CPC or Cost per Click is a pricing model in online marketing advertsing.
CPC meaning is quite simple: each user’s click on your ad is paid. It doesn’t matter how many people saw the ad. The main thing is how many are interested in the offer and clicked on it to move on.
CPC (Cost per Click) model is more predictable and stable. CPC allows you to more accurately predict how many clicks you will receive based on your budget.
CPC model calculation
Let’s say your goal is to sell a hair growth product for $5.
Your budget is $100.
CPC traffic costs $ 0.05 per click.
For your budget, you got 100/$ 0.05 = 2000 clicks.
Of these, 50 people bought your product.
Received: 50*$5 = $250.
Your income: $250-$100 = $150.
How much you spend on customer acquisition depends on the correct choice of model. At the same time, choosing the right CPC vs CPM model is no less important than making a cool advertising creative or choosing the bid with which you enter the bidding.
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