13 replies
What is CPA and CPM and how it is work?
#cpa #cpm
  • Profile picture of the author usazing
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    1. CPM - Cost Per Mille or Cost Per Thousand Impressions. This is the easiest model to generate earnings, as every time the ads appear to a visitor to your site, you will get an amount of money. The rate is at 1,000 ad served. If your site produces less than 1,000 impressions for the ad, you will get a proportion of it. Google Adsense reports the estimated CPM rate you receive based on your earnings with Effective CPM (eCPM).
    2. CPA - Cost Per Acquisition. You will be paid for leads generated on your site (e.g. product trial sign up, submission of survey, etc.)
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  • Profile picture of the author IulianP
    CPM-cost per impressions- that means that you pay X to get 1000 views of your site or of your ad.
    CPA is cost per action-the advertiser pays for an action- if is a click, a purchase, a lead etc.
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  • Profile picture of the author Andrei
    When you use paid advertising using CPM method will make you a lot of money or will get you bankrupt When using CPM you are paying the platform to show your add to 1000 people. If you done your targeting good you will probably get a few clicks.

    CPA is a type of marketing where you are paid to get a customer do a certain action, from leaving an email to set up an insurance or something more advance...
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  • Profile picture of the author joerudy1988
    Which one do people prefer normally?
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    • Profile picture of the author JasonWestwick
      Originally Posted by joerudy1988 View Post

      Which one do people prefer normally?
      Hey Joe,

      They can be used in conjunction with each other.

      Just to further clarify:
      CPM means cost per millenia (thousand) and is generally a model used to buy traffic. You can buy a range of ads using this model banner ads and Plenty of fish advertising for example. You pay a set amount per 1000 visitors that see your ad. CPM is not going to make you money, it is not a monetisation method.

      You can then monetise this using CPA - Cost per action (acquisition)

      You get paid each time a visitor performs an action. For example
      Filling out an email/zip, requesting further information on a loan etc

      You will need to generate your own targeted traffic to these cpa offers, without traffic you wont generate any money.

      CPA is a monetisation method, CPM is a model used to buy traffic, it is not a case of one or the other, you can use them together quite profitably.

      Hope this helps.
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      • Profile picture of the author Adam Johnson
        CPA, Cost per Acquisition/Action, is similar to CPL in that the advertiser pays when a visitor takes a particular action upon arrival at the advertiser's site. Again, these ads can be banners or hyperlinks leading directly to the website. The advertiser decides on the payable action, which might include downloading a game or program, purchasing an ebook, joining a course, or something else. The payout is determined by what is involved in the payable action and how much effort is required for the advertiser to make a profit, with rates ranging from cents to tens of dollars.


        CPM stands for Cost per Mille or thousand; M is the Roman numeral for thousand. This type of ad campaign is purely based on numbers, with the cost of the ad determined for 1,000 page impressions (each time the ad is shown). An advertiser using CPM ads will be quoted a guaranteed number of page impressions for the ad, and then the cost will be set based on the number. For example, if an ad site has a CPM rate of $10 and guarantees 100,000 page impressions for the ad, the cost to the advertiser will be $1,000 ($10 x 100). Publishers are paid a share of the revenue generated by the site selling the CPM ads, which is usually around 45% or $450 for 100,000 page impressions from our previous example.
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    • Profile picture of the author JP Sauve
      Originally Posted by joerudy1988 View Post

      Which one do people prefer normally?
      If you have an untargeted website designed around content that brings a user back every day, like a funny picture of the day website or blog about your life, go with CPM. If your site is targeted to a specific niche with the intent of passing the surfer on to an advertiser, like a product review website or a site where the content is mostly links to other sites, stick with CPA.
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  • Profile picture of the author klikeras7
    People prefer CPA mostly, because CPM can produce to a heavy loss when you don't know what you're doing.
    If you're just starting out with marketing I would recommend CPC and CPA, you can use CPM after you learn some tricks about optimizing your ads and targeting.
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  • Profile picture of the author novenabye
    i have been through all the text about cpa cpm. there are few parts which are not clear to me.. any one can tell me is there any books or video tutrial about that or not it here are one then where can i get those. is there any idea that how does cpa or cpm reflect local business directory directly or indirectly
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  • Profile picture of the author pushpa joshi
    CPM-cost per impressions and CPA is cost per action Thousands of online advertisers offering various ways to help you earning money online.i am going to share some of the best CPM advertising networks online to help you earn money from your website or blog.started using edomz.com cpv (pop) network to earn money from your website.They pays you for keeping code in your website and whenever you get a active visitor you earn money,they have very good conversion rate.
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    • Profile picture of the author agbsnv
      I appreciate the full thread. thanks.
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  • Profile picture of the author mbitsol
    Originally Posted by alen12345 View Post

    What is CPA and CPM and how it is work?
    Read this article about CPM, CPC, CPA
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  • Profile picture of the author salmansafder
    CPA - Cost Per Acquisition/Action. You will be paid for leads/Sales generated on your site (for example product trial sign up, submission of survey, etc.)
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    SS

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