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How do I calculate my CMP earning?

         

iwannano1

9:19 pm on Jan 31, 2007 (gmt 0)

10+ Year Member



Sorry for a noob question.

If I am getting 5k unique visits and if I put CPM ad at $9 how much I will earn per day?

5000/1000 = 5 * 9 = $45 per/day?

I am new to this kind of calculation.

TIA.

marketlogos

9:51 am on Feb 15, 2007 (gmt 0)

10+ Year Member



yeap.

here's the general concept

The CPM model refers to advertising bought on the basis of impression. This is in contrast to the various types of pay-for-performance advertising, whereby payment is only triggered by a mutually agreed upon activity (i.e. click-through, registration, sale).

The total price paid in a CPM deal is calculated by multiplying the CPM rate by the number of CPM units. For example, one million impressions at $10 CPM equals a $10,000 total price.

1,000,000 / 1,000 = 1,000 units
1,000 units X $10 CPM = $10,000 total price

The amount paid per impression is calculated by dividing the CPM by 1000. For example, a $10 CPM equals $.01 per impression.

$10 CPM / 1000 impressions = $.01 per impression