Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16 7

Print ISSN: 2233-4165 / Online ISSN: 2233-5382

doi:http://dx.doi.org/10.13106/ijidb.2017.vol8.no6.7.

Pay Per Click Marketing Strategies: A Review of Empirical Evidence

Ravneet Singh Bhandari*

Received: August 27, 2017. Revised: October 26, 2017. Accepted: November 15, 2017.

Abstract
Purpose - Today’s world revolves around search engines which are the driving force behind any marketer. The thirst for
marketing has led to the evolution of online ‘Pay per click’ over last few years and is the most widely used instrument.
Research design, data, and methodology - Exploratory research design highlights many marketing variables getting affected
by pay per click marketing. To analyze the said phenomenon, the data was gathered through questionnaire from the
sample of 338 respondents which were selected by simple random sampling method mostly from the National Capital
Region (NCR) of Delhi in India. The data collected from the respondents was loaded on SAS base for exploratory factor
analysis and multiple regression analysis.
Results - Pay per click as a marketing tool has significant impact on the consumers. The most prominent factors of pay
per click marketing identified in the research are Ad quality, Competition, Targeting, Trend and Budget.
Conclusions - Organic as well as inorganic ads, keeping in mind the end goal to gage the exchange of these two postings
in the marked look territory. Additionally, here we dissected supported pursuit promotions in all. It would be beneficial to
break down the impact of promotion position on the pay per click marketing.

Keywords: Pay-Per-Click, Search Engine Marketing, Search Engine Optimization, Website.

JEL Classifcations: C61, D12.

1. Introduction A few of the benefits of the Pay per click marketing,

when contrasted with the more prohibitive PPC and PPM
It is critical for all organizations to have a Web presence. models, are recorded beneath.
With $125 billion spent by more than one billion clients on
online deals in 2016, it bodes well to recognize this patter. 1.1. Trust prerequisite
The way to being found by the online individuals at the
ideal time, as per similar creators, lies with web crawlers. In the PPC display, as in customary magazine
There are two ways a client will discover a business site by commercials, the sponsor needs to put stock in the
means of an internet searcher: through a natural outcome distributer to tally the quantity of impressions of the
posting (in light of site improvement— Website optimization) advertisement. The circumstance is better for the PPC
or a Pay per click (PPC) posting. At the point when web display; however specialized difficulties deliver errors
indexes add PPC to natural outcomes, they give a moment between the snap measurements on the distributer side and
rundown of positioned comes about on an indistinguishable the promoter side (Jansen & Schuster., 2011).
page from the organic ads. This creates more rivalry among
sites, particularly business sites. Not exclusively do the 1.2. Expressiveness
conventional organic ads have to compete for the best top
positions among each other, however now another The PPC display is a more expressive offering dialect
participant has been added to pursue for a first position— than the PPC demonstrate. On the off chance that a
PPC (Yoo, 2012). promoter does not change its offer as well much of the time
(which is regularly the case, either in light of the fact that
* Research Scholar, Dept. of Marketing, Amity Business School, the weight of every now and again refreshing offers is too
Amity University, Noida, India. high or in view of breaking points forced by the distributer),
E-mail: ravneetsinghbhandari@gmail.com this expressiveness can bring about higher utility for the
8 Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16

sponsor (Curran, 2004). on the primary page of returned query items, and eagerness
for holding up to be investigated and listed. Most web
1.3. Reducing hazard indexes offer PPC benefits so as to create income (Abels,
White, & Hahn, 1997).
Notwithstanding expanding promoters' utility, the PPC
model can diminish the hazard to (a few) sponsors, as the
case in the Informative supplement shows. 2. Objectives of the Study
1.4. Click extortion This research explores the extent to which a Pay per
click marketing approach is perceived as important in the
Click misrepresentation is a marvel that torments the digital marketing community and to identify the extent to
compensation per click display for offering on-line which the marketers can effectively use to reach, inform and
promotions. By definition, a false click is one where there is influence the online user.
no aim of purchasing an item. A self-evident cure (for 1. To identify the extent to which there is a segmented
transformation looking for publicists) is to ask promoters to approach in marketing activity especially for Pay per
report clicks that prompt a transformation and charge them click marketing.
just based on those snaps. On the off chance that furnished 2. To establish how Pay per click marketing strategies is
with information about which clicks prompt a change, being used to reach, inform and influence online users.
distributers like Google and Yahoo! would not exclusively be
capable to dispense with click extortion for the included
publicists, however could likewise recognize accomplice
Web-destinations that are visit focuses of snap
3. Review of Literature
misrepresentation (maybe since the misrepresentation is
With expanding utilization of the Web as a showcasing
conferred by their proprietors), and rebate their incentive for
device, entrepreneurs are attempting to understand new
different promoters (Cho, 2003)
methodologies to pick up piece of the overall industry inside
PPC was outlined as a technique for making income for
the online condition (Zhang & Cabage, 2016). A significant
web indexes. Over the past few years, users have turned
number of entrepreneurs are not knowledgeable with Web
out to be acclimated to web crawlers offering free
advertising strategies. In view of this, it is hard to pick the
administrations for which they are not set up to pay. Search
best system for their business development. Website
engines experience various strides to survey, file, and create
optimization is from time to time some portion of the search
postings. In spite of the fact that there are various
engine marketing strategy. Despite accepting that the
approaches to finish these means, every one of them is
execution of SEO costs the same as putting resources into
expensive. PPC or Pay for Placement is utilized to depict
PPC, and the advantages incorporate the confirmation of
an assortment of covering rehearses that fundamentally
continually being a piece of a user’s thought set, SEO is as
allude to connecting singular sites to particular catchphrases
yet not the ideal search engine marketing system for site
for installment. Therefore, potential customers are quickly
advertisers. At the point when the likelihood of being
taken to a site by choosing catchphrases that their particular
recorded in the principle consequences of an internet
target market will use in a hunt (Dou, Lim, Su, Zhou, & Cui,
searcher is high, any interest in SEO is excess—high
2010). It is moreover vital for a website admin to explore
positioning will in all likelihood be accomplished without it
the conceivable catchphrases that might be utilized as a
(Thelwall, 2015). Then again, there could be a low likelihood
part of a pursuit for their particular item or administration.
of positioning great in the organic outcomes. For this
PPC could turn out to be exorbitant as publicists are
situation, clients could visit the supported connections for
secured a progressing rivalry for well-known catchphrases.
this site. Putting resources into PPC could accordingly bode
As PPC recommends, promoters additionally need to pay for
well. on the off chance that it is expected that SEO costs
each snap they get by means of that supported connection
more than PPC. At that point PPC turns out to be
(Green, 2000). As noted beforehand, web crawler supports
significantly more appealing than SEO. In this way, it ought
require some kind of pay to cover costs. On the off chance
not to be amazing that SEO is not a piece of an
that the client is unwilling to pay for fundamental list items,
organization's SEM technique. This result is upheld by the
they need to look somewhere else for money. Subsequently,
appropriation of search engine marketing resources, which is
web search tools exploit promoters' should be unmistakable
one-sided toward PPC speculations (Sen, 2005).
and went by. Having the benefit of making the biggest
Website design enhancement as a feature of their SEM
measure of Web movement and of creating positioning
methodology is one of the significant purposes behind the
outcomes, they offer administrations that interest to the
brisk selection of the PPC procedure is that it is
publicist. In particular, they address these publicists'
exceptionally like a customary paid commercial technique
excitement for greater deceivability, eagerness for being put
 Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16 9

and entrepreneurs can oversee such battles without anyone a search engine accordingly to a question that matches a
else. Website design enhancement then again requires an given key expression is called an impression. Clicking on a
essential arrangement of abilities to guarantee a site puts promotion's hyperlink indicating a publicist's presentation
inside the best rankings on web crawler comes about page is a tick. The internet searcher charges the publicist
through different on location improvements and off-site for this snap, a sum known as the pay per click (PPC),
natural SEO systems (Roy, Datta, & Basu, 2016). Another which is topped at the publicist's offered on the key
reason why organizations may lean toward PPC is that they expression. Once at the greeting page, if the buyer makes
have better control over the whole program and they know some quantifiable move, as characterized by the publicist,
precisely how and where their speculation is spent. Results this demonstration is known as a change. Commonly a
can without much of a stretch be seen through PPC battle transformation is a buy (otherwise known as a request), in
reports. They additionally don't need to change their spite of the fact that it can be whatever other shopper
strategies each time the web indexes change their activity (Luh, Yang, & Huang, 2016). A request can be
calculations, which can end up being an issue, particularly made out of at least one thing. The business income
for the individuals who are just inspired by snappy, here produced from this change characterizes the estimation of
and now comes about. Organic SEO may appear like an that client. The viability of the catchphrase promoting effort
excess of exertion, with no ensured outcomes for here and is measured by income produced short the adverting cost
now objective searchers. Organic SEO, as a Web (Oppenheim, Morris, McKnight, & Lowley, 2000). The
showcasing methodology, requires tolerance. Be that as it advertisement rank influences snaps and transformations,
may, the prizes are there. Organic enhancement is not the following a curvilinear capacity of the promotion's rank.
main decision for some, however it has intrinsic advantages Current circumstances for ideal promotion valuing for the
that are unparalleled by supported or, on the other hand web search tool, researchers report that the active clicking
paid publicizing strategies. The advantages and results keep factor on supported connections is around 15 percent.
going for longer periods than for PPC (Smith, 2010). In Pay Searchers rehash visits to web indexes and tap on
per click marketing efforts on the real web crawlers, comparable advertisements amid these visits, in spite of the
sponsors commonly offer on key expressions they accept fact researchers express that more experienced searchers
identify with some item or administration they are giving. progress toward becoming desensitized to advertisement
These key expressions interface promotions from the boosts (Xu, Chen, & Whinston, 2012). There have been few
sponsor to inquiries put together by potential clients, who distributed experimental investigations of keyword promoting
are the searchers on the web crawlers. Reports show that battles utilizing genuine informational collections. Tending to
around 15 percent of internet searcher clicks are on these this absence of research could affect understanding the
keyword notices (Harter & Hert, 1997). At the point when a adequacy of supported hunt administrations and battles for
searcher enters an inquiry that matches a key expression, the shoppers. One may utilize pay per click networking for
an arrangement of promotions is shown on the search individual brand working as a forthright system. Promoting
engines. The sum that a sponsor must offer to get an through online networking can in some cases make
advertisement to show relies upon the general interest for devastation in the event that it turns out badly. A move
that key expression. The sum that a publicist will offer relies down technique ought to dependably be prepared for
upon the apparent estimation of the guest as dictated by arrangement. During the time spent figuring and executing
potential income and the cost of the obtaining (Dover, 2011). system, a procedure must be set up to fuse input from
Advertisements on the search engines are ordinarily existing and potential users(Yang & Ghose, 2010).
appeared over the organic outcomes (i.e., comes about Observational proof demonstrates that most Search Engine
decided algorithmically by the web index). The rank of the Marketing (SEM) spending (around 85%) has gone toward
promotion relies upon the offer cost and a quality score (i.e., Pay per click battles, with just 12% spent on Search engine
it is controlled by a few components, including navigate optimization and another 6% on other Search engine
history and point of arrival relationship to the promotion) marketing system. Researches demonstrated that regardless
(Lovatt & Legge, 2014). These notices regularly comprise of of the possibility that the aggregate cost of actualizing a
a short feature, two short lines of content portraying the SEO and a PPC battle were the same, the battle would at
item or benefit, and a hyperlink that focuses to the present win as the Search engine marketing procedure of
publicist's greeting page (i.e., a promoter assigned Web decision for most online advertisers. Other research on SEM
page). In the PPC course of action, a sponsor just pays the has detailed that 60%–86% of search engine users tap on
web index if a searcher really taps on the showed the display ads in the fundamental segment (characteristic
advertisement hyperlink. There are a few key supported outcomes) when directing online inquiries, while just 14%–
inquiry terms normally utilized as a part of the business, 40% select the as extensions and furthermore asserted that
what's more, an essential learning of these is vital with a disregarding either PPC or SEO as a component of a
specific end goal to take after the exploration exhibited in Search engine marketing technique will make an
this paper (Kammerer & Gerjets, 2012). A notice showed on organization lose a substantial number of potential customers
10 Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16

(Burghardt, Heckner, & Wolff, 2012). Web optimization and respondents and section two measures the respondents on
PPC each has their own points of interest and weaknesses. the premise of parameters distinguished through literature
PPC can guarantee a site being recorded quickly and, audit. A five point Likert scale was intended to quantify the
moreover, can guarantee high rankings, accepting a high recognized parameters extending from explicitly agree [=5] to
offer cost and quality score. One weakness is that PPC can explicitly disagree [=1] for the distinguished factors. The
be expensive, particularly with the developing rivalry for information was accumulated through survey from 338
prevalent watchwords. Web optimization, then again, can't respondents which were chosen by basic arbitrary examining
guarantee top rankings, however could be less expensive to strategy for the most part from the National Capital Region
execute. Besides, it can set aside opportunity to encounter (NCR) of Delhi in India. The information gathered from the
positioning increments because of SEO execution on a site respondents was stacked on SAS university edition for
(Berman & Katona, 2013). The principle obstacle to advance statistical investigation.
executing a successful Website design enhancement
program is the way that each internet searcher has its own 4.1. Research Process
particular necessities, which implies that a site upgraded for
one web search tool is not really enhanced for the others The investigation took after a successive procedure,
(Malaga, 2008). A further many-sided quality is that web moving through three noteworthy stages where each stage
indexes likewise persistently change their positioning took after particular strategies which are recorded as take
calculations with a specific end goal to counteract web after:
indexing. Because of this factor, sites should be continually
1. Identification of all the conceivable factors which sets
refreshing their SEO procedure, which can turn out to be
up Pay per click as a promoting instrument through
expensive. Website optimization additionally has preferences,
literature audit.
the greatest being that SEO postings involve the principle
2. Combining the factors into important number of
territory of an search engine's outcome page, and in this
elements by means of Exploratory Factor Analysis
manner users can't search without much of a stretch
3. Study the connection between the factors for theoretical
overlook them. There is a scarcity of exact proof containing
testing by means of Multiple Regression.
rules for online advertisers endeavoring to boost activity to
their site by utilizing both PPC and SEO battles at the
same time. In the meantime, the researches expressed little
lucidity about how site proprietors by and large split their 5. Data Analysis and Interpretation
financial plan amongst characteristic and paid outcomes. The
target of this examination is to analyze the individuals who Descriptive statistics conducted on the demographic and
have put resources into PPC, and decide if they likewise search engine profile of the respondents, the result
put resources into expanding rankings in normal outcomes presented in the <Table 1> and <Table 2>.
(Levene, 2010).
<Table 1> Demographic profile of the respondents
[N=338]
Age Frequency Gender Frequency Education Frequency
4. Research Design
15-20 74 Male 196 Undergraduate 83
20-25 146 Female 142 Graduate 164
'Web search tool' is a developing marvel, so an
exploratory research was conducted for comprehension of 25-30 47 Post graduate 85
different viewpoints. The researcher inspected the diverse 30-35 42 Doctorate 6
publicizing elements of the Search engines that affect the 35-40 29
gathering of the users towards the substance of the page
on the different web search tools. Causal research <Table 2> Search engine profile of the respondents
configuration actualized to comprehend the effect of web [N=338]
crawler on the segments of publicizing recognized under Search Time on Activities
writing survey. The framework had been incited to detail a engine Frequency Social Frequency on Social Frequency
subjective system for overhauled understanding for this used media media
complex and dynamic phenomenon. To break down this Google 210 0-30mins 121 Updates 162
subject, the underlying stride was the examination of the Bing 83 30-60mins 37 Purchase 87
noteworthy composition to build up an understanding about Yahoo 29 60-90mins 40 Comparison 23
various parameters of Search engine for the pay per click AOL 10 90-120mins 95 Information 66
marketing strategy. A sorted out poll was readied which was Ask 6 <120mins 45
ordered into two segments, Section one enquires about the
demographic statistic and web crawler profiles of the
 Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16 11

<Table 3> explains the univariate analysis of the identified <Table 4> describes Kaiser's Measure of Sampling
variables which were employed for exploratory factor Adequacy: Overall MSA is 0.824 which is considered to be
analysis. The variables with high mean values i.e., Socio- an acceptable value; this indicates that the data collected
cultural factors (Mean=3.39), Language (Mean=3.21) and would be suitable for factor analysis. Principal component
Monopolistic competition (Mean=2.91) Brand commitment analysis was employed to measure the degree of variability
Mean=2.90) are considered to be most impactful variables in the variables. The degree of variability calculated from the
for the emergence of Search Engine Optimization as a initial value [=1], variables with extraction value more than
marketing tool. 0.5 would be considered acceptable for factor analysis.

<Table 3> Descriptive statistics of identified variables

Variables Mean Std Dev Max. Min. Skewness Kurtosis
Budget 2.7685460 1.5621515 5 1 0.5163976 -1.4059114
Pure competition 2.8902077 1.5725867 5 1 0.4319878 -1.5341848
Monopolistic competition 2.9080119 1.6239909 5 1 0.3004480 -1.6286583
Mass marketing 2.1008902 1.3212658 5 1 1.2773849 0.3740315
Segment marketing 2.3086053 1.5137318 5 1 1.0041360 -0.5808235
Niche marketing 2.1513353 1.3510158 5 1 1.2668193 0.2915188
Oligopoly 2.3560831 1.4197481 5 1 1.0098814 -0.4315693
Quality score 2.8872404 1.0346887 5 1 1.0545506 -0.0544143
Language 3.2077151 0.5811010 5 1 2.5980581 5.0645592
Monopoly 2.6023739 1.5340560 5 1 0.6638017 -1.1742650
Keywords 2.1869436 1.3857508 5 1 1.2139107 0.0906895
Landing page experience 1.9080119 1.1854128 5 1 1.6455954 1.8276837
Socio-cultural factors 3.3857567 1.2414609 5 1 -0.0416839 -1.6707497
Ad relevance 2.6617211 1.5014241 5 1 0.5641120 -1.2559521
Demographic factors 2.8189911 1.2978444 5 1 0.9974832 -0.9416926

<Table 4> Kaiser's Measure of Sampling Adequacy: Overall MSA = 0.82392075

Final Communality Estimates: Total = 10.739775
Monopolistic Mass Segment
Budget Pure competition Niche marketing Oligopoly Quality score
competition marketing marketing
0.7023* 0.7704* 0.6492* 0.7959* 0.7098* 0.6268* 0.6587* 0.7383*
Landing page Socio-cultural Demographic
Language Monopoly Keywords Ad relevance
experience factors factors
0.7054* 0.5853* 0.6854* 0.8279* 0.8407* 0.6571* 0.7859*
Initial value =1
*= Extraction value Extraction method= Principal Component analysis

<Table 5> Correlation matrix

X1* X2* X3* X4* X5* X6* X7* X8* X9* X10* X11* X12* X13* X14* X15*
X1* 1.00 0.31 0.27 0.19 0.18 0.11 0.27 0.34 0.25 0.19 0.33 0.12 0.15 0.05 -0.2
X2* 0.31 1.00 0.59 0.13 0.33 0.36 0.45 0.25 0.29 0.29 0.25 0.17 0.08 0.22 0.07
X3* 0.27 0.59 1.00 0.34 0.39 0.27 0.50 0.25 0.33 0.30 0.35 0.25 0.14 0.28 0.21
X4* 0.19 0.13 0.34 1.00 0.48 0.41 0.38 0.15 0.33 0.24 0.42 0.36 0.16 0.22 0.22
X5* 0.18 0.33 0.39 0.48 1.00 0.59 0.51 0.33 0.58 0.52 0.45 0.46 0.32 0.42 0.49
X6* 0.11 0.36 0.27 0.41 0.59 1.00 0.48 0.21 0.45 0.35 0.26 0.44 0.21 0.31 0.33
X7* 0.27 0.45 0.50 0.38 0.51 0.48 1.00 0.30 0.51 0.55 0.47 0.43 0.16 0.41 0.39
X8* 0.34 0.25 0.25 0.15 0.33 0.21 0.30 1.00 0.61 0.33 0.50 0.55 0.36 0.33 0.37
X9* 0.25 0.29 0.33 0.33 0.58 0.45 0.51 0.61 1.00 0.42 0.58 0.69 0.35 0.42 0.51
X10* 0.19 0.29 0.30 0.24 0.52 0.35 0.55 0.33 0.42 1.00 0.43 0.43 0.23 0.35 0.55
X11* 0.33 0.25 0.35 0.42 0.45 0.26 0.47 0.50 0.58 0.43 1.00 0.64 0.41 0.44 0.49
X12* 0.12 0.17 0.25 0.36 0.46 0.44 0.43 0.55 0.69 0.43 0.64 1.00 0.21 0.53 0.41
X13* 0.15 0.08 0.14 0.16 0.32 0.21 0.16 0.36 0.35 0.23 0.41 0.21 1.00 0.13 0.41
X14* 0.05 0.22 0.28 0.22 0.42 0.31 0.41 0.33 0.42 0.35 0.44 0.53 0.13 1.00 0.52
X15* -0.2 0.07 0.21 0.22 0.49 0.33 0.39 0.37 0.51 0.55 0.49 0.41 0.41 0.52 1.00
12 Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16

X1*=Budget X13*= Socio-cultural factors

X2*= Pure competition X14*= Ad relevance
X3*= Monopolistic competition X15*= Demographic factors
X4*= Mass marketing
X5*= Segment marketing
X6*= Niche marketing
X7*= Oligopoly
X8*= Quality score
X9*= Language
X10*= Monopoly
X11*= Keywords
X12*= Landing page experience

<Table 6> Eigenvalues of the Correlation Matrix: Total = 15 Average = 1

Eigenvalue Difference Proportion Cumulative
1 6.04524829 4.48979919 0.4030 0.4030
2 1.55544911 0.30163026 0.1037 0.5067
3 1.25381885 0.28621895 0.0836 0.5903
4 0.96759989 0.04994096 0.0645 0.6548
5 0.91765894 0.16421682 0.0612 0.7160
6 0.75344212 0.04658965 0.0502 0.7662
7 0.70685247 0.15997395 0.0471 0.8133
8 0.54687851 0.08664921 0.0365 0.8498
9 0.46022931 0.05922654 0.0307 0.8805
10 0.40100277 0.03591832 0.0267 0.9072
11 0.36508445 0.04482879 0.0243 0.9316
12 0.32025566 0.01310862 0.0214 0.9529
13 0.30714704 0.05684904 0.0205 0.9734
14 0.25029800 0.10126341 0.0167 0.9901
15 0.14903459 0.0099 1.0000

<Table 7> Rotated Factor Pattern

Variables Factor 1 Factor 2 Factor 3 Factor 4 Factor 5
Landing page experience 0.84940
Quality score 0.70352
Language 0.70094
Ad relevance 0.68786
Keywords 0.65815
Pure competition 0.85183
Monopolistic competition 0.74462
Oligopoly 0.63020
Monopoly 0.46532
Mass marketing 0.85794
Niche marketing 0.65922
Segment marketing 0.59063
Mass marketing
Socio-cultural factors 0.87852
Demographic factors 0.59117
Budget 0.76254
 Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16 13

<Table 8> Profiling of factors

Factor 1 Factor 2 Factor 3 Factor 4 Factor 5
Landing page experience Pure competition Mass marketing Socio-cultural factors Budget
Quality score Monopolistic competition Niche marketing Demographic factors
Language Oligopoly Segment marketing
Ad relevance Monopoly
Keywords
Ad quality Competition Targeting Trend Budget

<Table 5> illustrates correlation between the each user.

identified variables, the coefficient of correlation ranges <H5> Greater the level of positive trend, the better impact
between -1 to 1, and coefficient of correlation greater than of pay per click marketing strategy on the user.
0.5 is considered as an acceptable correlation between the
variables.
<Table 6> illustrates Eigenvalue and cumulative proportion Ad quality
of the identified variables, these parameters assisted
researcher to identify the number of factors. Eigenvalue
Competition
close to 1 with Cumulative proportion more than 70% would
be considered as an acceptable, all these parameters Factors of
Viewer's
satisfied incase number of factors equal to 5. Therefore Pay per click Targeting
response
researcher accepted 5 factors. marketing
<Table 7> illustrates the factor loadings of each identified Trends
variables, extraction method employed was principal
component matrix. Rotation method employed for factor
analysis is varimax with KMO normalization. Budget
<Table 8> illustrates the profiling of the variables on the
basis of Rotated factor loadings. Each factor had been <Figure 1> Proposed model of the study
profiled on the basis of the characteristics of the variables in
the respective factor. Further to analyze the impact of 6.1. Hypothesis Testing
Search engine optimization as a marketing tool on the
factors was tested. The hypothesized relationships were tested using multiple
regression analysis. First of all a correlations matrix was
produced to comprehend the relationships between reviewed
6. Hypothesis variables. Considering the correlation matrix, Landing page
experience and Language (0.691020), pure competition and
Monopolistic competition (0.593567) and Ad relevance and
The motivation behind this exploration is to research the
Demographic factors (0.527474) indicated high degree of
advantageous impact of the Pay per click marketing strategy
correlation. A five point Likert scale was designed (where 1=
on the viewer’s response. With knowledge of the past
Strongly disagree to the statement and 5 = Strongly agree
writings and results of factor analysis the factors associated
to the statement) to record responses of the respondents for
to pay per click marketing had been arranged into 5
mentioned key variables then the whole gathered information
fundamental measurements:
was coded to SAS base version for multiple regression
analysis to check the legitimacy of the mentioned
<H1> Greater the level of Ad quality, the better impact of
hypothesizes. The responses collected from the respondents
pay per click marketing strategy on the user.
were normally distributed. The identified variables entered
<H2> Greater the level of healthy competition, the better
into the equation using ‘Enter method’. The hypothesized
impact of pay per click marketing strategy on the
model for Pay per click marketing is represented in <Table
user.
11>. The p values in the table is less than 0.0001, F value
<H3> Greater the level of effective targeting, the better 85.07 and adjusted R. sq. 0.5558 which is acceptable,
impact of pay per click marketing strategy on the therefore all the estimated coefficients are statistically
user. significant. The responses collected from the respondents
<H4> Greater the level of targeting strategy, the better were normally distributed. The results of multiple regression
impact of pay per click marketing strategy on the shows that Pay per click marketing services of various
14 Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16

search engines offers advantageous benefits to the marketer and the majority of the respondents between the age of
as well as to the consumer. Therefore the researcher 20-25 years with graduate level of education use Google as
accepts <H1>, <H2>, <H3>, <H4> and <H5> as Pay per there prominent search engine for mostly 15-60 minutes in
click marketing services have significant impact as a order to obtain updates and information. Section 2 on other
marketing tool in terms of identified factors i.e., Ad quality, hand consists of Statistical and Hypothetical analysis of the
Competition, Targeting, Trend and Budget. identified variables. Pay per click as a marketing tool (F
value 85.07 and p value <.0001) has significant impact on
<Table 9> Results of Multiple Regression the consumers. The most prominent factors of pay per click
Parameter Standard marketing identified in the research are Ad quality,
Variable DF t Value Pr > |t|
Estimate Error Competition, Targeting, Trend and Budget.
Intercept 1 1.29737 0.20183 6.43 0.3567
Ad quality 1 0.35360 0.08689 4.07 0.6598
Competition 1 0.16105 0.06268 2.57 0.2154
8. Discussion
Targeting 1 0.26027 0.06402 4.07 0.1987
Most search engine platforms regularly release statistics
Trend 1 0.58850 0.06385 9.22 0.0644 about their users, and usually keep information apparent,
Budget 1 0.03765 0.03795 -0.99 0.3219 e.g., distinguishing users per country or other demographic
criteria. With such user statistics one can compare them
Analysis of Variance across platforms or over time: some user numbers refer to
Sum of Mean registered user accounts, others to ‘active’ users – and the
Source DF latter can also have various definitions, e.g., everyone who
Squares Square F Value Pr > F
has visited the platform at least once during the last month.
Model 5 434.78171 86.95634 85.07 <.0001
As the official numbers provided by the providers are rarely
Depd. Mean R-Square sufficient, some survey companies on Internet usage also
Error 332 338.32808 1.02214
2.36000 0.5624
ask about people’s participation in certain search engine
Corrected Root MSE Coeff Var Adj. R-Sq channels. The majority of Search engines, in any case,
337 773.10979
Total 1.01101 43.29225 0.5558 always explain about how and why makes utilization of
certain search engine tools – or even how they approach
Y= C + m1x1 + m2x2 + m3x3 + m4x4 + m5x5 singular functionalities of these stages. This is the place
search engine research ventures in. Researchers from
Predicted(Impact of PPC) = -1.29737 + (0.35360 * Ad quality) diverse foundations have endeavored to reveal insight into
+ (0.16105* Competition) + (0.26027 * Targeting) search engines usage as an assortment of keywords. The
+ (0.58850 Trend) + (-0.03765 * Budget) steady advancement of both the Search engines and
functionalities of online networking stages and users conduct
pose critical difficulties to researchers planning to
7. Findings comprehend the inspiration for utilizing particular stages or
even individual highlights associated to search engines.
The data gathered was normally distributed, as the data Despite the fact that users inspirations have been examined
was checked for multi-co linearity and heteroscedasticity. from different points of view in the previous years, most
The 15 variables were identified and were used for research approaches give depictions rather than extreme
exploratory factor analysis which was reduced to 5 factors outcomes.
by using the Principal Component analysis and Varimax The Search engines promote adaptive way of creating
rotation method. The identified factors are as follows: awareness, since the user is motivated to find information
Factor 1 Ad quality consists of variables Landing page that associate with a assistance of the consumer’s product.
experience, Quality score, Language, Ad relevance and When products are promoted on search engines, marketer
Keywords. Factor 2 Competition consists of variables i.e., can design its campaign either as organic marketing (Free
pure competition, Monopolistic competition, Oligopoly and ads) or inorganic marketing (Sponsored ads). The most
Monopoly. Factor 3 Targeting consists of variables i.e., Mass common strategy used in organic marketing is Pay per click
marketing, Niche marketing and Segment marketing. Factor marketing, where the marketer is being charged only when
4 Trend consist of variables i.e., Socio-cultural factors and some user click on the respective advertisement. Further,
Demographic factors and Factor 5 Budget. Pay per click advertising can influence awareness and brand
The results of data analysis are segmented into two recognition. Also, the presence of products incorporated into
sections. Section 1 consist of descriptive statistics of e-commerce sites has been shown to increase brand recall.
demographic and search engine profile of the respondents Finally, the interactive Pay per click advertising search itself
 Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16 15

is flexible enough that, given a large enough advertiser and Social Search Engines (Vol. 4). (D. Lewandowski, Ed.)
user base, which can profitably be reformatted to utilize United Kingdom: Emerald Group Publishing Limited.
questions grouped by product category as opposed to Cho, C. H. (2003). Factors Influencing Clicking of Banner Ads
random selection. This choice of organic and inorganic on the WWW. CyberPsychology & Behavior, 6(2),
advertisement category depends upon marketer and the user 210-215.
level of interactivity while revealing information about
Curran, K. (2004). Tips for achieving high positioning in the
product’s category choices and what types of questions lead
results pages of the major search engines. Information
to product interest. This has ramifications for marketer web
Technology Journal, 3(2), 202-205.
site formatting and advertisement development given the
opportunity for more complex database management offered Dou, W., Lim, K. H., Su, C., Zhou, N., & Cui, N. (2010).
through such in depth profiling. Brand positioning strategy using search engine
marketing. MIS Quarterly, 34(2), 261-279.
Dover, D. (2011). Search Engine Optimization Secrets.
9. Conclusion Indianapolis: Wiley Publishing Inc.
Green, D. (2000). The evolution of Web searching. Online
An organization that utilizes sponsored search has a lot Information Review, 24(2), 124-137.
of data at its transfer for assessing promoting execution. By Harter, S., & Hert, C. (1997). Evaluation of information retrieval
utilizing information gather amid online collaborations, systems: Approaches, issues, and methods. Annual
organizations can track everything from what terms clients Review of Information Science and Technology, 32(1),
hunt down, to what advertisements they tapped on, to which 3-79.
visits brought about a deal. Breaking down these measures
Jansen, B., & Schuster, S. (2011). Bidding on the buying
can help organizations in spending their on the web
funnel for sponsored search and keyword advertising.
publicizing more adequately. The consequences of the
Journal of Electronic Commerce Research, 12(1), 1-18.
exploration detailed here additionally demonstrate that the
mix of brand-centered key expressions and ads create the Kammerer, Y., & Gerjets, P. (2012). How Search Engine Users
most deals what's more, are moderately less expensive than Evaluate and Select Web Search Results: The Impact of
non-branded phrases. In this way, it is for the most part the Search Engine Interface on Credibility Assessments.
helpful for online promoters to dedicate publicizing assets to United Kingdom: Emerald Group Publishing Limited.
focusing on mark centered key expressions and coordinating Levene, M. (2010). An Introduction to Search engines and Web
them with mark centered promotions. navigation. New Jersey: John Wiley & Sons.
For future work, examinations on mark view of online Lovatt, J., & Legge, S. (2014). SEO – What Is It and Why
promotions could lead, maybe, to better commercial creation. Does It Matter?. Taylor & Francis Editors' Bulletin, 10(1),
This could increment the responsiveness of the promotions 20-22.
and thus improve the general adequacy of a crusade and
enhance supported pursuit stages. Another intriguing Luh, C. J., Yang, S. A., & Huang, T. L. D. (2016). Estimating
exploration range would be investigation of the whole both Google’s Search Engine Ranking Function from a
organic and sponsored comes about, keeping in mind the Search Engine Optimization Perspective. Online
end goal to gage the exchange of these two postings in the Information Review, 40(2), 1-29.
marked look territory. Additionally, here we dissected Malaga, R. A. (2008). Worst practices in search engine
supported pursuit promotions in all. It would be beneficial to optimization. Communications of the ACM, 5(12),
break down the impact of promotion position on the pay per 147-150.
click marketing. Oppenheim, C., Morris, A., McKnight, C., & Lowley, S. (2000).
The evaluation of WWW search engines. Journal of
Documentation, 56(2), 190-211.
References Roy, G., Datta, B., & Basu, R. (2016). Trends and Future
Directions in Online Marketing Research. Journal of
Abels, G., White, D., & Hahn, K. (1997). Identifying user-based Internet Commerce, 16(1), 1-31.
criteria for Web pages. Web Research: Electronic Sen, R. (2005). Optimal Search Engine Marketing Strategy.
Networking Applications and Policy, 7(4), 252-262. International Journal of Electronic Commerce, 10(1), 9-25.
Berman, R., & Katona, Z. (2013). The Role of Search Engine Smith, J. (2010). Be 1 on Google: 52 Fast and Easy Search
Optimization in Search Marketing. Marketing Science, Engine Optimization Tools to Drive Customers to Your
32(4), 644-651. Web Site. New York: McGraw-Hill Companies Inc.
Burghardt, M., Heckner, M., & Wolff, C. (2012). The Many Thelwall, M. (2015). WEB CRAWLERS AND SEARCH
Ways of Searching the Web Together: A Comparison of
16 Ravneet Singh Bhandari / International Journal of Industrial Distribution & Business 8-6 (2017) 7-16

ENGINES In Link Analysis: An Information Science Science, 29(4), 602-623.

Approach. United Kingdom: Emerald Group Publishing Yoo, C. Y. (2012). An Experimental Examination of Factors
Limited. Affecting Click-Through of Keyword Search Ads. Journal
Xu, L., Chen, J., & Whinston, A. (2012). Effects of the of Current Issues & Research in Advertising, 33(1),
presence of organic listing in search advertising. 56-78.
Information Systems Research, 23(4), 1284-1302. Zhang, S., & Cabage, N. (2016). Search Engine Optimization:
Yang, S., & Ghose, A. (2010). Analyzing the relationship Comparison of Link Building and Social Sharing. Journal
between organic and sponsored search advertising: of Computer Information Systems, 57(2), 148-159.
Positive, negative, or zero interdependence. Marketing