Advertising Glossary
CPC

Cost Per Click (CPC)

What is CPC?

CPC stands for Cost Per Click and measures the average amount you pay each time someone clicks on your ad. It is one of the most common billing models in digital advertising, especially for campaigns focused on traffic, conversions, or app installs.

Formula

CPC = Total Ad Spend / Total Clicks

Example

If you spend $200 and receive 400 clicks: CPC = $200 / 400 = $0.50. Each click on your ad cost you fifty cents.

Industry Benchmarks

Facebook$0.50 – $2.00

Lower for broad audiences

Instagram$0.70 – $3.00

Higher due to visual engagement

Google Search$1.00 – $5.00

Intent-driven, higher value

TikTok$0.30 – $1.50

Younger audience, growing platform

Benchmarks are approximate averages and vary by industry, targeting, season, and geography.

Optimization Tips

  1. 1

    Write compelling ad copy with clear calls to action that match user intent to improve click quality.

  2. 2

    Use audience segmentation to show ads to people most likely to engage, reducing wasted spend.

  3. 3

    Test different ad formats like carousels and video, which often achieve lower CPCs than static images.

  4. 4

    Optimize your landing page experience because post-click behavior signals feed back into ad delivery.

Frequently Asked Questions About CPC

Track Your CPC in Real Time

Adship gives you a unified dashboard to monitor CPC, optimize campaigns, and improve performance across Meta and TikTok.