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PPC stands for pay-per-click, a model of internet marketing in which advertisers pay a fee each time one of their ads is clicked. Essentially, it's a way of buying visits to your site, rather than attempting to “earn” those visits organically. Search engine advertising is one of the most popular forms of PPC.
PPC is an online advertising model used to drive traffic to a website. The website owner creates an ad, identifies related keyword terms, and bids for that keyword term. The ad will appear when someone searches for the related keyword term. The website owner pays a fee when the visitor clicks on the sponsored ad, and this it is why it is called "pay per click."
Google gives you perfect answer
If you are accustomed to using Google and other search engines, you might have come across PPC ads. For example, if you search a query for "article marketing" on the search box and press enter, you will get a list of websites as results to your query. But before these, there is a section that includes Sponsored Ads related to "article marketing". These are examples of PPC ads.
How do these ads get to the Sponsored Ads along with the other unpaid results? First, the search engines and other websites sell the listings in an auction. Advertisers get to be in the listing of sponsored ads by bidding on the keywords they think are related to their businesses. The price of the keyword depends on the quality score of the keyword. Several variables such as the demand of the keyword and the number of websites using the keyword determine the price of the keywords.
Pay-per-click marketing, also known as “paid search” marketing – an advertising channel on search engines where businesses/individuals may bid on keywords used in searches