The different types of auction on Google Ads

Cost per Click (CPC) bidding

CPC is the most commonly used auction on Google Ads. You pay according to the number of clicks on your ad.

The aim of this type of bidding is to drive traffic towards your website. Google Ads increases the delivery of your ad, in order to generate as many clicks as possible.

💡 CPC is worthwhile if your aim is to direct as much traffic as possible to your website.


Cost per Thousand (CPM) bidding

CPM corresponds to the price paid to distribute your ad 1000 times (cost per 1000 displays). You pay according to the number of impressions (the number of times your ad has been viewed).

The aim is to obtain the highest number of impressions and therefore the greatest visibility for your brand/business. With this type of auction, Google Ads optimizes the distribution of your ads, to obtain the highest number of impressions. Google will also ensure that your ad is displayed on screen for at least one second.

💡 CPM is worthwhile if your aim is to increase awareness of your brand/business.


Cost per Acquisition or Cost per Action (CPA) bidding

When you use CPA, you pay for each conversion, in other words the number of conversions on your website (sale, contact, and so on)

The aim is to maximize the conversions on your website. With this auction, Google Ads shows your ad in the best locations, in other words, the locations where you potentially have the best chance to achieve conversions.

💡 CPA is worthwhile if your aim is to focus on your ROI (return on investment).

💬 Please do not hesitate to contact your Business Coaches should you have any questions!