Posts tagged advertising

If some of you are still wondering about cost-per-thousand (CPM) and cost-per-click (CPC) in online advertising, here’s a small chart I made (not using Excel!) demonstrating the difference.

CPM refers to the amount you pay for your ad to be shown on a certain part of the web. People see it but you are not offered the guarantee they will click on it. After the certain number of impressions is run out, your ad is offline, leaving you with a small percent of click throughs. (CTR)

CPC means you only pay for an ad when a person click on it. This means that the 99% of the waste is eliminated from your budget leaving you with considerable savings for future campaigns. This is what happens when you cut out the inefficiency from an advertising platform. Kudos to Google for changing the rules of the game, making online advertising more efficient.

Good luck!