Sponsored links are text-based advertisements that describe an advertiser’s Web site and the products and services offered. A hyperlink is included, so that interested consumers may click on the advertisement and go to the advertised site.

Typically charged on a Pay per click model, when Web surfers click on an advertisement and visit the advertiser site, charges are made on a pre-determined amount that the advertiser has agreed to pay. The prices of sponsored links are usually set through a bidding system, where higher bids (along with other factors including performance, etc.) result in more prominent placement.