PPC is, without a doubt, one of the biggest stumbling blocks to new affiliates (and even some veterans).

PPC stands for “pay per click” and is a form of marketing associated with search engines and targeted results.

Basically, someone who wants to promote a site or offer goes to Yahoo!, Google or MSN and makes bids on a number of keywords so that the search results for a certain phrase includes the site or offer that the marketer is promoting.

For instance, if I were selling shoes I might bid on keywords such as running shoe, walking shoe, sandals, etc… the trick is to narrow down your keyword selections to a as high a degree as possible. This maximizes your return and minimizes the amount of money that you can spend.

The reason is that you are bidding against others for particular spots on “Sponsored Ads” or “Sponsored Links” sections of search results (see Google, MSN or Yahoo!). In this scenario, you pay everytime someone clicks your offer or ad.

PPC is an entire universe of tactics, ideas and theories. However, it’s an integral part of any affiliate marketer’s arsenal because it helps people who you are targeting find your site.

However, there are a number of potential issues you have to educate yourself on before you hop into the world of keyword bidding such as trademark issues and arbitrage (which is frowned upon).

There are a number of tools out there to help you find better keywords that give you the most bang for your buck. You can see those with a search on any search engine. What are your favorite keyword tools? I normally stick with Google AdWords Keyword Finder, but there are a plethora out there. Leave your suggestions in the comments.

You can find more info here:

Google AdWords

Yahoo! Search Marketing

MSN adCenter