How to make best use of CPM?

Use CPM

[MetaFunk]

Hi All

My earnings are nearly half the effective CPM. What methods can I deploy to make my earning nearer to the COM figure or is 50% fairly normal.

Or have I got this completely wrong :-)

G,

[dillonstars]

Hi G,

The effective CPM only shows how much you make per 1000 ad impressions.

It is useful for comparing Adsense to other CPM based ad schemes.

If you earnings are half your ECPM then it stands to reason that you only have about 500 impressions per day.

Your ECPM wont change as your impressions go up, but your revenue will.

The ECPM is also a bit misleading as companies that offer ads on a CPM basis will have a standard CPM rate, whereas mine varies wildly per day by up to 300%.

I hope this helps (and that I have got all that right).

Rob

[jimbeetle]

Or have I got this completely wrong

Maybe.

CPM is an advertising term that means "Cost per thousand." It's usually used on the buying side as in "How much does it cost to put this ad in front of 1,000 pairs of eyeballs?"

For us publishers this stat is better expressed as "Earnings per thousand" Adsense impressions. Simply put, for each thousand Adsense impressions your site gets, you are effectively earning x dollars.

If your daily earnings are 50% of the effective CPM I'd assume that your site is only generating 500 or so Adsense impressions per day. As (if) your site's Adsense impressions move closer to 1,000 per day the two amounts will converge.

For example, 500 impressions with an effective CPM of $6 yields $3 in earnings; exactly 1,000 impressions yields $6; 2,000 yields $12, etc.

Make sense?

Rob got in before me. Good to see that we're saying basically the same thing.

[whizkiddo]

cpm i always used to calculate before G started including it in stats. the best way to use cpm is that you can take it as a general measure. say this thing gives me 2$ cpm, but putting this in place is 2.5$ , basically using cpm allows u to compare two or more revenue sources, u can base predicted earnings on this too. Otherwise it is often difficult to compare two revenue sources within a few days.

@ least thats wat I use it for.

[adfree]

What would be some healthy CPM values for some major industries then?

[Roomy]

I have started to target advertisers DIRECTLY in my industry niche. The cpm that google provides is very useful metric with which to argue my case for their advertising $$$.

Having done quite a bit of "research" I figure a good cpm is in the region of $15.00. Instead of offering typical cpm ppc deals I offer advertisers a straight commission structure based on conversions. They get a much better cpm than the $15, according to my google stats, and they know that due to the nature of my site they will be getting highly targetted visitors. I'm acutely aware of the lack of revenue diversity and I hope this will go some way to alleviating that monthly anquish as I wait to see if the payment is approved and I get the cheque from G

[MetaFunk]

Thanks All. It all makes sense now.

I will start the work on increasing those impressions.

Regards
G,