Ad Word Soup: Decoding the acronyms CPA, CPC, CPI, CPM, CTR

Ad Word Soup: Decoding the acronyms

Others may go into greater detail, but here's what the acronyms mean that are used in on-line advertising.

CPA - Cost Per Action

CPA is cost per action or payment for when user acts upon an ad

CPC - Cost Per Click

CPC is cost per click or payment for when a click on an ad occurs

CPI/CPM - Cost Per Impression(s)

CPI is cost per impression
CPM is cost per 1000 impressions

CTR - Click Through Rate

CTR is the number of clicks divided by the number of impressions times 100. 
It is normally expressed as a percentage. For example,
If 5 people click out of 100 impressions, then the CTR would be 5%. 

Click Fraud

Fraud is a problem, as well as people gaming the system 

What Advertising Model To Use

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I've worked with computers for over 30 years, programming, administering, using and building them from scratch.

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