What is eCPM ?
May 14, 2008
I came across this term used to measure the revenue from ad spending. eCPM is “Effective Cost Per thousand impressions”. In layman terms, it means revenue per thousand impressions. Even more simply, it measures which ad formats or ad models lead to higher ad revenue. This metric creates a unit to measure ad revenue impact.
eCPM = (total earnings / impressions) x 1000
This metric assumes that 1000 impressions is a large enough sample to measure the impact accurately.
Higher the eCPM, better the ad revenue from an ad format or ad model. This metric is relevant to firms developing ad platforms in print, online or mobile world. It helps them figure out what kind of ad platform, format and technology will lead to higher ad spending by advertisers for minimum no of impressions.
MT
Entry Filed under: Internet, Internet Advertising, Mobile Advertising, Mobile Marketing, Online Advertising. Tags: ad impression, ad impressions, ad revenue impact, eCPM, effective cost per thousand impressions, Internet Advertising, internet marketing, measure ad revenue, media impact, Mobile Advertising, Mobile Marketing, Online Advertising, online marketing, what is eCPM.
Leave a Comment
Some HTML allowed:
<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>
Trackback this post | Subscribe to the comments via RSS Feed