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How is CPC (cost per click) calculated?

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Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

I would like to know how CPC (cost per click is calculated), so I can know how much a click on my ad is actually costing me. 

 

Having been suspended more than once for allowing our account balance to reach zero, we are interested to know how the cost per click is derived. After each lapse it goes back (restarts) to a high amount, but gradually settles to an affordable rate. Yes, we shouldn't allow our budget to deplete and subsequently suffer the consequences, but an understanding of how the rate is arrived at would be useful to manage our account, I'm sure.

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1 ACCEPTED SOLUTION

Accepted Solutions
Marked as Best Answer.
Solution
Accepted by Eric (Google Employee)
September 2015

Re: How is the cost per click calculated?

Top Contributor
# 2
Top Contributor

Hi JiminSA,

 

In order to understand how Google actually calculates your actual cost per click I would suggest you read these couple of references inside Google's notes. Here they are:

 

Actual cost-per-click (CPC)

 

How much do I pay for a click on my ad? What if my ad is the only one showing?

 

Let us know if that helps or not.

 

Pankaj

 

 


View solution in original post

Marked as Best Answer.
Solution
Accepted by Eric (Google Employee)
September 2015

Re: How is the cost per click calculated?

Top Contributor
# 2
Top Contributor

Hi JiminSA,

 

In order to understand how Google actually calculates your actual cost per click I would suggest you read these couple of references inside Google's notes. Here they are:

 

Actual cost-per-click (CPC)

 

How much do I pay for a click on my ad? What if my ad is the only one showing?

 

Let us know if that helps or not.

 

Pankaj

 

 


Re: How is the cost per click calculated?

Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭

Thanks so much for your input Pankaj! It was indeed helpful! (Sorry for the belated reply!)

Re: How is the cost per click calculated?

Visitor ✭ ✭ ✭
# 4
Visitor ✭ ✭ ✭
i want to know about this system

Re: How is the cost per click calculated?

Google Employee
# 5
Google Employee

A really great place to start is out articles section. Also, if you get stumped just post a new thread and I'm sure any of our community members would be happy to help. Smiley Very Happy

Re: How is the cost per click calculated?

Community Manager
# 6
Community Manager
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