Earnings per Click (EPC):

EPC relates to PPC advertising and stands for “Earnings per Click”. There are two meanings:

1. If an affiliate product or CPA (cost per action)  offer is promoted by PPC advertisement, the EPC is calculated by dividing the total earnings by the number of clicks for any given time period. The resulting figure is used to measure the performance of the offer.
   
   Example: You promote a diet ebook via Google AdWords. The book sells for $50. Affiliate commission  is 50%, that is, you earn $25 for every sale referred by you.
   The sales pageconverts 4% of the visitors into buyers. Therefore you need 25 people who click on your AdWords ad and visit the sales page to make 1 sale.
   The EPC is then $25 : 25 = $1, which means that you earn $1 for every click.
   Consequently, if you want to make any profit at all you have to target those keywords with a CPC (Cost per Click) lower than $1. The cheaper the CPC the more profit you make. As the diet niche is pretty competitive you have the choice of either set your max bid lower and probably not gain a good position for your ad (resulting in fewer ad impressions and low click rates) or find less competitive and cheaper keywords (long tail keywords ) within this niche.
   
   

2. For an AdSense site owner, or any similar form of publishing PPC ads on a website like Yahoo Publisher Network, Kontera, eBay AdContext etc., EPC means simply how much he earns when a visitor clicks on one of the ads on his site.

[Earning comes from Old English earnian which is akin to Old High German arnén = earn, harvest;

Click is imitative, i.e. imitating the sound of a click]

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