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How the CPC campaign and CPA campaign are different in performace

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hi All,

 

Can you please explain, How the CPA campaign and CPC campaign are different in performance wise. Also how CTR is the part of the campaign performance. If we set a CTR value as  0.01%, it means every impression must got the click right. How the campaign knows whether the user click or not[ Unpredictable right].

 

Can you please explain this ?

 

Thanks,

Sridaran B

Re: How the CPC campaign and CPA campaign are different in performace

Participant ✭ ✭ ✭
# 2
Participant ✭ ✭ ✭
Hi Sridaran,

Cost per acquisition (CPA) and Cost per click (CPC) bidding are 2 different strategies that concentrate on those respective Key performance indicators (KPI). A CPC strategy will aim to achieve a certain CPC, if target or will not exceed that CPC if maximum. Whereas a CPA campaign will concentrate on acquiring a CPA at your target or under your maximum.

I ma a little confused at your CTR question, this is not something that you set. Your CTR (click through rate) is the ratio between impressions and clicks. In your example a CTR of 0.01% means that for every 10 000 impressions you are receiving 1 click.

Learn more about CPA bidding here:
https://support.google.com/adwords/answer/2472713?hl=en

Learn more about CPC here:
https://support.google.com/adwords/answer/116495?hl=en

Learn more about bidding strategies here:
https://support.google.com/adwords/answer/2472725?hl=en

Learn more about CTR here:
https://support.google.com/adwords/answer/2615875?hl=en


Hope this helps!

Re: How the CPC campaign and CPA campaign are different in performace

Participant ✭ ☆ ☆
# 3
Participant ✭ ☆ ☆

Hi,

The campaigns with CPC bidding looks to get Clicks on the ads irrespective of conversion data. while the Campaigns with CPA bids look for clicks that are most likely to convert, it considers the previous conversion data. For both types of campaigns you pay only when your ads gets clicks. 

 

CTR helps to improve the quality score of the keywords and it tells us that we are targeting the right kind of customers who are interested in our ads.

 

You also refer all the links provided by clynton.

 

Thanks and Regards

John Paul