Raise Your Quality Score – Google has created an automated system that offers pricing discounts to well-managed PPC campaigns with high Quality Scores. So how do you go about lowering the price you’re paying for each click, while sustaining (or even improving upon) the value of your visits? Two key paths of action come into play here: Learn more about CPC and 28 other PPC metrics here. You want to identify and target clicks that are both inexpensive and valuable. Since the overall ROI of your campaigns is determined by how much you’re paying for clicks and the quality of traffic they’re bringing in, it is important to think about cost per click in terms of both cost and value. Your return on investment, whether you’re over- or underpaying for each action, will be determined by how much you are paying for clicks, and by what kind of quality you are getting for that investment. The Importance of Cost Per Click in Search AdvertisingĬost-per-click is important because it is the number that is going to determine the financial success of your paid search campaigns, and how much Google Ads will cost for you. Because of how Google’s ad auction works, your actual cost per click is heavily influenced by both you and your closest competitor’s ad rank, maximum bid, and Quality Score.Ĭould you be saving costs in Google Ads? Use our Free Google Ads Performance Grader to find out.
Your cost per click is the Ad Rank of the ad below you, divided by your Quality Score, plus one cent.Īs an advertiser, your cost per click will always be less than or equal to your maximum bid, as it is an average of bids against a series of competitors over a period of time.
What type of attention you’re going after, and.This attention is what you’re buying, as an advertiser, so it’s important to note two factors: Every click in a PPC campaign represents attention from a person who is searching for something that you offer. How to lower your cost per click while maintaining (or even improving) traffic and conversion levels.Ī “click” on one of your PPC text ads or display banner ads represents a visit, or an interaction with your company’s product or service offering.Why CPC is important to you and your PPC campaigns.A more thorough definition of cost per click.Cost Per Click (CPC) refers to the actual price you pay for each click in your pay-per-click (PPC) marketing campaigns.
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