Cost Per Click (CPC)

Cost Per Click (CPC) is an online advertising pricing model where advertisers pay each time a user clicks on their ad. Commonly associated with search engines and display networks like Google Ads.

Factors Affecting CPC:

• Bid amount.

• Quality Score (ad relevance, CTR, landing page experience).

• Competition for keywords.

Importance:

• Helps manage paid marketing budgets.

• Measures advertising campaign effectiveness.

• Guides keyword bidding strategies.

Example:

If an Abu Dhabi-based travel company pays AED 3 for each click and receives 1,000 clicks, total ad spend is AED 3,000.