Glossary

Cost Per Click (CPC)

Cost per click, or CPC, is the average amount you pay each time someone clicks your ad.

Formula

CPC = ad spend ÷ clicks

Example

Spending $600 for 400 clicks is a CPC of $1.50.

How to read it

CPC varies a lot by city and industry. See real ranges on our location pages.

Why it matters

CPC varies widely by industry and city. See real ranges on our location pages. What matters most is what those clicks turn into.

Common mistakes

  • Chasing the cheapest clicks instead of the right ones.
  • Bidding on broad keywords that bring the wrong searches.
  • Judging campaigns on CPC alone.

How to improve CPC

  1. Improve ad relevance and Quality Score.
  2. Add negative keywords to block wasted searches.
  3. Target the searches that convert, not the broadest ones.
  4. Test Facebook and Instagram for cheaper reach.

Sources: Google Ads Help: Cost-per-click (CPC)

Related: Ad costs by city

Related terms

FAQ

Straight answers.

What is CPC?

Cost per click, or CPC, is the average amount you pay each time someone clicks your ad.

Why does CPC matter?

CPC varies widely by industry and city. See real ranges on our location pages. What matters most is what those clicks turn into.

How do you calculate CPC?

CPC = ad spend ÷ clicks. Spending $600 for 400 clicks is a CPC of $1.50.

How do you improve CPC?

Improve ad relevance and Quality Score. Add negative keywords to block wasted searches. Target the searches that convert, not the broadest ones. Test Facebook and Instagram for cheaper reach.

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