On average, PPC (Pay per Click) costs between $108,000 to $120,000 per year. If you’re only getting into PPC, there are a few things to know about it. Hence, CPC Cost per Click is one of them.

While CPC appears to be what you pay per click on your ad, it’s much more than that. It’s one of the most critical metrics to track and optimize to get a decent return on investment. What you spend has a significant impact when you’re trying to grow your website.

Want to maximize CPC? Read on to learn how cost per click works here.

What is CPC (Cost per Click)

What is CPC

You get charged every time someone clicks on one of your PPC adverts. Yet, you set the highest price you’re willing to spend at the keyword level. So, depending on the keyword and importance to your business, you might bid higher or lower.

The cost per click (CPC) is the price you pay for these clicks based on the keywords you’re bidding on. The amount you pay for clicks impacts your campaign’s performance, including:

  • Clicks you receive for a set budget
  • Visibility and frequency of your ad
  • ROAS (return on ad spend) and its profitability

To grow a website, you need to run a successful campaign ad. Drive the highest ROI without missing out on sales or lead possibilities. If you set your bids too low, your advertising won’t show up enough or won’t result in conversions.

How Is It Calculated?

It’s vital to remember that the max cost per click you set for a keyword is not the same as the final amount you pay. In reality, you only have to pay the smallest amount. Thus, you can clear the Ad Rank requirements and outrank the competitor below you.

However, the actual CPC you pay is not the same as the Max CPC or Average CPC you pay.

Max CPC is the maximum price you are willing to pay per click set in your ads account. On the flip side, the Average CPC is the total cost of all your clicks divided by the total number of clicks. Actual CPC is the actual price you pay for a click.

You calculate the Actual CPC by dividing Competitor Ad Rank by your Quality Score plus 0.1.

There is a slew of other factors that influence your CPC. And in this guide, you’ll learn how to lower your cost per click and improve your ad performance.

How to Improve Your CPC?

Improve Your CPC

So, how do you improve SEO marketing and lower the price you pay per click? In this case, there are two main routes to take:

Raise Your Quality Score

Google’s system rewards well-managed PPC campaigns with high Quality Scores with pricing discounts. Grab this chance by increasing your click-through rates and creating compelling ads. Try to build out related ad groups and optimize ad text and landing pages.

Expand Your Reach

You must know what is SEO to move forward with your CPC.

Through SEO, discover fresh, relevant, and valuable clicks. Come up with new PPC keywords and search advertising chances to do this.

Also, remove unnecessary or costly clicks from your ads.

The Takeaway With CPC Cost per Click


A low CPC Cost per Click determines PPC success. In the end, it translates into your cost per conversion. Better optimize your campaign now and reap the results by following the tips above!

For more content like this, check out the rest of our blog posts.

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