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CPM vs CPC: A conspiracy to brand?

     
11:29 pm on Dec 4, 2002 (gmt 0)

Junior Member

joined:Feb 14, 2002
posts:63
votes: 0


Here are some click through rates that I get from a third party advertising network that I use. I have noticed similar results on other third party networks that I use.

Click-through Ratios for CPC:
0.00%
0.00%
0.17%
0.00%
0.14%
0.00%
0.00%

Click-through Ratios for CPM:
4.55%
5.43%
1.48%
1.50%
3.91%
3.85%
1.68%
0.00%
0.00%
0.41%
1.35%

Why is that the CPM campaigns consistently get about 10X higher CTRs? It seems to me that if I were a company and wanted to brand, I would make a banner that no one would click, but had my name displayed very prominently. Low CTRs mean low payouts. On the other hand if I am paying CPM, clicks cost me nothing so I might as well make a decent clickable banner. . .

Do others have similar experiences?

12:19 am on Dec 5, 2002 (gmt 0)

Senior Member

WebmasterWorld Senior Member 10+ Year Member

joined:June 4, 2002
posts:720
votes: 0


It seems to me that if I were a company and wanted to brand

That is the answer to your question. There was very short time where CPC campaigns where being used *actually* in a good manner, but now a days, even big companies are using it just for branding. They don't want click, but just want their banner to appear - so they are not paying anything and still there are thousands of web sites showing their banners.