The difference between Pay per Click and Pay per Lead.

Technical terms might not be a cup of tea for all. Yeah. It could be confusing and misleading sometimes. To avoid all those confusions, here comes the beginner’s guide to understand pay per click and pay per lead.

We cannot ignore the domination of digital media and the impact of social media in today’s digital era. If you don’t have an online presence then without further delay create your online presence to compete in this fast-paced market.  

If the first step is creating your online presence then the next step lies with how and where you create your presence.

Focusing on the right medium brings in the right kind of audience for your business. You may feel dizzy about dong all of this by yourself, no worries digital marketing companies can do the work for you. 

Before choosing the digital marketing company for your business you need to understand terms like PPC (Pay Per Click) and PPL (Pay Per Lead).

What is PPC (Pay per Click)?

When you approach a digital marketing company to provide you with online advertisement services, they would introduce you to the term PPC. PPC stands for Pay per Click which is the online advertising model used to direct people to sites, in which a promoter pays a distributor when the advertisement is clicked.

To state in a simple way when you ask the digital marketing company to run or create an online ad for your business, you would pay the amount for the number of clicks that appeared on that particular activity. These types of online activity/ Ads will bring in more traffic to our website from search engines. By doing such kind of activity, the possibility of conversions and leads are higher when compared to normal advertising methods.

How does it work?

Pay per click came to action to provide a proper balance in expenditure as well as to save money. In the pay per click method, there is a clear understanding between the client and the advertiser is made. Terms like the quality of the Ad and how money can a client can bid on an Ad can be decided and both can work towards a common goal i.e. to achieve the target.  

Pay per click method is majorly used for the search engine based ads to bring in the traffic. 

Pay per click is classified into two categories namely 

What is Pay per LEAD?

Pay per Lead is an online advertising model where the amount is paid only for the qualified leads generated by the ad. The payment is fully based on the qualifying leads.

Pay per Lead is more of a custom made method that individually focuses on generating lead on the destination site or medium where the client wants the conversion to happen.

How does it work?

In Pay per Lead, the client doesn’t need to pay for visitors who did not sign up.

 In Pay per Lead method, a lead is commonly an information exchange including contact data and maybe some segment data. A lead may comprise of as meagre as an email address or data like name & what are they looking for. 

In the case of performance marketing, the client can fetch information about warm leads as well as verified leads where the client pays only after getting the relevant information they need.


Now coming to the point where PPC or PPL which is more beneficiary to a client. PPC and PPL can be used as per the need of the client. 

For e.g.)

If I own a YouTube channel and I need to do digital marketing for my channel, I cannot opt for pay per click, because YouTube is based on a number of views and how much time a visitors spend in my channel.

When it comes to business like construction and sale of plots, the client can opt pay per lead which is more suitable.

Conclusion:Both PPC and PPL are beneficial and choosing the right method will help you to save money, gain more reach and witness conversions.

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