The A-Z of e-commerce

Introduction: Cost per Click (CPC) is a digital advertising metric that represents the amount paid for each click on an ad in a pay-per-click (PPC) marketing campaign. CPC is used to gauge the cost-effectiveness and profitability of online advertising. Advertisers prefer CPC models for direct response campaigns, where the primary goal is to drive traffic to a website or landing page, as it allows them to only pay for measured engagement with their ads.

Calculating CPC:

CPC=Total Cost of Campaign / Number of Clicks

​Benefits of CPC Advertising:

• Cost Efficiency: Advertisers pay only when an ad is clicked, making CPC a cost-effective way to drive traffic.
• Budget Control: Advertisers can set daily and campaign budgets, ensuring that spending does not exceed predetermined limits.
• Performance Tracking: CPC campaigns offer immediate feedback on ad performance, allowing for quick adjustments to improve results.

Optimizing CPC Campaigns:

• Keyword Research: Identifying and targeting the right keywords that potential customers are using in their searches.
• Ad Quality and Relevance: Creating high-quality, relevant ads that meet the needs and interests of the target audience to improve click-through rates and reduce CPC.
• ‍Landing Page Optimization: Ensuring that the landing page is relevant, engaging, and easy to navigate to encourage conversions post-click.