Cost Per Click (CPC)

What Is CPC?

CPC stands for “Cost Per Click.” It is a metric used in online advertising to measure the average cost paid by an advertiser for each click on their ad. In marketing, CPC refers to the amount of money an advertiser pays each time a user clicks on their advertisement. This model is commonly used in pay-per-click (PPC) advertising campaigns, where advertisers bid on keywords or ad placements and are charged a certain amount for each click their ad receives.

How Does CPC Work?

Here’s how CPC works:

  • Advertisers Bid on Keywords: Advertisers participating in PPC auctions bid on specific keywords or phrases they want to target with their ads. These keywords are relevant to their products or services and are often used by users when searching for information online.
  • Ad Placement: Search engines and advertising platforms, such as Google Ads, Facebook Ads, or Bing Ads, determine ad placement based on factors like bid amount, ad quality, and relevance to the user’s search query or browsing behavior.
  • Auction Process: When a user enters a search query or visits a webpage, the advertising platform conducts an auction to determine which ads to display. The auction considers factors like bid amount and ad quality score.
  • Determining Ad Rank: Advertisers’ bids and ad quality scores (determined by ad relevance, landing page experience, and expected click-through rate) contribute to their ad rank, determining the ad’s position on the search results page or webpage.
  • Cost Calculation: The actual cost per click an advertiser pays is determined by the next highest bidder’s bid amount and ad quality score, divided by the advertiser’s quality score plus $0.01 (or the minimum bid increment). This ensures that advertisers pay a fair price relative to the quality and relevance of their ads.
  • Ad Display: Ads are displayed to users based on their search queries, browsing behavior, demographics, and other targeting criteria set by advertisers.
  • Charging Advertisers: Advertisers are charged each time a user clicks on their ad. The amount charged equals the bid amount required to beat the next highest bidder’s ad rank up to the maximum bid set by the advertiser.


Overall, CPC allows advertisers to pay only when users interact with their ads by clicking on them, making it a cost-effective and performance-driven advertising model.

Check out some other terms you may encounter in the Creator economy here.

Join Glewee Today

Launch unlimited campaigns with pre-vetted Creators and promote your Brand on social media.

Download the Creator App


Stay Connected With Glewee

Glewee Logo

Customizable Campaigns

Build, run, and manage campaigns.

Creator Marketplace

Discover pre-vetted Creators.

Brand and Creator Chat​

Contact Creators in real time.

User-Generated Content​

Commission tailor-made UGC.

Performance Metrics​

Measure, track, and evaluate campaign success.

Content Library ​

Store your content in one place.

For Brands

Scale your influencer marketing program with Glewee’s end-to-end platform.

For Creators

Monetize your social media following with Glewee’s intuitive mobile app.

For Agencies

Work with influencers for all your clients, all in one platform.


Getting Started

Launch your account to launch campaigns.

Launching Campaigns

Build campaigns in four easy steps.

Reviewing Performance

Track campaign performance & measure success.

Approving Content

Review drafts, request revisions, and approve for posting.

Paying Creators

Handle payments

Managing Creators

Discover your Creator team and collaborate in real time.


Getting Started

Become a Glewee Creator, authenticate your socials.

Finding Campaigns

Discover Brand deals from your phone.

Creating Content

Meet deliverables, follow guidelines, and get inspired.

Posting Content

Promote your favorite Brands across social media.

Getting Paid

Manage payments through your Glewee Wallet.

Adding Portfolio Content

Show your best work and tell Brands what you do best.



Get the insights you need to navigate influencer marketing and the Creator Economy.


Read about Glewee in the news.

Social Media Glossary

Explore our social media glossary


Health & Wellness

Your Brand’s winning formula.


Get your Brand into shape.


Nail your influencer marketing.


Turn heads on social media.


Promote your Brand to the fullest.

Food & Beverage

Cook up Brand-boosting campaigns.

Case Studies

Explore influencer marketing success stories here.

Glewee's Guide to Creator Marketing