What is the average CPC?
The average CPC is the amount you paid on average per click on your ad. You calculate it by dividing ad costs by the number of clicks. It is an outcome in your reporting and not a setting, unlike the maximum CPC, which is a bidding limit.
Why is the average CPC important?
- Cost indicator: you quickly see whether clicks are getting more or less expensive.
- Comparable per keyword: it shows which keywords drive the highest cost per click.
- Basis for returns: together with the conversion rate it determines your cost per conversion.
Examples of the average CPC
- €300 in costs on 200 clicks is an average CPC of €1.50.
- A keyword with an average CPC of €2 and a conversion rate of 5 percent costs €40 per conversion.
- If the average CPC rises sharply after a change, that is a reason to review the search terms.
How do you use the average CPC?
Check the average CPC per campaign and per keyword in Google Ads and compare it with what a click may cost you. If it is too high, look at ad and landing page quality, your negative keywords and your bid strategy. Always judge it together with conversions, never on its own. Need help? See our Google Ads campaigns.