How CPM effects my earnings?

Forum Moderators: martinibuster

Message Too Old, No Replies

How CPM effects my earnings?

newads

9:25 pm on Jul 8, 2004 (gmt 0)

Hi all,

I have new count at adsense. Today my account is showing a new column "Effective CPM". what is this CPM stuff. How it affects my Earnings. PLease any one here to clarify?

ramana

John_Caius

9:37 pm on Jul 8, 2004 (gmt 0)

CPM = money earned per thousand advert views

Higher click-through rate = higher CPM
Higher earning per click = higher CPM

Basically it tells you how valuable traffic to your site is.

[edit: corrected minor error]

[edited by: John_Caius at 9:55 pm (utc) on July 8, 2004]

Chndru

9:48 pm on Jul 8, 2004 (gmt 0)

ramana, welcome to WebmasterWorld.

ken_b

9:53 pm on Jul 8, 2004 (gmt 0)

newads; Welcome to WW.

CPM is the cost (in this case money earned by the publisher) per 1,000 ad impressions.

ogletree

9:54 pm on Jul 8, 2004 (gmt 0)

[webmasterworld.com...]

europeforvisitors

2:33 am on Jul 9, 2004 (gmt 0)

CPM (really "effective CPM" in this case) is a valuable number because it shows how AdSense is performing in comparison to your other revenue sources. It also makes it easy to compare revenue trends from month to month regardless of changes in traffic. In that respect, it's a much more useful measurement tool than EPC or CTR.

newads

12:55 pm on Jul 9, 2004 (gmt 0)

Thank you all for great responses.

ramana

bts111

1:01 pm on Jul 9, 2004 (gmt 0)

CPM figures are gold.

Keep your eyes on it ; )

newads

5:26 pm on Jul 9, 2004 (gmt 0)

When will it become gold?. How can I assess total calculations. Is they add to my total earnings. suppose my cpm=y, earnings are x is my total becomes x+y or any thing like that.

ramana

2oddSox

12:04 am on Jul 10, 2004 (gmt 0)

Regrettably newads, your earnings will remain 'x'. The cpm figure is really only useful for informational purposes to help you determine the value of AdSense to your site. It could turn out to be gold, it could also turn out to be lead.

edd1

6:16 pm on Jul 11, 2004 (gmt 0)

How do you decide what is a useful CPM

I've just stated to use adsense and I don't understand what is a high or a low CPM

europeforvisitors

9:50 pm on Jul 11, 2004 (gmt 0)

It's all relative. The most obvious reason for tracking effective CPM is to let you compare different revenue sources. For example, if your average effective CPM is $5 with AdSense banners but was only $2 with affiliate banners, that tells you that you should use your banner space for AdSense, not for affiliate banners.

MrAnchovy

9:54 pm on Jul 11, 2004 (gmt 0)

How do you decide what is a useful CPM

As stated above, CPM is an internal figure, used only as a tool to gauge your site from day to day, not a stat to compare your site with another.

Unless you have a site of the same topic and share the same source of traffic as another, CPM is a useless number when it comes to making comparisons.