Note that the price in this chart is based on a comparison of the original price in 2012. Example: From 2021 to 2022, the price only actually increases by an average of 44%.
If we look back 10 years of Google advertising, we can see that click costs have risen significantly in several niches. This chart shows that if you paid 1$
for a finance keyword in 2012, you’re now paying approximately38$
. The finance sector has the highest year-over-year PPC inflation, averaging 44% over the 10-year period.
But if people advertise, it must be profitable?
Of course, you’re right. The reason CPC inflation telegram data occurs is because companies are willing to bid higher than others for targeted keywords. This also means it must be profitable for some.
However, the cost of clicks back in 2012 was colombia business directory typically just a few cents, and there were few competitors in the market, all of whom had high profitability on their advertising. Back then, it was very easy to outbid everyone else and still achieve fantastic profitability. In 2022, there are more competitors than ever, and prices are starting to get truly terrifying for the amateur marketer.
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For example, a bank in Oslo (where I live) now has to pay about $20 for a click on the keyword “Tjene penger .” If they have a 10% conversion rate, they have to pay $200 for a customer. In cases like this, I always wonder if they’re actually making money in the short term.
If you pay for advertising and send them to a page that makes a bad impression, you’re likely to lose money in almost every niche. This makes UX (user experience)-based web design more relevant than ever, due to increasing competition.