Marketing Jargon Buster: Cost Per Click

What is ‘Cost Per Click’?

When you advertise with paid search, you often hear the term CPC bandied around. But what is it exactly?

Short for Cost Per Click, CPC refers to the price you pay for each click on your digital marketing ads. By clicking on your ads the customer is taken to the relevant page on your website or online listing, creating a valuable interaction for your business.

CPC varies greatly across different industries and depends on the competitiveness of the market you’re advertising in.

How to calculate Cost Per Click.

Cost Per Click (CPC) is calculated by dividing the advertising cost by the number of clicks generated by an advertisement. For example, if you’ve paid $50 for 500 clicks on your ad, then your CPC is 50/500, or $0.10.

RELATED: Marketing Jargon Buster: PPC


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