What is CPC and how do you calculate it?
CPC (cost per click) is the average paid for each click on an ad: spend divided by clicks. $1,200 for 800 clicks is a $1.50 CPC.
Rearranged: clicks = budget ÷ CPC, and budget = CPC × clicks.
Max CPC vs actual CPC vs average CPC
In Google Ads, max CPC is the most you bid for a click, actual CPC is what one click cost (often less than the max), and average CPC is total cost divided by clicks, which is what this calculator works out.
CPC depends on CPM and CTR
Every click is bought through impressions, so CPC = CPM ÷ (CTR × 10). A $10 CPM at a 1% CTR is a $1.00 CPC; lift CTR to 2% and CPC halves to $0.50 with no change in what impressions cost. Improving the ad is often the cheapest way to lower CPC.
| Metric | Formula | Tells you |
|---|---|---|
| CPM | spend ÷ impressions × 1,000 | what reach costs |
| CPC | spend ÷ clicks | what traffic costs |
| CTR | clicks ÷ impressions × 100 | how compelling the ad is |
| Conversion rate | conversions ÷ clicks × 100 | how well the landing page converts |
| CPA | spend ÷ conversions | what a result costs |
| ROAS | revenue ÷ spend | what each $1 of spend returns |
How to calculate CPC
- Choose what to calculate. Pick CPC, ad spend or clicks.
- Enter the other two values. Type the two you know, from your ad platform’s report for the same date range.
- Read the result. The answer updates as you type, using CPC = ad spend ÷ clicks.
Frequently asked questions
What is the CPC formula?
CPC = total ad spend ÷ total clicks. Work it out from the totals for the period rather than averaging daily CPCs.
What is a good CPC?
It varies by platform, industry, keyword and audience. A CPC is good when the clicks convert at a cost per acquisition the business can afford, so judge it with conversion rate: CPA = CPC ÷ conversion rate.
How many clicks will my budget get?
Divide the budget by the expected CPC. $3,000 at a $1.50 CPC buys about 2,000 clicks.
How do I lower my CPC?
Raise CTR with better ads and tighter keyword or audience match, improve landing page experience (which affects Google Ads Quality Score), and add negative keywords so budget isn’t spent on irrelevant searches.