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cost per click (online ads) (CPC)

Cost-per-click(CPC) is a key performance indicator( KPI) that shows the cost-benefit ratio for online advertising.

In this billing model, which is offered in search engine advertising, among other things, the clicks on the banners are placed in relation to the costs for the online advertising. These costs can be used for the efficiency and optimization of online advertising. For example, if a banner costs Euro 3,000 for 100,000 ad impressions and the banner has been clicked on 600 times, then the click rate is 0.6%, resulting in Euro 5 per click. If the click rate increases to 800 clicks by optimizing the advertising format, then the costs per click are Euro 3.75.

Cost-per-X models of online advertising

Cost-per-X models of online advertising

In addition to the costs per click, there are more differentiated evaluations in which the costs are placed in relation to the actions, cost per action( CPA), to the orders, cost per order ( CPO) or to the generated prospective customer addresses, cost per lead ( CPL).

Informations:
Englisch: cost per click (online ads) - CPC
Updated at: 08.02.2020
#Words: 156
Links: click, key performance indicator (KPI), keyword performance indicator (KPI), online advertising (Ad), indium (In)
Translations: DE
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