How to calculate an advertising average cpm rate
The ‘M’ is for mille within the name comes from the Latin that means 1000. The formula is calculated by eCPM this isn't all the sophisticated, once you understand the elements that get into the computation.
OpenX Pricing for every average CPM rate,
OpenX ad serving will automatically calculated the eCPM cost for every ad publishers,
The following fictional numbers for an example of OpenX Adserving network:
2014 Adsense Average CPM Rate in Display | Email | Mobile | Video ADS
A campaign with a CPC pricing was displayed 2 million times in a period of 1 day
in that same day, the ad server counted 5,000 clicks on the banners ad display of the campaign
the possible CPC rate for the campaign set is US$ 0.50
You can now calculate the eCPM of this campaign with a CPC rate:
total revenue was 5,000 clicks x $ 0.50 = $ 2,500
2 million impressions (CPM ) equals 2,000 blocks of 1,000 impressions
the equation eCPM is $ 2,500 divided by 2,000, equals an eCPM of $ 1.25 tatals per every CPM cost.
Average CPM for Web Advertising
OpenX Input CPM and CPA Data Formula Rate,
The formula is,
- Multiply the number of conversions by the CPA rate to come up with the total revenue
- Divide the number of impressions by 1,000, giving you the number of blocks of 1,000 impressions delivered.
- Divide the total revenue by the number of blocks of 1,000 impressions to come up with the eCPM value.