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What's a CPM ad?

Adsense pay per click, or what...?

         

uhwebs

6:08 am on Aug 13, 2005 (gmt 0)

10+ Year Member



At the risk of sounding dumb, I'm going to ask: I've heard the term 'CPM ad'... what's this?

As I understand it, you get paid each time someone clicks an ad. Is there some alternate type of ad?

webnoob

6:35 am on Aug 13, 2005 (gmt 0)

10+ Year Member



cost per thousand impression. CPM ads you earn by impressions, not by clicks.

John Carpenter

12:31 pm on Aug 13, 2005 (gmt 0)

10+ Year Member



Also -- anticipating your next question -- as a publisher, you cannot choose whether to display CPM or CPC ads. Advertisers and G decide which type you get.

uhwebs

7:36 pm on Aug 13, 2005 (gmt 0)

10+ Year Member




OK thanks...
So they pay $X for 1,000 impressions, right? What if that channel/page doesn't get 1,000 impressions?
So how do I know if I'm getting paid per click or per impression?

webnoob

9:43 pm on Aug 13, 2005 (gmt 0)

10+ Year Member



they bid on X dollars for 1000 impressions.

so say someone bid $5 for 1000 impressions and you only displayed 100 impressions for that ad then you earn 50 cents.

it is broken down.

[edited by: webnoob at 9:43 pm (utc) on Aug. 13, 2005]

europeforvisitors

9:43 pm on Aug 13, 2005 (gmt 0)



So they pay $X for 1,000 impressions, right? What if that channel/page doesn't get 1,000 impressions?
So how do I know if I'm getting paid per click or per impression?

CPM ads are "site-targeted," not page-targeted, so it doesn't matter how many impressions a given page or channel gets--what counts is the number of impressions that the site as a whole can deliver.

I'd assume that, if you delivered fewer than 1,000 impressions over the course of a campaign, you'd simply receive payment for the impressions that you did deliver (e.g., if you delivered 700 impressions at a net CPM of $2.00, you'd get $1.40 instead of $2.00).

Also, advertisers select the sites where their ads appear, and I suspect that not too many low-traffic sites are going to get picked. (By "low-traffic," I mean sites that aren't likely to deliver at least a thousand impressions during a flight of CPM ads.)

uhwebs

11:11 pm on Aug 13, 2005 (gmt 0)

10+ Year Member



Thanks. It looks like I get about 8,000 impressions/day, but I didn't know if this was per page or sitewide. Some sections of the site-- with different keywords-- will display different ads, so I didn't know if those ads would be getting a full 1,000 impressions.

At my current average of $8-9/day, $5 CPM sounds good... that'd be like $40/day!

Does it matter if I choose "text only" or "both" ads as far as being paid via PPC or CPM?

Alioc

11:40 pm on Aug 13, 2005 (gmt 0)

10+ Year Member



It narrows down your inventory of ads but you'd be safe unless you choose to show image-only.

elguapo

12:18 am on Aug 14, 2005 (gmt 0)

10+ Year Member



CPM ads are BOTH text and images, so it would serve you well if you choose to run both.