Search Engine Journal contributor Brooke Osmundson has published an article explaining the Cost Per Click (CPC) bidding.

She says, “CPC (cost per click) is a common term used in paid advertising.

It is also sometimes referred to as “pay-per-click.”

This comprehensive guide will dive into the basics of CPC, why it’s important, and when to use it.

What Is Cost Per Click?

Cost per click is a bidding model that determines how much advertisers pay for their ads.

The technical definition of cost per click, according to Google:

Cost-per-click (CPC) bidding means that you pay for each click on your ads.

How To Calculate Cost Per Click?

To calculate cost per click, you take your total ad cost divided by the number of clicks received.

For example, if your campaign spent $500 in a day and you received 100 clicks, your calculated CPC would be $5.00.”

What Is Cost Per Click (CPC)?

Search Engine Journal

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