Advertising your business online is now one of the most effective ways to promote your business. Simply putting an advertisement in the newspaper just doesn’t do it anymore.

When learning the ins and out of online advertising you may come across more terminology than you expected. From CPC to CPV, it can all be confusing and give you a headache. Never mind, trying to learn how to use them to your advantage.
In this article, we will cover the meaning of CPC, and CPV, how they differ, and how you can use them to your advantage. You will be advertising your business like a pro in no time!
What Is CPC Bidding(Cost Per Click)?
Only when a user clicks on one of your advertisements do you pay using CPC bidding. Every time someone views a video, you receive a set amount. These bidding tactics function by calculating the cost per click each time a user clicks on your advertisement.
Due to the fact that CPC bidding is optimized for the Search Network, most individuals employ it. When you know how much you’re willing to spend to get people to visit your website, it’s also the suggested bidding technique.
What Is CPV Bidding(Cost Per View)?
With CPV, marketers only pay for videos that are actually viewed, which is advantageous for them. If you want to get the most out of your advertising dollars, this offer is ideal.
If you feel that your business would benefit from a video ad campaign which may require a larger sum of funds to create, then CPV could save you when it comes to promoting the campaign.
Using the views on a video as a metric allows you to determine the success of a video ad. You will not be charged if there are no views and you understand where to make the necessary changes.
Advantages & Disadvantages Of CPC Bidding
When determining the differences between CPC and CPV bidding, it is important to look at the advantages and disadvantages provided by each strategy.
Advantages Of CPC
When utilizing the CPC strategy with Google Ads, we highly recommend opting for the Enhanced CPC. This allows Google to automatically make changes to the keyword selection on your ads which could be highly time-consuming when done manually.
With Enhanced CPC, Google Ads will alter its bid for a keyword in a certain auction depending on how likely it is that the click will result in a sale.
Google Ads removed the 30% adjustment limit meaning that Google can now adjust your ad by any percentage. This can help significantly improve your ad campaign performance as there is no need to make any adjustments yourself.
Enhanced CPC will often lead to an increased click-through rate (CTR) and conversion rate (CVR) which indicate a successful CPC campaign.
Disadvantages Of CPC

As the 30% adjustment limit has been removed, it is now your job to monitor your metrics closely. Not tracking your CPC metrics could mean that the CPCs may be performing much higher than what is beneficial to your business.
Although not always at the target cost per acquisition (CPA) you have in mind, the objective of this sort of offer is to enhance the likelihood of a conversion. The algorithm also tends to raise the bid more frequently than it lowers it.
You will want to track your CTR and CVR to ensure that the CPC bidding strategy is performing as required. You will want to keep a close on CPC and CPA to ensure the results are profitable.
Advantages & Disadvantages Of CPV Bidding
Advantages Of CPV
With the growth of creative marketing, and within that the growth of video ad campaigns, CPV has become a rather popular strategy.
Your audience will want to consume publicity and not miss out on any of your new offers, products, or services. And with the main advantage of CPV is that you only pay when a user watches your video you could save thousands of dollars on marketing.
For instance, on Facebook, seeing a video while scrolling through the feed or timeline does not qualify as taking an action. Therefore, you will not be charged.
Disadvantages Of CPV
When implementing a CPV bidding strategy it is important to consider the disadvantages.
An important aspect to consider is if your video goes viral. This means that you will be charged for every view that is actioned across the world. While this may seem like a good thing, many users will view your video with no interest in the products, services, or brand.
This can be severely damaging to a smaller business looking to improve its social media presence.
Since the long-term effects cannot be determined, CPV is also not the best model for marketing goals like brand awareness through branding initiatives.
CPC Or CPV: Which Is Best?
When it comes to determining which bidding strategy would work best for your business, you must take into account the funds you are willing to invest and the type of advertising you are wanting to deliver to your audience.
If you are working towards driving a higher traffic volume to your website, CPC would be best. Specifically Enhanced CPC as this will allow Google to make automatic changes to your ads for the best keyword selection.
However, if you are looking to be more creative with your advertising and gain more interest in your products, CPV may be more beneficial.
You will only be charged if a user views your video and you gain immediate metrics to determine if a video ad is performing well.
Final Thoughts
It can be daunting when trying to decipher the world of online marketing. However, our guide makes it simple.
Each bidding strategy comes with its own advantages and disadvantages. They can be used to accomplish a variety of campaign goals, such as boosting website traffic, building brand recognition, and boosting retail sales.
All you have to do is decide when and where to integrate each strategy!
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