What is measured by the CPC model in advertising?

Prepare for the IAB Digital Advertising Operations Certification (DAOC) Test. Utilize flashcards and multiple choice questions with explanations to enhance your readiness. Ensure success on your exam!

The CPC (Cost Per Click) model in advertising specifically measures the number of clicks received on an ad. This model operates on the principle that advertisers pay a predetermined amount each time a user clicks on their advertisement, regardless of what action the user takes after the click. This makes it an effective metric for gauging how well an ad is engaging its audience and driving traffic to a website or landing page.

In contrast, the number of installations pertains to app install campaigns and is not specifically a function of the CPC model. The number of impressions served relates to how many times an ad is displayed rather than interacted with, which is distinct from the focus on clicks in the CPC model. Lastly, the engagement rate of viewers looks at interactions beyond just clicks, such as likes or shares, which also falls outside the specific measurement of clicks associated with the CPC model. Thus, the focus on direct user action—clicks—is what makes this model distinct and particularly valuable for advertisers tracking the effectiveness of their campaigns.

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