What is a CPC (Cost Per Click)?
Formula: Total Cost of Clicks / Number of Clicks
The average amount paid for each click in paid search or social media advertising. For example, competitive keywords in Google Ads like "insurance" can have CPCs over $50, while niche terms might cost under $1. Used extensively in Google Ads, Facebook Ads, and other digital advertising platforms. E-commerce businesses like Amazon and eBay carefully optimize their CPC bidding strategies.
CPC rates depend on keyword competition, quality score, ad relevance, and industry factors. Market demand and seasonal trends also affect click costs.
Lower CPC by improving quality scores, refining targeting, and optimizing ad relevance. Focus on keyword selection, ad copy testing, and landing page quality.
Good CPC varies by industry and platform. Compare costs against conversion value and ROI goals to determine acceptable CPC levels.
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