DexOne / DexKnows ReachLocal Reviews


Pay per click advertising is something that has been around for many years. Many people look at it only from one side, such as when entrepreneurs are considering the possibility of making residual income from utilizing such websites. However, there is another side of the coin that must be examined. The entire reason for the existence of these websites and pay per click companies is to create an effective form of advertising for companies to advertise their goods and services. If this cannot be accomplished effectively, it would only stand to reason that there would be no need for such a company to exist. However, while many companies are operating this type of advertisement on a legitimate basis, there are others whose operational methods are questionable at best.


Legitimate pay per click companies charge their customers approximately 10% to 15% of their advertising budget in markups and fees for pay per click advertising. It is a business model that has been proven to be successful and that has worked for a number of years. In fact, it is so popular that many companies of this type utilize the same business model with great success. It works well for everyone involved and has the potential to allow the company that is advertising goods and services to make more money while simultaneously allowing the company that is sponsoring the advertisements to make money as well. It has become a widely accepted practice within the industry for companies to operate in this fashion.


There is a reason that companies operate in this way when they are operating on a legitimate basis. They provide complete and total transparency for the companies that are paying for advertising because it is a necessary method of doing business. Most companies would simply not tolerate having a pay per click company that sponsors their advertisements without knowing exactly where the money is going and what it is being used for, as well as how well the advertisements are performing. As such, the more legitimate companies provide all of this information to their clients. As a result, these companies know exactly how much they are paying for advertising and why. They also know how much revenue is being generated based on these ads.


Unfortunately, there are quite a few pay per click companies like DexKnows and ReachLocal that are trying to lead the market without providing the necessary level of transparency that has always been so popular. These companies do not provide any numbers whatsoever when it comes to discussing the amount of revenue that has been generated through the ads that they sponsor. To make matters worse, they also refuse to tell their clients how much money they are actually charging for their services. In other words, the clients have no idea how much of a markup is involved when it comes to paying for this advertising.


Companies that operate in this fashion tell their clients that they must pay a flat rate and as a result, everyone is paying the same thing across the board. The problem is that these pay per click companies which are operating in this fashion are not telling their clients how much they themselves are charging as a markup. Companies are left in the dark and as a result, many of them are losing a great deal of money because they are paying markups that are absolutely ridiculous.


To make matters worse, many of the pay per click companies that operate in this fashion are trying to expand their advertising into other types of media. One popular example is television. Many television producers are trying to utilize the popularity of Internet based technology in order to get more viewers based on relevant Internet searches. As a result, these pay per click companies are charging flat rates and they are typically doing advertising that is completely ineffective because it is filtered through the pay per click company as well as the television company. By the time the smoke clears, it is highly unlikely that the technology is utilized at a level that will actually allow the companies that are paying for advertising to get any additional exposure. However, the pay per click businesses that are sponsoring the advertising are telling their clients a different story, claiming that they will also have television exposure which can dramatically increase their customer base. This is simply not true.


The end result is a complete lack of effectiveness when clients are unknowingly utilizing these pay per click businesses to sponsor their advertising. In addition, it hurts the legitimate businesses that are out there because the entire industry eventually takes the punishment for what only a handful of companies are doing. Either way, everyone suffers in the process and no one really makes any money except them.


Essentially, the only way to fix this problem is to require all pay per click companies to provide total transparency to their clients, including how much they are marking up their price and how effective the advertising has been over the last quarter. Producing these types of numbers will force them to play fair in a world where it seems as though many companies are trying to get the upper hand regardless of the consequences.



What to look for when searching for a Pay Per Click advertising company?

  • Services
  • Transparency
  • Experience
  • Support



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