[mikekchar]

I've seen the numbers for the company I work at and when they adjust their Google ad spending amount, it correlates pretty directly to sales. I was quite surprised as I had a similar feeling before seeing that.

What's interesting, though, is that the company I work for does a lot of repeat business. So I don't think we actually pick up many new customers. It's more that the ads encourage our existing customers to visit us again. They may not even click on the ad.

[jwagenet]

Then the ad is doing exactly what it needs to. As mentioned elsewhere, the ad doesn't even need clicks; as long as the ad instills a conscious reminder or unconscious reinforcement of the product/brand then it's done its job.