Effect of Pay Per Click on Small Businesses: A Case Study of Jesmond Dene Hotel

DISSERTATION
ON
EFFECT OF THE PAY PER CLICK TO SMALL BUSINESSES: A CASE
STUDY OF JESMOND DENE HOTEL

CHAPTER 1 INTRODUCTION
The main aim of the present research study is to analyze the effect of pay per click on
business entities. Regarding this, the study has been conducted on Jesmond Dene Hotel which is
a three star hotel operating business in London. In this realm, discussion has been included about
the concept of Pay Per click advertisement on business organizations (Shipley and Kleiner,
2005). Along with that, researcher has also focused on advantages and role of pay per click in
promoting business services. The chapter of introduction provides a basic overview of the topic
along with the aims and objectives. Besides this, researcher has also stated background along
with the rationale for which the study is being conducted. Lastly, structure of all the chapters are
discussed briefly in the research work.
1.1 Overview of the topic
Pay Per Click is a cost per click advertisement model through which advertiser can
publish the adverstiment on a website through different networks and sources. The tool is also
commonly associated with first tier search engines in which companies and customers can bid
for the products and services they need to purchase. It is also an internet marketing formula that
is used to price online adverstiment. In such programs, the online advertisers pay internet
publishers to promote the business upon PPC regardless if the sale is made or not. In pay per
click in search engine advertising, the advertiser would typically bid a keyword so the PPC rate
changes (Kent, 2006).
The tool is also useful for the purpose of catering searches and advertisers
simultaneously. It also compromises their user base while on the other hand, it provides them
another stream of revenue. However, it has also been observed that Google rewards are available
for the companies for the purpose of promoting the channel for different products and services
(Thome and et.al., 2014). Hence, it is clear that it is not about bidding; but it is far more than a
source of promoting the business products and services. Thus, the study has described the
benefits of pay per click on customer base and along with that, researcher has also stated the way
through which online business prospects can be managed suitably.

1.2 Rationale of the study
The present research study has been made with an attempt to highlight the concept of pay
per click adverstiment along with its benefits to business entities. Pay per click is an online
advertising model in which business entities display advertisements for their goods or services at
the time when people search for things on online sources. Most of the time, Pay per click refers
to a paid search advertising or search marketing that is the practice of online advertising. Well
managed and optimized PPC campaigns can be considered a cost effective form of advertising
because it involves several activities that changes the promotional values of business practices.
Unlike traditional forms of advertising, Pay per click is designed to reach individual site visitors
who have already expressed interest in a product or service (Trehan, 2007). Thus, through the
basic concept, it can be said that pay per click is not just a source of promoting and advertising
the products; but also it aids in creating customer base on higher extent. In this respect,
researcher has also discussed the complimentary aspects of pay per click on inbound marketing
efforts. This is also essential for the purpose of maximizing the business success facets (Tavares
Thomé and et.al., 2012).
1.3 Research aims and objectives
Research Aim
The main aim of this research proposal is to analyze the effect of the PPC (pay-per-click)
to small businesses- A case study of Jesmond Dene Hotel
Research Questions
 What is the meaning and significance of using pay per click advertising for small and
medium business enterprises?
 What are the different challenges that Jesmond Dene might face while developing
1.4 Research questions
 To understand the meaning and significance of pay per click advertising
 To analyze the advantages of PPC for small business enterprises
 To analyze the challenges that Jesmond Dene face while developing PPC for their
business.