CPM or High CTR is more concern?

Discussion in 'AdSense' started by alvin1972, Oct 20, 2011.

  1. #1
    Just wonder when we are checking on the Adsense report, just wonder which one we should be checked, CPM or CTR? I knew the page with high CTR, we need to fine tune them into not sure high CTR and what about CPM? Please help. Thanks
     
    alvin1972, Oct 20, 2011 IP
  2. elchulo

    elchulo Peon

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    #2
    Hi Alvin,

    You can do certain things on a web page to improve your Adsense CTR such as making your ads more prominent. However, to improve your CPM, you'll have to show higher value content (ie: content that has a higher dollar value).

    Your CPM is actually something that is largely controlled by the advertiser and Google. However, if your content is about information that is traditionally known to be expensive - Golfing, for example - then your CPM will naturally increase.

    Best,
    - Jay
     
    elchulo, Oct 20, 2011 IP
  3. sweatlana

    sweatlana Well-Known Member

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    #3
    Hello,
    I have heard about CPC in adsense but what is CPM ?
     
    sweatlana, Oct 21, 2011 IP
  4. elchulo

    elchulo Peon

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    #4
    Hi SweatLana, or is it SweetLana? :)

    CPM stands for Cost per Thousand. The "M" is from the Latin, Mille or Mil which means thousand.

    Basically, CPM is a standard advertising measurement that measures the cost to reach 1000 "views" ("views" can be readers, subscribers, eyeballs, etc.).

    An advertiser is basically concerned with how much it costs to reach 1000 "views". The ad media (a newspaper, for example) is concerned with how much they earn per 1000 "views".

    The basic formula is CPM = (Your AD Cost$/Circulation or Reach) x 1000. Thus, if you're advertising in an online newsletter and they are charging you $500 to reach 100,000 subscribers, your CPM would be $5. ($500/100,000) = .005... .005 x 1000 = $5.

    Hope this helps.

    Best!
     
    elchulo, Oct 26, 2011 IP
  5. friendism

    friendism Member

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    #5
    Well, Both are Important that's why Google Adsense Earning is depend upon the CTR, CPM, CPC and all other things. As you asked CPM and CTR both are important at there places. If you will come to know the meaning of CPM and CTR you will be able to define the difference between the importance and functionality of the CTR and CPM. :)

    As elchulo Sir Said and explained well and attractively. :)


    Thanks.. :)
    Happy Friendism!
     
    friendism, Oct 27, 2011 IP
  6. JamesColin

    JamesColin Prominent Member

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    #6
    well, I will ALWAYS prefer an increase of my eCPM over an increase of my CTR. :)
     
    JamesColin, Oct 27, 2011 IP
  7. friendism

    friendism Member

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    #7
    Seriously, Well I will gonna try what you have said. As CPC is down for me and Panda hit badly. :(


    Thanks.. :)
    Happy Friendism!
     
    friendism, Oct 27, 2011 IP
  8. Balaji Naidu

    Balaji Naidu Active Member

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    #8
    Hey, that's great here I have learnt some thing which I never come across with. eCPM though I am well aware about CTR and CPC. Thanks a lot, hope will help me to better write content for my blog.
     
    Balaji Naidu, Oct 27, 2011 IP
  9. clickthroughrate

    clickthroughrate Peon

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    #9
    The starting point is CTR, but this is more important for ad sellers (google, yahoo, microsoft), because their revenue is based on CTR among other things.
    CTR does not equal the amount of sales of the advertised object, but CTR influences the amount of the advertised object sold.
    CPM focuses on costs and not on revenues and CPM is needed in order to manage costs within a budget.
    Ultimately, one should look at how CTR influences sales.
     
    clickthroughrate, Oct 28, 2011 IP