Advertising Online - A Guide to Successful Market Penetration
Part Two: Search Engine Strategies
Deborah Kilpatrick - January 12, 2003

The Strategy - Search CPC Model

Most search engines use the CPC model, and price keywords based on their market value. Currently, the market is stating that generic keywords such as investment and insurance are highly valued and consequently more obscure, but targeted keywords are valued much lower. Another, more efficient system is categorizing the website and determining the market value of the industry the website falls into – and taking a step back from pricing keywords. The average price in the industry for CPC advertising, including categorization, is fragmented as the CPC can range from 1 cent to 2 dollars depending on the industry...