# What is CPC (cost per click)?

> CPC is what you pay, on average, for each click on your ad. Here is the formula, a worked example, and how CPC links to CPM and CTR.
- **Author**: Marxx
- **Published**: 2026-10-24
- **Category**: Metrics
- **URL**: https://marxx.ai/library-glossary/cpc

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CPC (cost per click) is what you pay, on average, each time someone clicks your ad. If you spend INR 10,000 and get 2,000 clicks, your CPC is INR 5.

## The formula

CPC = ad spend / clicks

On Meta, check which clicks you mean. "CPC (all)" counts every click, tap and swipe, including reactions and clicks to your Page profile. "CPC (cost per link click)" counts only clicks on links in the ad that lead to a destination, such as your website (checked 2026-10-20). Use the link one for sales campaigns.

## A worked example

Your ad spends INR 18,000. It gets 1,50,000 impressions and 2,250 link clicks.

- CPC = 18,000 / 2,250 = **INR 8**
- CPM = (18,000 / 1,50,000) x 1,000 = INR 120
- CTR = 2,250 / 1,50,000 = 1.5%

These three are tied together: CPC = CPM / (CTR x 1,000). Here, 120 / (0.015 x 1,000) = INR 8. So to lower CPC, either lower [CPM](/glossary/cpm) or raise [CTR](/glossary/ctr).

## How to lower CPC

1. Write a stronger hook, so more people who see the ad click it.
2. Make the offer clear in the first line of text.
3. Cut placements with lots of views and few clicks.
4. Refresh ads that have run for weeks to the same people.

## Does a low CPC mean a good ad?

No. Cheap clicks from people who never buy are expensive in the end. Judge an ad by [cost per purchase](/glossary/cpa) or cost per lead. CPC tells you why that number moved.

## FAQ

### Is CPC the same on Google and Meta?

The formula is the same. On Google Search you usually pay per click, and the price is set in an auction each time someone searches. On Meta you usually pay per impression and CPC is the result (checked 2026-10-20).

### Why is my CPC rising?

Common reasons: higher competition in a sale season, an ad people have seen too often, or a narrower audience.

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