Pay Per Click Metrics Cheat Sheet

[vc_row][vc_column][vc_column_text]Round up, round up! To all those who want to impress their boss, enlighten their colleagues and generally look smug in the workplace, this cheat sheet is for you!

If you’re ever unsure of a calculation, you need to quickly work out your ROI, or you need to get hold of your impression share pronto. Use this pay per click metrics cheat sheet and you’ll stay ahead of the game!

Not only have we listed every metric you’ll need below, we’ve also included it in a handy infographic!

Click here to get hold of the PPC Metrics Cheat Sheet Infographic.

Pay Per Click Metrics Cheat Sheet:

Click-through rate (CTR)
is the number of clicks that your ad receives divided by the number of times that your ad is shown. It represents how often people click your ad after it’s shown to them.
CTR = Total number of clicks / Total number of impressions (ad views)

Average cost-per-click (CPC)
is the total cost of all clicks divided by the total number of clicks received. It represents the average amount that you’ve been charged for a click on your ad.
Avg. CPC = Total cost of clicks / Total number of clicks

Cost per conversion
is your total cost divided by your total conversions. It shows you how much, on average, each of your conversions cost.
Cost/Conv. = Total cost of clicks / Total number of conversions

Cost per converted click
is your total cost divided by your total converted clicks. It shows you how much you pay, on average, for each click that can be tracked to a conversion during your chosen conversion window.
Cost/Converted Click = Total cost of clicks / Total number of converted clicks

Value per converted click
is the total value of all conversions divided by the total number of converted clicks. This is approximately how much, on average, each of your acquired customers are generating for your business.
Value/Converted Click = Total value of conversions / Total number of converted clicks

Value per conversion
is the total value of all conversions divided by the total number of conversions. This is approximately how much, on average, each of your conversions is worth.
Value/Conversion = Total value of conversions / Total number of conversions

Conversion Rate
is the number of conversions divided by total clicks that can be tracked to conversions. This metric is useful for measuring how often a click leads to a conversion, on average.
Conv.Rate = Total number of conversions / Total number of clicks

ROI
is typically the most important measurement for advertisers because it shows the real effect that AdWords has on your business. The exact method you use to calculate ROI depends upon the goals of your campaign.
One way to define ROI is:
ROI = Revenue – Cost of goods sold / Cost of goods sold

Impression share (IS)
is the percentage of impressions that you received divided by the estimated number of impressions that you were eligible to receive. Eligibility is based on your current ads’ targeting settings, approval statuses, bids, and Quality Scores. Data is available at the campaign, ad group and keyword levels.
Impression Share = Number of impressions your received / Estimated number of impressions that you were eligible to receive

Conversion value per cost
is the total value divided by total cost for all ad clicks that can be tracked to a conversion. If you’ve entered your revenue or profit value, this metric will be equivalent to your return on investment.
Conv.Value/Cost = Total value of your conversions / Total cost of clicks

Conversion value per click
is the total value of all your conversions divided by total number of clicks. This metric is adjusted to reflect only the clicks that can be tracked to a conversion.
Conv.Value/Click = Total value of your conversions / Total number of clicks

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