CTC = Cost per click - the price you pay for each click on your ad CPM - Cost per thousand impressions - a flat fee you pay for 1000 impressions RPM - Revenue per thousand impressions
I had a few problems myself getting the hang of this. thanks for @Peachi. Also make sure you check out your adsense if you have installed and you will se more details there.
Cost per click is normally CPC and I never heard it referred to as CTC. Maybe CTC is something else the poster has in mind. But he does specifically mention Adwords so I have no idea about CTC. Maybe he meant Adsense. CPM is correct. Why M? From Latin mille meaning thousand. RPM is another term I never seen used in Adwords. Pretty sure it's not Revolutions per Minute. Revenue per thousand impressions is probably correct, especially if he did meant Adsense.
Oops - had a dyslexic moment! CTC isn't cost per click. CPC obviously is. CTC is click-to-call which are phone numbers that users with smartphones can click on your ad to call you: http://support.google.com/adwords/bin/answer.py?hl=en&answer=173907
It's also worth to mention that CPM (i.e. paying for impressions) is the basic / traditional model for all types of media buying. The search engines (Overture/ GoTo did it before Google) switched to a CPC model in which the advertiser supposedly benefits. Why benefits? because he pays only for users who actually clicked his ad / visited his website. Why supposedly? because the search engines make their own calculations based on CPM (since the impressions are their asset, not the clicks) - so that your ad gets its position based on the odds that a user will click ( CTR = Clicks / Impressions = 1000 * CPM / CPC ), in addition to the bid and basic quality factors. In short, as an advertiser, on each model you should always take the impressions into account, since you actually pay for the impressions even though it's wrapped as CPC (or even CPA) Impression --> Click --> Conversion or Action CPM --> CPC --> CPA
CTC-Click to call can be a great tool, and couldn’t be easier to set-up. Click-to-call only insures that every click on your ad from a mobile device capable of making a phone call, results in a phone call being initiated by the user. This feature allows the website to be bypassed entirely, and calls to your business to be initiated directly from Google’s search results pages. CPM bidding means that you pay based on the number of impressions (times your ads are shown) that you receive on the Google Display Network. ·CPM stands for cost-per-thousand impressions, so you pay for each set of a thousand views of your ad. You set CPM bids to tell Google how much you're willing to pay for that set of impressions. ·CPM bidding is best suited for advertisers who are focused on brand awareness. For advertisers whose main goal is sales or website traffic, CPC bidding (pay for each click on your ad) might be a better option. ·You set a maximum CPM (or "max CPM") bid as the highest amount that you're willing to pay for 1,000 views of your ad. RPM (Revenue per thousand impressions)
Yes, of course, click to call. Should have realized that. To expand on Natively's comment and for the benefit of everyone, CPM is an option only when advertising on the content network. Most ad networks, being content networks, use the CPM model. I haven't used this model myself in a long time. I think CPC is better, at least best to start with. You can switch later to CPM and I would do so only if your ad gets a very high CTR. Not that it would make any difference, the search engines use CPM for their calculations. You'd still pay relatively the same per click.