Cost Per Click (CPC)

Cost per click (CPC) is a payment method used by websites to charge based on the number of times a website visitor clicks on an ad.

May 3, 2021

So what does cost-per-click mean?

Variously known by the term pay-per-click (PPC), cost-per-click (CPC) is a billing method used by online sites based on the number of times a visitor clicks on an advertisement. As an alternative, cost-per-thousand (CPM) is based on the number of impressions, or viewers, in thousands, no matter whether each viewer clicks on the ad or not.

How is Cost Per Click calculated?

As an example, a website that has a CPC rate of 60 cents and delivers 1,000 click-throughs would charge $600 ($0.60 x 1000). The amount an advertiser pays for a click is usually determined either by a formula or by a bidding process.

Google AdWords cost per click

Setting cost-per-click (CPC) bids means that you pay for every click on your ads. In campaigns with CPC bids, you set a maximum cost-per-click bid - or simply "max CPC" - which is the highest amount you're willing to pay for a click on your ad.