eCPM is calculated by dividing total earnings by total number of impressions in thousands. It is a great performance measure for your various ad units, so when experimenting, you can use eCPM to compare your results.
But what if your site doesn't receive enough impressions to have a large sample size? Even for smaller sites, eCPM can be a useful statistic to track ad performance.
For example, let's imagine we have two custom channels named 'Blue Skyscrapers' and 'Red Rectangles', respectively, which reflect the types of ad formats we're testing on our site. During our test, the 'Blue Skyscrapers' channel receives 370 page impressions and $1.48 in total earnings. The 'Red Rectangles' channel receives 187 page impressions and $0.97 in earnings over the same period. To make these figures more comparable we calculate eCPM -- i.e., the estimated earnings for every 1,000 impressions received. We find that eCPM for blue skyscrapers is $4.00 while the eCPM for red rectangles is $5.18.
This means if we received 1,000 impressions of blue skyscrapers, we would earn roughly $4.00. But for 1,000 impressions of red rectangles, we would earn about $5.18. Therefore, assuming that our sample size is large enough, it is to our advantage to switch to red rectangles throughout our site because they generate more revenue per impression.
10 comments:
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Hi computer world,
No, Google is not affiliated with the programs you've mentioned, and we don't endorse the use of these programs. We recommend reading our blog post on this topic for more information.
i don't understand. what are impressions?? why is the eCPM calculated by the total earnings divided by total amount of impressions??
Well explained. I am trying to find what a "good" or average eCPM is, while I try to optimize the ad placements on my site . I know that it against Adsense TOS to reveal specifics, but any guidelines?
My friend said eCPM is 1 kind of fine.... So I am confused? What will happen if my eCPM becomes higher?
Thanks for the very helpful information :)
got anybody can tell me, y my eCPM is 0 even though the Ad impressions and add CTR got value. I dont know wat happened with this.
Your analysis is flawed since you don't define Impressions. Is it total page impressions or is it just page impressions for which at least one ad was served? I think you will find it is the latter, in which case eCPM is a quite meaningless measure. As far as I know Adsense nor any other advertiser use real total impressions in their calculation of eCPM.
what does it mean by a zero ecpm?
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