Revenue Per Click (RPC) is an online advertising performance measure that calculates the average revenue per user click on an ad or paid search listing. The RPC measure is useful to publishers, marketers, and advertisers because it directly informs them whether campaigns are yielding returns on investment.
In arbitrage and affiliate marketing scenarios, RPC is a significant measure to determine whether user click revenue is justifiable in terms of paying for the traffic. Monitoring RPC closely allows organizations to make the most of bidding strategies, ad placements, and content to achieve maximum return on investment. Higher RPC means better monetization, whereas lower RPC could be due to campaign optimization or targeting.
Collectively, RPC is at the heart of digital marketing decision-making, driving investment and optimization to create sustainable profitability.