What is a good cost per click?
The one your conversion rate and margin can carry. A five dollar click is cheap for a product with a four hundred dollar margin and ruinous for one with a ten dollar margin. Published averages mix both together.
What one click costs, and what it costs by the time it becomes an order. Fill in two of the three.
Fill in any two of spend, clicks and cost per click. Add a conversion rate and the click price turns into the figure a budget is spent against.
Everything here is worked out in your browser. Nothing you type is sent anywhere, and there is no account to make.
Leave this blank to work it out from the other two.
Optional. Turns the click price into a cost per conversion.
Optional. Adds revenue and ROAS.
Result
The numbers below are an example so the tool opens working. Replace them with yours.
What comes out
How to use it
From one platform and one window. A blended cost per click across two platforms describes neither of them.
Or enter a click price and a budget, and leave clicks blank, to see the traffic a budget buys.
This is the step that makes the number useful. A click price is not a cost you can judge until you know how many clicks a sale takes.
Cost per click is spend divided by clicks: what one visit costs. It is the price you pay to get somebody onto the page, and nothing more than that.
Which is why it is a poor way to judge a campaign on its own. At a 2.4% conversion rate a 1.50 click costs 62.50 per order, and at 1.2% the same click costs 125. The click price did not move; the only thing that changed was what happened after it.
The result here shows both, in that order, so the second one is not something you have to work out separately.
The obvious way to lower a cost per click is to widen the targeting or move to a cheaper placement. Both of those reach people with less intent, and less intent converts worse.
So a campaign can halve its click price and still make every order more expensive. Nothing in the cost per click shows that, and a report built on it will read as an improvement.
Add the rate and the two numbers argue with each other, which is the point.
The tool
Leave spend, clicks or the click price blank and the tool works out that one.
Give it your rate and it says how many of those clicks become orders, and what each one cost.
Add an order value and the whole chain appears: clicks, conversions, revenue, return.
This is arithmetic on numbers you supply. It does not estimate, forecast or apply a benchmark from somewhere else.
All three filled and disagreeing by more than one percent gets named rather than quietly resolved.
Six currencies, formatted the way each one is normally written.
Reading the result
We look at your search visibility across Google and the answer engines, and tell you what is costing you orders. No charge for the first look.
In practice
Take your margin, divide by your conversion rate, and you have the highest click price that still works. Then compare it with what you are paying.
Run the old placement and the new one with their own conversion rates. The cheaper clicks often lose.
Enter the click price you expect and the budget, leave clicks blank, and the traffic falls out.
If the click price cannot fall, the rate has to rise. This shows how far.
Questions
The one your conversion rate and margin can carry. A five dollar click is cheap for a product with a four hundred dollar margin and ruinous for one with a ten dollar margin. Published averages mix both together.
Often because better ads win more auctions, including more competitive ones. Check the cost per conversion rather than the click price: if that fell, the campaign got better and the click price is the wrong place to look.
CPM prices being seen and CPC prices being clicked. If you know the clickthrough rate you can convert between them, which is what the CPM calculator does.
Carefully. A search click from somebody typing a buying query and a feed click from somebody scrolling are not the same thing, whatever they cost. Compare the cost per conversion instead.
Average, from what the account did. Max CPC is a ceiling you set, and on most auctions you pay less than it.
No. The calculation runs in your browser, with no account and nothing uploaded.
The rest of the set
Cost per click is an outcome of the auction, not a setting. It falls when relevance rises, so the levers are the ad and the page behind it before they are the bid.
Where this comes up