Armin Gögele, last updated on September 20, 2024
CPC in hotel marketing stands for “cost per click” and refers to the average price a hotel pays for a click on its online ads. The CPC model is primarily used for pay-per-click (PPC) ads and is a central component of many online advertising strategies. In hotel marketing, CPC is used to calculate the cost of clicks on ads that direct potential guests to the hotel website. This value provides information about the efficiency of the campaign and helps hotels to use their marketing budget only where sustainable success can be achieved.
Features of CPC in Hotel Marketing
Hotel marketing campaigns within the framework of PPC (or with CPC) are placed in search engines such as Google and are used to attract potential guests to the hotel's website. PPC campaigns are particularly valuable in hotel marketing because hotels only pay a certain amount when a user actually clicks on their ad. The CPC varies depending on the popularity of the keyword in question, which corresponds to the search terms of (potential) guests: if users search for these terms, the corresponding ad is displayed. Niche keywords tend to have lower CPC values than more popular terms, which often reach more users.
Importance of CPC for Hotels
For hotels, the CPC plays a key role in optimizing their advertising campaigns. A low CPC means that a hotel can attract more potential guests to the hotel website for less money. At the same time, the CPC should always be considered in relation to the conversion rate. The aim is to achieve an optimal CPC for your hotel, which is both cost-efficient and helps to increase revenue. By regularly analyzing and adjusting the relevant keywords, hotels can reduce their CPC for ads while increasing bookings.