Cost per Click (CPC)
What is Cost per Click (CPC)?
CPC (Cost per Click) is a way to charge advertisers for every click on one of their ads. If a campaign has a CPC of $2.31, it means an advertiser pays $2.31 to the owner of the ad space, whenever someone clicks on their ad.
How to calculate CPC
To calculate CPC, you will need:
- Spend: The advertising spend
- Clicks: The number of clicks
Ash has spent $20,000 on advertising and had 7,300 clicks. You can calculate the CPC as follows:
CPC = Spend ÷ Clicks CPC = $20,000 ÷ 7,300 CPC = $2.74
CPC is just one way to purchase/bid for advertising. CPM and CPA are the other most popular ways to do this: