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CPC is the amount that you pay search engines and other internet publishers for one click on your ad that brings one visitor to your website.

How is CPC measured per engine?

Google- Actual CPC in Google is derived from a relevancy formula. The higher your CTR, the lower your CPC.

AdWords is designed to reward relevance.
AdRank = CTR X Max Bid (CPC)

1. Minimum of 1,000 impression/keyword for reliable data
2. CTR for new keywords (<1,000 impressions) is blended with historical performance of that keyword on Google
3. CTRs are normalized for position (since higher positions get higher CTR)
4. Only CTR from Google.com used in equation (not content )
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