Glossary · Metrics

CPC (cost per click)

CPC (cost per click) is the average amount you pay for each click on your ad. On Meta, CPC (cost per link click) counts only clicks through to your destination, while CPC (all) spreads spend across every kind of click.

Also called: cost per click, cost per link click, link CPC, CPC (all)

Formula

CPC = ad spend ÷ clicks (use link clicks for link CPC)

₹6,000 for 400 link clicks = a ₹15 link CPC. $300 for 250 link clicks = $1.20.

Why it matters

CPC tells you what it costs to get someone from the feed to your page. It sits between CPM and CPA, and it's driven by two things: CPC = CPM ÷ (1,000 × CTR). So it rises when impressions get dearer or when fewer people click. That makes it a useful diagnostic for creative and traffic costs — but not a goal. A cheap click that never buys is still waste.

Column What it counts Use it for
CPC (cost per link click) Clicks that take people to your website, app or other destination Judging traffic cost in sales campaigns
CPC (all) Every click on the ad, including taps on your Page or profile, expanding the media and other interactions Rarely useful for sales decisions

CPC (all) always looks cheaper, because it divides spend by more clicks. For e-commerce, stick to link CPC — or go one step further and track cost per landing page view, which only counts visits where your page actually loaded.

How to calculate it

Divide spend by link clicks for the same period. The CPM calculator works it out when you add clicks to spend and impressions, and gives you CTR alongside.

Worked example

Example: ₹12,000 spent, 80,000 impressions, 800 link clicks.

  • CPM = ₹150
  • Link CTR = 1.0%
  • Link CPC = ₹15

Now a new hook lifts link CTR to 1.5% at the same CPM. Link CPC falls to ₹10, and the same budget buys 1,200 visits instead of 800.

What's a good CPC?

It depends on country, category, season and offer, so any single number misleads. Work backwards instead: maximum CPC = maximum CPA × conversion rate. If you can afford ₹500 per purchase and 2% of visitors buy, you can pay up to ₹10 per link click. For typical costs and budgeting, see how much Meta ads cost in India.

How to improve it

  • Improve CTR: sharper opening lines, clear product shots and a reason to click now.
  • Lower CPM with broader targeting and flexible placements.
  • Don't buy cheap clicks with clickbait. They drag down conversion rate and cost you more per sale.

Common mistakes

  • Reporting CPC (all) as your traffic cost.
  • Optimising a sales campaign for link clicks because CPC looks cheaper — you get clickers, not buyers.
  • Judging creative on CPC alone. An ad with a higher CPC can have a far better conversion rate and a lower cost per purchase.

Frequently asked questions

What is the difference between CPC (all) and cost per link click?

Cost per link click only counts clicks that take people to your website or other destination. CPC (all) counts every click on the ad, including profile taps and expanding the image or video, so it's always lower. For sales campaigns, use cost per link click.

What is a good CPC for Facebook ads in India?

It depends on category, audience, season and offer, so there's no fixed good number. Work backwards by multiplying your maximum affordable CPA by your conversion rate. With a ₹500 maximum CPA and a 2% conversion rate, you can afford up to ₹10 per link click.

How can I lower my cost per click?

Raise your click-through rate with stronger hooks and clearer offers, since CPC falls when more people click at the same CPM. Broader targeting and flexible placements can also bring CPM down. Avoid optimising sales campaigns for clicks just to get a cheaper CPC, because that tends to attract people who don't buy.

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