What is CPC?
Cost per Click (CPC) is a billing model in online marketing where advertisers only pay when a user actually clicks on their ad. CPC varies greatly depending on platform, industry, and keyword competition - from a few cents for generic terms to over €50 for highly competitive keywords like "insurance" or "credit." In Google Ads, the actual CPC is determined by an auction and can be lower than the maximum bid. Average CPC is an important metric for budget planning and campaign optimization. Together with conversion rate, it yields CPA (Cost per Acquisition).
Key Points
- Payment only for actual clicks
- CPC varies greatly by industry and keyword
- Quality score influences actual CPC
- Average CPC for budget planning
- CPC x Conversions = Advertising costs
- CPC / Conversion rate = CPA
Practical Example
“Our average CPC for "Web Design Vienna" is €2.80, with a 5% conversion rate that yields a CPA of €56.”
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