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Glossary > Cost-per-click (CPC)

Cost-per-click (CPC)

Cost-per-click (CPC) is a measurement of cost within the Pay-per-click (PPC) advertising model that indicates the cost an advertiser pays each time their ad is clicked by a user.

This measurement is primarily used to drive traffic to websites, and the cost is determined by the competitiveness of the ad’s keyword.

CPC is popular in search engine advertising and helps advertisers control their budget by paying only for actual user engagement with their ads.

Frequently asked questions
What is the difference between CPC and PPC? PPC is an advertising strategy where advertisers pay a fee each time their ad is clicked, while CPC is a measurement of cost or a metric within the PPC model used to determine the actual price paid for each click on an ad.
How is CPC calculated? CPC is calculated by dividing the total cost of clicks by the number of clicks received.
What is a good CPC rate? A good CPC rate varies by industry, but lower CPC rates generally indicate more cost-effective campaigns.
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