Should I use cost per click or cost per impression in Google AdWords?

Your decision to use cost per click (CPC) bidding or cost per impression (CPM) bidding in Google AdWords depends entirely on your advertising objectives. CPC bidding is the most common type of bidding in Google AdWords because you only pay when your ad is clicked. CPM bidding is used when you’re only concerned about ad visibility and you aren’t worried about clicks or immediate conversions.

The two most common bidding options offered by Google AdWords are cost per impression (CPM) and cost per click (CPC). With CPM bidding, you set a maximum bid (CPM) that you’re willing to pay for every 1000 placements of your ad on Google. Unlike CPC bidding, in which you pay only when your ad is clicked, CPM bidding requires you to pay whenever your ad runs, regardless of whether it is clicked. Obviously, if the purpose of your ad campaign is to drive website traffic and to increase conversions, you’ll opt for CPC bidding. Yet in situations where you simply want ad visibility to spread the word about a product or service, and you aren’t concerned about driving immediate traffic or conversions, CPM bidding might be the better option.

See: What makes people instantly click Google Ads now?