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what is the formula of cpc calculation ?

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

how to calculate the avg CPC ?


what is the formula of calculation the CPC ?



other one question


how to get the top ads position ?

1 Expert replyverified_user

Re: what is the formula of cpc calculation ?

Participant ✭ ✭ ✭
# 2
Participant ✭ ✭ ✭

Hi Lalit


Welcome to AdWords Community.....!


Avg CPC is total cost accured/total number of clicks, for example total cost for getting 100 clicks is 500 then avg cpc is 5(500/100).


Getting top ad position will led to higher avg cpc because of competition, but if you still want to have top slot for yourself then you can use the Target search page location bidding strategy or set automated rules to increase your bids if your avg. position is below the position you want.


Please read this AdWords help articles for more info;


Target search page location bidding strategy: -

Automated rules: -


Hope this helps!





Re: what is the formula of cpc calculation ?

Top Contributor
# 3
Top Contributor

Here is probably the most popular tutorial video on the topic;



Moshe, AdWords Top Contributor , Twitter | Linkedin | Community Profile | Ad-Globe
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Re: what is the formula of cpc calculation ?

Follower ✭ ✭ ✭
# 4
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Hi Lalit k


Just to add to what they've said.


Avg. CPC or average cost-per-click:

This is average price you pay each time someone clicks on your ads.

Avg. CPC is useful when you want to compare the performance of different keywords, campaigns, ads, etc. Also referred to as: pay-per-click.


[ Avg. CPC ] = [ Cost ] / [ Clicks ]

Let say you have: 400 clicks and it cost you 40 USD to get the 400 clicks, then the Avg. cpc = 400 / 40 = 10. And its the avg price you pay each time anyone clicks on your ads.


Cost per Click: It’s the price you pay each time someone clicks on your ad.


For you to get top ad position

Click Through Rate CTR , Landing page (what good landing page mean: It should have relevant and original content, easy to navigate, and transparent) and Ad relevance. All this help you to determine good quality score. And a good Quality score with Bid determines your Ad Rank. So the higher your AdRank, the better your Ad Position. So for you to get the top Ad Position, all this factors (metrics) that i bold, you have to improve them.



But for you to understand every question you asked, i would recommend this two youtube video for you, kindly take time and watch them, they are good videos that answer all question you asked:



Cheers and Always be good