CPC stands for Cost per Click, a pricing model in online marketing, particularly for paid advertisements. In this model, advertisers pay a specific amount each time a user clicks on their ad.
Where is CPC used?
How does CPC work?
- Advertisers set a budget and bid on specific keywords or target audiences.
- The click price can vary based on:
- Competition for the keyword or target market
- Quality of the ad (relevance, click-through rate)
- Maximum bid set by the advertiser
Advantages of CPC:
- Cost Control: You only pay when your ad generates a click.
- Measurable Results: It’s easy to track how many users clicked on the ad.
- Efficiency: Highly targeted, especially with a good conversion rate.
Disadvantages of CPC:
- Costs can increase: Especially for high-demand keywords.
- Not every click converts: Clicks don’t always result in sales.
