CPC Vs PPC
This blog is about CPC Vs PPC in digital marketing. PPC and CPC play an important role in digital marketing. Similarly, in a business CPC and PPC playing a vital role in the development of the business. We will discuss about how both are a part of a business. Let’s start by knowing what is PPC and CPC.
CPC vs PPC – Internet Marketing
PPC stand for pay-per-click. It is an internet marketing model. In this model the advertisers pay a fee whenever a customer clicks on their AD each time. Sometimes PPC is also referred as CPC. CPC stands for cost-per-click. When the advertisers use their ads on a website, they do not have to pay fees like rent. Advertisers only get to pay when someone clicks on their ad. This click by a visitor generates revenue for them. In turn the owner of the website or where the ad is displayed receive money as well.
PPC affiliate programs are the following
- Google AdWords
- Google AdSense
- YouTube Ads etc.
These are the ones that are based on the PPC concept. There are many affiliate programs that use PPC advertising model.
Some of the firms call PPC as CPC while some call CPC as PPC. In general terms both are the same.
Role in Digital Marketing – CPC vs PPC
PPC advertising model plays an important role in digital marketing because it can be used in various way directly or indirectly in digital marketing techniques. Some of the important roles are given below
- Search Engine Marketing (SEM)
- Social Media Marketing (SAM)
- Display Ads
- Affiliated Marketing
Search engine marketing uses search engines like Google, Yahoo and Bing. When someone is searching for something using a specific keyword then the results displayed on the top will have a small ad logo besides them. This is because the company paid for their advertising.
If you are using Google as a search engine then you will get two types of results. The top ones will have an ad logo meaning that those are advertised on the search engine and after those will be normal listing using good SEO and keywords.
So, when you type in Real Estate in Google, the top result you will get is an Advertised one. This company has paid to show their advertisements on the search engine.
How does SEM work? CPC Vs PPC
Let’s look at the results of a search query or a keyword Real Estate
Why is the first one on top? The keyword is Real Estate. So, the first one has more CPC or PPC. It means that it will pay more when someone visits their website. If a customer clicks on the advertisement, then Google will receive more money from the first one as compared to the second one. The strategy is pretty simple. The more you pay or the higher the value of your PPC or CPC, the results will be displayed on the top. For example, the PPC of the first one is $10 then the PPC of the second one would be less than $10.
This bidding amount of the first one is higher than the second. So, the one who wins the bid gets the top spot in SEM.
CPC vs PPC – Same but Different!
Although people might confuse both as same like most of the firms do. But they actually have different meanings.
PPC means pay per click. This means that you are paying for the clicks only. If there are no click then there is no payment.
CPC means Cost Per Click. This means that the actual cost you pay for those specific clicks.
This is a simple concept both things are different but they are related. PPC is the concept of paying for the clicks only. For example, an advertiser advertises an ad on a website. PPC will be used this means that the advertisers will only pay the owner for the clicks he gets from the visitors. The advertiser will not pay for anything other than clicks like space on website etc.
Now “how much the advertiser pays” is the CPC. Suppose that the advertiser pays $1 for a click. Then the CPC of that ad is $1. If the ad is clicked 1000 times, then the advertiser has to pay $1000 to the platform owner. PPC is like a condition that specifies the payment process. Other than that, the advertiser has no obligation to pay anything. But the real concept of the CPC is kind of complicated but this is the summary of it for basic understanding. Now in CPC vs PPC, there is no competition. Both of them work together doing different tasks at the same time. Similarly, both of them have their own unique functionalities.
Most of the digital marketers refer these two as one but that is not current. Although they might seem same but they are completely different terms and advertising models. This was it; we hope now you understand the difference between the two. For more information feel free to contact us any time.