Tag: Metric

eCPM

eCPM stands for Effective Cost Per thousand (Mille) impressions.

It’s used to determine your earnings per thousand impressions. First, you need to divide your earnings by your number of impressions. Then, you multiply this number by 1000 to bring it back to your eCPM.

 

For an example of eCPM calculation, please see:

All About Media Buying – Part 3 – Profit Calculation

For additional terminology and key performance indicators for measuring success, please see:

All About Media Buying – Part 2 – Traffic Monetization

CTR

CTR stands for Click-through-rate.

Uttered in a percentage, a click-through-rate refers to the number of clicks related to the number of impressions.  For example, let’s say that 2 people clicked on your banner out of 100 impressions — this would mean that your banner has a CTR of 2%.

Knowing something’s CTR is a way of measuring the success of a campaign.

 

For additional terminology and key performance indicators for measuring success, please see:

All about Media Buying  Part 2 – Traffic Monetization

CPM / RPM

CPM stands for Cost per thousand (Mille) impressions.

RPM stands for Revenue per thousand (Mille) impressions.

In other words, CPM is the price you’d pay each time your ad has been seen 1,000 times.

Fun facts:

  • Mille’ means thousand in Latin
  • The ‘M‘ in CPM is the Roman numeral for 1,000

 

 

For additional terminology and key performance indicators for measuring success, please see:

All About Media Buying – Part 2 – Traffic Monetization

For examples on calculating your ECPM (Earnings per thousand impressions), see:

All About Media Buying – Part 3 – Profit Calculation