User46447_1_t Larry Wright
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This week I've observed about a 30% increase in the costs of Google and Yahoo Pay-Per-Click ads.  I attribute this to the seasonal decline in on-line real estate activity, causing the PPC advertisers to bid more for falling supply of potential viewers of their sites.

If you're a PPC advertiser, remember not to trap yourself in a bidding war.  Cooler heads will prevail ... especially when your oponent's budget is depleted in just a few days.  Look at your PPC advertising campaign with the same objectivity as you do the real estate market.

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11 Comments on Google/Yahoo PPC (Pay-Per-Click) ad rates rising

What really stinks is when you pay per click...big bucks...and someone unethical clicks through your allowance to get themselves into position. Shame on them! But...you reap what you sow, righ?

09/14/2007 02:36 PM by Lania DeMers, Broker Rocky Mountain Realty Co. (Rocky Mountain Realty Co.)


Larry, thanks for the information.  I've never done PPC and don't really know if it is marketing dollars well spent.

Lania - Wow....I've never would have thought that people do this!!!   That's not right!!

09/14/2007 02:39 PM by Nora Adkins (Realty Executives)


I am not sure that the PPC is all that effective. Any feedback on success stories from people who do PPC would be great. Not sure if I want to spend the money.

09/14/2007 02:41 PM by Roy Kotz (NPDodge)


I have given PPC a try. Spent 300.00 in one month with nothing to show for it. You really need a large budget for it, and work it monthly. Others in my office are or have done PPC in the past with marginal success. I would just work the AR site to increase your exposure on the google. For further info on that check out Karen Georges archive of blogs, she has some really good stuff there.

09/14/2007 02:48 PM by Rob Baldwin, Santa Clarita REALTORĀ® (SCV Home Buyer)


I agree I never get into bidding wars.  In fact I have put all my campaigns on hold and it does not seem to make much difference.  Of course, I have never had a big budget.  Maybe a big budget makes the difference.

Bottom line I guess I'm neutral on the pros and cons of PPC.

09/14/2007 02:50 PM by Mark Watterson


I dropped PPC this past year in favorof AR and my own blog. They generate organic traffic whereas many people on AR said that "real" consumers don't click on the paid ads. There's too much fraud in PPC. Save your money and instead write good content on AR/Localism.

09/14/2007 02:50 PM by Elaine Reese, REALTORĀ® in central Ohio (Real Living HER, Worthington Ohio)


Larry,

Thanks for the post and advice. I have been tihnking about doing the ppc in my local area, but have to do some additional research.

09/14/2007 03:04 PM by Richard Thewissen (ERA Realty Pros)


Lania - Google & Yahoo monitor IP addresses and require cookies in order to prevent that kind of abuse.

Roy, Mark & Rob - I tend to agree with you.  The brokers I know that use it consistently with a significant budget will usually only break even.

Elain - I've monitored direct traffic from AR ... how is it generating organic traffic for you?

Richard - PPC may be worth it for you, just make sure you have a good mouse trap.

09/15/2007 11:27 AM by Larry Wright (nwRealty.Com)


I'm considering lowering my ppc budget....doesn't seem to adding much traffic

 

It looks like a lot of fraudulent clicks that people are doing w/ their adwords accounts

04/03/2008 10:09 AM by Eric Egeland (Chicagoland Realtor / Broker) (Re/Max United)


i dont know much about PPC, but there are other ways to generate business and thats through word of mouth and referrals. I will look into PPC, it sounds pricey and little return.

04/04/2008 01:14 AM by Your Local Seattle / Eastside Realtor, Freddy Delgadillo with Realty Executives (Brio Realty, INC)


I'm not a big fan of PPC Advertising. The amount of leads you have to work to close a deal seems to be a really bad way to spend your time. Your better walking up and down the streets with your name tag on. 

04/05/2008 06:15 PM by Christopher Watters, Realtor - Greater Austin Texas Area (Texas Ranch & Home Realty)


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Real Estate Agent: Larry Wright (nwRealty.Com)
Larry Wright
Tacoma, WA
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Keeping the fingers of Buyers, Sellers and REALTORS on the Pulse of Puget Sound Real Estate and their eyes on the little details of the big picture in Washington.


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