Earnings per click or EPC is a term that refers to the affiliate marketing field and indicates the average sum of money you can earn when a user clicks on one of your affiliate links. As a rule, earnings per click is a common scheme of payment structure that most affiliate sites are targeted on. The EPC formula is designed to provide the real situation of the PPC referrals and find out the high value and low-value clicks.
To calculate the EPC, just divide the total affiliate’s commission by the number of clicks of the appropriate affiliate link. After that, you can multiply this number by the number of clicks you are supposed to achieve during this affiliate campaign to estimate your earnings from it.
Furthermore, marketers also find it really effective for boosting the affiliate marketing campaigns, as EPC can assist you in:
- Compare different affiliate programs to pick up the most valuable offers;
- Estimate which links perform better and result in higher earnings and why;
- Understand whether the paid ads are worth the money by calculating the ROI and more.
Using EPC, you can see the big picture of your affiliate marketing promotions and estimate the value of your efforts in each campaign to choose the most profitable cooperation offers.