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CPC (Cost Per Click)
Definition
A pricing model where advertisers pay for each click on their ad. Common in PPC (pay-per-click) advertising on platforms like Google Ads and Facebook.
In Detail
CPC is one of the most transparent pricing models because you only pay when a user actively engages with your ad by clicking. Average CPC varies dramatically by platform and industry: Google Search ads average $1-$2 per click but can reach $50+ in competitive niches like insurance or law. Facebook and Instagram CPCs typically range from $0.20 to $1.50, while TikTok and push notification networks can go as low as $0.01-$0.05 per click. The key to profitability is the ratio between CPC and your earnings per click (EPC). If your EPC is $0.80 and your CPC is $0.30, you are profitable. Smart media buyers constantly split-test creatives, audiences, and placements to lower their CPC. One practical technique is to improve your ad relevance score — platforms reward highly engaging ads with lower CPCs. In affiliate marketing careers, understanding CPC optimization is a core skill for media buyers. Many job listings specifically require experience managing CPC campaigns on Facebook, Google, or TikTok with proven ability to maintain CPCs below target thresholds. Teams often track CPC trends daily and set alerts when costs spike above acceptable levels, triggering immediate creative rotation or audience adjustments.
Related Terms
CPM (Cost Per Mille)
A pricing model where advertisers pay per 1,000 impressions of their ad. "Mille" means thousand in Latin. Used for brand awareness campaigns.
CTR (Click-Through Rate)
The percentage of people who click on an ad after seeing it. Calculated as Clicks / Impressions × 100%. Measures ad creative effectiveness.
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