Glossary

What is PPC in digital marketing and marketplace ads?

PPC, short for pay per click, is an advertising model in which the advertiser pays each time a shopper clicks the ad, not when it is shown. It is the billing model behind Amazon Sponsored Products, Flipkart PLA, Myntra PLA and the sponsored listings on Blinkit, Zepto and Instamart, as well as Google and Meta search ads.

Full form
Pay per click
Formula
spend = clicks x average CPC
Worked example
500 clicks at ₹4 = ₹2,000; on noon, 500 clicks at AED 0.80 = AED 400
Opposite model
CPM (cost per thousand impressions), used for banners

How PPC billing works

In a PPC system the advertiser sets a bid, the highest amount it will pay for one click. The platform runs an auction each time an ad slot comes up and shows the ads that win. Impressions are free; the charge happens only when a shopper clicks through to the product page. The actual cost per click is usually below the bid because most marketplaces charge just enough to beat the next bidder.

Worked example: a Flipkart seller runs a PLA campaign on kurta sets with a ₹5 bid. In a week the ads are shown 80,000 times and clicked 500 times at an average of ₹4. Spend is 500 x ₹4 = ₹2,000. If 40 of those clicks become orders at ₹799, ad revenue is ₹31,960 and the Flipkart ROI is 16. On noon in the UAE the same maths runs in dirhams: 500 clicks at AED 0.80 cost AED 400.

Blooprint's glossary on blooprint.in defines CPC, CTR and ACoS individually; this page covers the model they sit inside.

Where PPC is used, and where it is not

Search ads on every major Indian marketplace are PPC: Amazon Sponsored Products and Sponsored Brands, Flipkart PLA in CPC mode, Myntra PLA, Meesho ads and the sponsored product listings on quick commerce apps. Flipkart's Smart ROI campaigns are still charged per click, but Flipkart sets the bid for you.

Banner and display placements are the exception. Blinkit, Zepto and Instamart home-screen banners, Myntra list banners and Amazon DSP are sold per thousand impressions, so you pay whether or not anyone clicks. Knowing which model a placement uses tells you which metric to manage: CPC and conversion rate for PPC, effective cost per order for CPM.

What PPC means for how you manage ads

  • Every click costs money, so a click that cannot convert is pure waste; negatives and match types exist to stop those clicks.
  • Bid is the only price you control. The platform's auction, your relevance and competition set the actual CPC.
  • Judge PPC by cost per order or ACoS, not by CPC alone; a ₹12 click that converts at 10% beats a ₹4 click that converts at 1%.
  • Daily budgets cap the damage of a bad keyword but do not fix it; the fix is in targeting.

Related pages

Frequently asked questions

What is the PPC full form in digital marketing?

PPC stands for pay per click. It describes any ad model where the advertiser pays for clicks rather than for impressions or for a fixed slot.

What does PPC mean in Amazon?

On Amazon, PPC refers to the sponsored ads billed per click: Sponsored Products, Sponsored Brands and Sponsored Display. Sellers say Amazon PPC to mean the whole sponsored ads programme.

Is Flipkart advertising PPC?

Yes. Flipkart PLA campaigns charge per click, whether you set the bid yourself in a CPC campaign or let Flipkart set it in a Smart ROI campaign. PCA banner campaigns are the exception.

What is the difference between PPC and CPC?

PPC is the model: you pay per click. CPC, cost per click, is the number: what one click actually cost you, calculated as spend divided by clicks.

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