pIC50 is the negative log of the IC50 value when converted to molar. Since the nature of potency values is logarithmic, how the data is reported should also be log based. A decrease in potency from micromolar to nanomolar levels is an exponential change, not the linear change that an IC50 graph would depict. pIC50 is really the right way to think about potency of compounds, and using this value encourages the logarithmic thinking that is required for dealing with concentration-dependent relationships. 
Watch this webinar from Collaborative Drug Discovery to learn about:
  • The fallacy of using non-logarithmic equations when discussing potency values
  • How using pIC50 helps you get a better sense of the relative potencies, calculate the correct mean of multiple values, and select better sampling doses
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