As more businesses create sites and website landing pages to advertise services and products, internet marketing has grown to be more significant than ever. Pay-per-click advertising is just one of several kinds of Internet marketing strategies that can help to generate a lot of page views, increase raise and finalize a sale. Pay per click campaigns are developed to draw in the visitor's interest while they are doing searches in major search engine sites, and when clicked on, direct the visitor to the sales page where they can buy or find out more about a product.

If performed well, PPC campaigns are an effective way to generate interest in or perhaps sell an item. Pay Per Click campaigns can be built using Google AdWords and other advertising publishing platforms, and may be monitored and tweaked as the ad campaign runs for better efficiency. Still, one of the most important aspects of the PPC advertising is measuring on how effective is the campaign. Since all of these campaigns could be monitored for click-throughs and conversions, ad makers can set up metrics and reports to find out exactly which ads are getting the most results.

Raw numbers coming from traffic counts will be your basis of measuring the effectiveness of an ad, and will show you exactly what types of visitors are visiting to your website. While this numbers will only provide you with an overview of the entire volume of traffic, you'll be able to drill down the dates of these traffic counts and compare them to the days that the ad campaigns were run.

Conversions are probably the most critical statistic for your Pay per click campaign. Understanding the number of clicks converted to a sale will give you a chance to determine how much this will cost you to generate a lead from your marketing campaign, and you can calculate that in a period of time to check the performance of your ads. Remember that computing the conversions can take many forms.

The author of the book 'The Online Playbook', Joseph Thornton, explains that site registration, sending personal contact information or requesting a download of a product or service, are all forms of visitor interaction that may qualify as a 'conversion' when they are related to your PPC campaign.

Another way to measure the performance of a PPC campaign is by analyzing different keywords and keyphrases as they relate to conversion rates. If you are able to figure out which keywords and keyphrases are leading to a sale, you can optimize your website for these words as well as use the data for future campaigns.

Finally, identifying the positions of your advertising segment will help you to determine which placement is the best for your particular niche or industry. AdWords rotates the ads in its sidebar column to ensure a fair advantage for all the marketers, yet there are some spots that are considered 'Featured ads'. These spots may have more quality for you in an exceedingly competitive market, and can make it easier for you to decide as to how and where to advertise your PPC campaign and achieve the best possible results.