What is CPC?

While it may have other meanings, CPC is commonly used as an acronym for cost-per-click. This digital-advertising term refers to the amount an advertiser pays each time an online user clicks on its banner or text ad.

CPC is an actual-cost quantification for the broader advertising platform known as pay-per-click or PPC. An online advertiser only pays for actual click-throughs on its ads, as opposed to paying an upfront placement fee or impression-based fee. To evaluate the results of a PPC campaign, an advertiser compares the cost-per-click for its click-throughs with the measured results, such as traffic or sales conversions.