try to make the most out of the both worlds.

 

Sources:

Google Ads

Power Traffick

Disruptive Advertising

Valve And Meter

Google Ads

Hochman Consultants