eCPM & Earnings

Discussion in 'Reporting & Stats' started by kedaar, Oct 25, 2006.

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  1. #1
    Please help me to understand relationship between eCPM and earnings.

    Is there any relation ship between them? If yes, How?


    Thank you
     
    kedaar, Oct 25, 2006 IP
  2. Juan G

    Juan G Peon

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    #2
    Definitions:

    eCPM = (Earnings / Impressions) x 1000
    CTR = (Clicks / Impressions) x 100
    EPC = Earnings / Clicks

    Especially useful equations:

    Earnings = eCPM x Impressions / 1000
    Earnings = CTR x EPC x Impressions / 100
    eCPM = CTR x EPC x 10
     
    Juan G, Oct 25, 2006 IP
  3. netjobs

    netjobs Banned

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    #3
    You'll get paid for every 1000 impressions and not only for clicks...
     
    netjobs, Oct 25, 2006 IP
  4. stackman

    stackman Peon

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    #4
    Not true. eCPM is merely a statement of what you WOULD be earning IF you were getting paid per 1000 impressions. In most cases you are not, so the measurement is not very useful. Further, you get paid EITHER per click OR per 1000 impressions, but not both.
     
    stackman, Oct 25, 2006 IP
  5. kedaar

    kedaar Peon

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    #5
    So, dose it mean that I will get paid more for a click of channel having higher eCPM than a click with lower eCPM (for same keyword)
    And it will help me if I use more channels ?
     
    kedaar, Oct 25, 2006 IP
  6. Juan G

    Juan G Peon

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    #6
    Juan G, Oct 25, 2006 IP
  7. kedaar

    kedaar Peon

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    #7
    Thank you Juan G

    I have already read that.
    I want some one to share his/her experience.
     
    kedaar, Oct 25, 2006 IP
  8. stackman

    stackman Peon

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    #8
    Do not misinterpret eCPM. It is not a revenue prediction factor. It's simply another way of showing you an average of what you've already earned. eCPM can (and usually does) change with every click. If you get one click for $0.30 and another for $0.10, the second click lowers your eCPM, but has no affect on how much you'll get for the next click, or the next.
     
    stackman, Oct 25, 2006 IP