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What Is Cost Per Click (CPC)? Launch Your CPC Campaign

Cost per click (CPC) is one of the most important metrics for calculating how much you're spending on your paid advertising campaigns. It measures how much you spend on each click your ads earn. Keep reading to learn more!

FAQs about CPC marketing

Learn more about CPC in the FAQ below:

Is it better to have a high or low CPC?

You always want to have a low CPC. A low CPC in marketing means you can allow more clicks for your budget, which means more potential leads. It also ensures that you have a high return on investment (ROI) because you’ll earn much more money back than you spent.

It’s important to think about your CPC in regard to the products you sell in your ads. If an average sale earns your business $20 and your CPC is $10, you’re not leaving much room for profit. A lower CPC, like $2, allows for a better ROI.

What’s the difference between CPC and CPM?

When you look into CPC, you’ll also see cost per thousand (CPM). CPM stands for cost per “mille,” in which the M is representative of the Roman numeral for 1000 (1000 impressions). So, what’s the difference between these two?

CPC focuses on the cost for each person that clicks on your ad. CPM focuses on the number of people who see your ad, but don’t necessarily click on it. CPM focuses more on impressions and reaching people with your ad, while CPC focuses on engaging people and getting them to click on your ad.

So, which one is best for your business?

When you’re running a PPC ad, most businesses focus on measuring CPC. Since PPC visitors are 50% more likely to convert than organic visitors, businesses focus on getting these leads to click on their ads and earn conversions.

If you want to focus on CPM for PPC ads, you can do that too. People will still see your ad and become familiar with your brand. It can help you expose your brand, a new product, or a new service to your audience, which can earn your business conversions down the line.

As for social media, many businesses measure both CPM and CPC. Since social media ads tend to blend into newsfeeds, they are great for building brand recognition. You can reach more people and expose them to your brand.

When you focus on CPC with social ads, you focus on driving leads to your social media pages or to your website. You can easily track this metric to see how your audience interacts with your ad.

Overall, if you’re aiming to improve brand awareness, CPM is the best measurement. It will help you focus on making as many impressions as possible with your budget.

On the other hand, if you’re more focused on earning conversions, CPC is a better fit. CPC focuses on keeping your costs low so you can earn more clicks and subsequently more leads that convert.

WebFX will help you lower your CPC

When you run an advertising campaign, you want to keep your CPC low to allow more clicks for your budget. A low CPC in advertising will allow you to get a greater ROI on your advertising campaign. At WebFX, we have more than 25 years of experience creating advertising campaigns that drive results.

We’re a full-service digital marketing company that specializes in advertising strategies, like PPC. Our team of 500+ experts will bring their knowledge and expertise to your campaign. We have PPC experts that are AdWords certified and know how to create a successful campaign.

If you’re looking for an advertising company that drives results, look no further. To date, we’ve driven over $6 billion in sales and over 7.8 million leads for our clients. We focus on driving success for our clients first.

Want to know what it’s like to partner with us? Just ask our clients! Check out our 1090+ client testimonials that attest to the great work we do!

Lower your CPC today

If you’re ready to lower your CPC to gain a better ROI, contact us online or call us today at 888-601-5359 to speak with a strategist about our digital advertising services.

We look forward to hearing from you!