Global Pay-per-click (PPC) Advertising Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Pay-per-click (PPC) Advertising Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Pay-per-click (PPC) is an internet advertising model used to increase website traffic, in which the advertiser pays the publisher (usually a search engine, website owner, or network of websites) when an ad is clicked.

Market Overview:

The latest research study on the global Pay-per-click (PPC) Advertising market finds that the global Pay-per-click (PPC) Advertising market reached a value of USD 275169.0 million in 2022. It’s expected that the market will achieve USD 444132.0 million by 2028, exhibiting a CAGR of 8.31% during the forecast period.

Pre COVID-19 and Post COVID-19 Market Scenario

Before the outbreak of COVID-19, some downstream enterprises did not pay much attention to PPC Advertising, and many small enterprises did not carry out digital transformation. For example, in recent years, marketing in the automotive industry has increasingly shifted to digital channels, as more consumers use the internet to research car purchases or complete a car buying journey. However, before the outbreak of COVID-19, many downstream consumers did not have a high degree of browsing and acceptance of PPC advertisements. At the same time, many brands of car dealership marketing activities have not yet expanded online, they have not fully opened the sales market and missed many hot leads and sales opportunities provided by PPC.

In the post-COVID-19 period, PPC advertising (such as search ads on Google, display ads on third-party websites, and paid ads on social media) can all help increase the online visibility of brand-owned distributors among target audiences. Therefore, most companies will consider PPC Advertising as part of their overall marketing efforts.

In the post-epidemic era, as users spend more time on the Internet, they often appear on social networks, information media, and video platforms. Information flow advertisements in the form of text, pictures, and videos have taken advantage of the momentum and achieved certain development.

At the same time, there is also a search engine business. Although affected by the epidemic in 2020, advertisers have reduced their advertising budgets, which has affected the revenue of search engine advertising. However, with the development of Internet applications becoming more mature, users' search needs continue to increase, and top companies accelerate their development, the overall market will usher in better development. Therefore, strengthening the technology label, optimizing the revenue structure of the enterprise, and abandoning a single model will be the development direction of the Internet advertising industry and the PPC Advertising industry.

Market Drivers

For e-Commerce businesses, PPC Advertising can be one of the main traffic drivers for their online store. This is a form of digital advertising in which brands pay each time someone clicks on an ad related to the brand. If no one clicks, the brand doesn't pay.

On most advertising platforms, brands can choose who their ads target and how much they are willing to pay for each click. The ad platform will then display the brand's ad to relevant audiences who are likely to click on it. The purpose of eCommerce PPC Advertising is to get a brand's store or product in front of highly targeted prospects who are likely to buy.

With e-Commerce PPC Advertising, brands can create campaigns with specific goals. The goal of the ad will determine which platforms the brand uses, how much they are willing to pay per click, when the ad runs, and who the brand’s audience is. Each advertising platform provides a variety of different advertising types for brands to place. Using Google as an example, brands can run search ads, which is the most basic form of PPC Advertising advertising, and it will show their ads in Google SERPs.

Shopping ads are great for eCommerce PPC Advertising. These ads target searchers with a high commercial intent meaning they are looking to buy – a perfect match for the online store that the brand is looking to sell on. Most PPC Advertising platforms allow a lot of flexibility when it comes to targeting. Brands involved in e-commerce can target people based on location, time of day, browsing history, and other behaviors.

Therefore, for the e-Commerce industry, data from PPC Advertising campaigns is a very powerful tool for brands to understand their target audience and understand their browsing and buying habits. When brands run PPC Advertising campaigns, they will have information about the types of users. At this point, it's the brands' job to take this information and use it to improve their e-commerce and advertising campaigns.

Region Overview:

In 2022, the share of the Pay-per-click (PPC) Advertising market in North America stood at 44.35%.

Company Overview:

Google, Meta, Amazon were the top 3 players in the Pay-per-click (PPC) Advertising market in 2023, taking up a market share of 84.48% together.

Google LLC is an American multinational technology company that focuses on consumer electronics such as artificial intelligence, online advertising, search engine technology, cloud computing, computer software, quantum computing, and e-commerce. It is often considered the world's most powerful company and one of the world's most valuable brands due to its market dominance in artificial intelligence, data collection, and technological dominance. Its parent company, Alphabet, is often considered the U.S. One of the Big Five information technology companies, alongside Amazon, Apple, Meta and Bing.

Meta Platforms, Inc., formerly Facebook, is an American multinational technology conglomerate headquartered in Menlo Park, California. The company owns products and services like Facebook, Instagram, and WhatsApp. Meta is one of the most valuable companies in the world and one of the top ten publicly traded companies in the United States. It is generally considered to be one of the five largest information technology companies in the United States.

Meta's products and services include Facebook, Instagram, WhatsApp, Messenger, and Quest 2. It has successively acquired Reality Labs, Mapillary, CTRL-Labs, and Kustomer.

Segmentation Overview:

Among different product types, Bid-based PPC segment is anticipated to contribute the largest market share in 2028.

Flat-rate PPC

In the flat-rate pay-per-click model, an advertiser pays a publisher a fixed fee for each click. Publishers generally keep a list of different PPC rates that apply to different areas of their websites.

Bid-based PPC

PPC currently comes in two flavors: flat-rate PPC and bid-based PPC. With bid-based PPC, those wishing to place their ad will find themselves in a private auction where they bid against competitors for the maximum amount.

Application Overview:

By application, the Retail & Ecommerce segment occupied the biggest share from 2018 to 2022.

BFSI

Banking, Financial Services and Insurance (BFSI) is an industry term for companies that provide a range of these financial products or services. This includes universal banks that provide a range of financial services or companies operating in one or more financial sectors. PPC can help BFSIs of all types build brand recognition, quickly attract leads, and drive conversions from financial-based services to fuel their digital marketing.

Retail & Ecommerce

Retail generally refers to sales made at or within a brick-and-mortar store. These stores are more traditional options, ranging from smaller mom-and-pop stores to larger retail chains like Walmart. E-commerce refers to sales over the Internet or through digital purchases. These sales typically come from online marketplaces such as Amazon, eBay, and Etsy, as well as various proprietary e-commerce platforms. For E-commerce businesses, PPC can be one of the main traffic drivers for their online store.

Automotive

The automotive industry includes many companies and organizations involved in the design, development, manufacture, marketing, sales, repair, and modification of motor vehicles. Pay-per-click (PPC) advertising can have a significant and positive impact on an auto dealership's marketing plan. It can be a powerful tool for increasing an automotive brand's online exposure, increasing website traffic, and connecting with potential customers in real-time, both inside and outside the local market.

Healthcare

Healthcare is the improvement of health through the prevention, diagnosis, treatment, improvement, or cure of disease, disease, injury, and other physical and mental disorders. Healthcare PPC can continually reinforce a strong digital marketing campaign to increase awareness, generate more leads, and increase conversions. PPC is displayed to potential patients who are already searching for products or services offered by healthcare companies. In this way, PPC can speed up time-to-market and significantly increase sales for such businesses.

Media and Entertainment

The media and entertainment industry includes film, television, radio, and print. These sections include Movies, TV Shows, Radio Shows, News, Music, Newspapers, Magazines, and Books. One of the best ways to increase sales for your music and entertainment clients is to run an effective PPC (pay-per-click) advertising campaign. Service providers can increase engagement in PPC campaigns by reaching users who are searching for relevant artists, events, or movie releases.

IT & Telecom

The IT & Telecom industry mainly relies on online resources. The data of any enterprise must be effectively stored, retrieved, transmitted and manipulated through information technology, but the primary purpose is communication. In such a field, state-of-the-art and up-to-date software is a must to stay ace-level.

Key Companies in the global Pay-per-click (PPC) Advertising market covered in Chapter 3:

Baidu
Meta
Microsoft
DuckDuckGo
Google
Amazon
Sogou

In Chapter 4 and Chapter 14.2, on the basis of types, the Pay-per-click (PPC) Advertising market from 2018 to 2029 is primarily split into:

Flat-rate PPC
Bid-based PPC

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Pay-per-click (PPC) Advertising market from 2018 to 2029 covers:

BFSI
Retail & Ecommerce
Automotive
Healthcare
Media and Entertainment
IT & Telecom
Others

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)