What do CPM, CPC and CPA stand for?

CPM stands for Cost-per-Thousand impressions (M is the roman numeral for 1000). This type of banner pays a certain amount for every thousand times a CPM banner is displayed. For example, if a campaign is paying $1.00 CPM and your site displays banners from that campaign 500,000 times, you will earn $500.00.

CPC stands for Cost-Per-Click. Your site will generate this type of revenue when a viewer clicks on an ad banner paying CPC rates. CPC rates range from 20-cents to $1.00 and more.

CPA stands for Cost-per-Action. It is also know by cost-per-acquisition, cost-per-lead, cost-per-purchase, etc. In this format an advertiser pays a pre-determined amount based on actual conversions, after the click through.

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