How Advertisers Pay on the Google Display Network

The Google Display Network is a powerful platform for reaching a large audience with your ads. But how do you know how much you’ll pay for those impressions?

In this article, we’ll take a look at the different ways that advertisers can pay on the Display Network, and how to choose the right payment method for your campaign.

Cost-per-click (CPC)

CPC is the most common way to pay for ads on the Display Network. With CPC bidding, you set a maximum amount that you’re willing to pay each time someone clicks on your ad.

CPC is a good option if you’re looking to drive traffic to your website or landing page. However, it’s important to note that you only pay when someone clicks on your ad, so you could end up spending a lot of money if your ads aren’t very effective.

Cost-per-thousand impressions (CPM)

CPM is another popular way to pay for ads on the Display Network. With CPM bidding, you set a maximum amount that you’re willing to pay each time your ad is shown 1,000 times (also known as a “mille”).

CPM is a good option if you’re looking to raise brand awareness or generate leads. However, it’s important to note that you pay even if someone doesn’t click on your ad, so you could end up spending a lot of money if your ads aren’t very engaging.

Cost-per-acquisition (CPA)

CPA bidding is a newer way to pay for ads on the Display Network. With CPA bidding, you set a maximum amount that you’re willing to pay each time someone takes a desired action on your website, such as making a purchase or signing up for your email list.

CPA bidding is a good option if you’re looking to track the effectiveness of your ads and make sure that you’re only paying for results. However, it’s important to note that CPA bidding can be more complex than CPC or CPM bidding, and you may need to do some testing to find the right CPA bid for your campaign.

Which payment method is right for you?

The best payment method for you will depend on your goals and budget. If you’re looking to drive traffic to your website, CPC bidding is a good option. If you’re looking to raise brand awareness or generate leads, CPM bidding is a good option. And if you’re looking to track the effectiveness of your ads and make sure that you’re only paying for results, CPA bidding is a good option.

How to choose the right bid amount

Once you’ve chosen a payment method, you need to decide how much to bid. The amount you bid will affect how often your ads are shown, and how high up they appear in the search results.

If you’re not sure how much to bid, you can use Google’s Display Network Planner to get some estimates. The Planner will take into account your budget, your target audience, and your desired ad position, and give you a range of recommended bids.

Conclusion

The Google Display Network is a powerful platform for reaching a large audience with your ads. By choosing the right payment method and bid amount, you can ensure that you’re getting the most out of your Display Network campaigns.