Google Ads basics

Paid Search Glossary for Business Owners

Paid search reports can feel complicated because many terms sound similar. These are the terms business owners should understand first.

CPC

Cost per click. The average amount paid when someone clicks an ad.

CTR

Click-through rate. The percentage of impressions that become clicks.

CPA

Cost per acquisition or cost per action. The average cost for a lead, sale, booking, or other conversion.

Conversion

A tracked action that matters to the business, such as a form submission, phone call, or purchase.

Quality Score

A diagnostic metric related to expected click-through rate, ad relevance, and landing page experience.