Pay per Click (PPC)
Definition
PPC calculates advertising costs based on measured clicks.
A digital advertising billing model where costs occur upon a measured click.
Simply explained
In this model, costs arise for an ad when someone clicks on it.
Why it matters in practice
The term is relevant for systematically improving digital visibility, qualified traffic, and content findability.
Example from business
A search campaign bids on relevant terms and measures qualified inquiries after the click.
Limits and pitfalls
- Equating clicks with success or ignoring invalid traffic, attribution, and contribution margin.
Origin & history
PPC became a widespread auction model with search engine and display advertising.
Use in mid-sized companies
- Possible application: A search campaign bids on relevant terms and measures qualified inquiries after the click.
Frequently asked questions
What does pay-per-click mean?
A digital advertising billing model where costs are incurred upon a measured click. What mistakes should be avoided? Equating clicks with success or ignoring invalid traffic, attribution, and contribution margin.
Sources
Source checked on 10.10.2026. Editorial application examples are hypothetical; no proof of real customer results.
Editorially reviewed on: