Facebook CPM vs. CPC (Is my math right?) - WickedFire - Affiliate Marketing Forum

boatboy · 12-23-2009, 06:14 PM

I am trying to learn the formula that shows whether CPC or CPM is better for you?

Bid: .27
Clicks: 59
Impressions: 47,530
CTR: .124

(currently bidding via CPC)

Current equation I'm using: max CPM = CPC * CTR *1000
. 33 Max CPM = .27 * .124 * 1000

What exactly is this .33 telling me?

I believe it's telling me the max I should pay if I was doing CPM. Any insight or how you compute things on Facebook to get low clicks using CPM would be greatly appreciated.

Thanks in advance & happy holidays.

xentech · 12-23-2009, 06:28 PM

Just look at how much you're currently paying CPM and then create an ad, it will say suggested bid '0.20-30' or something like that, if that number is lower than the number you see from step 1 then bid CPM instead of CPC.

Simple as.

boatboy · 12-23-2009, 07:19 PM

normally FB has started out the bids high for me and i lowered them as my CTR went up.

Won't this effect that strategy?

Also, I feel I have got a lot more leads via CPM vs. CPC. Obviously the ad is shown more... but I feel CPC goes south for impressions real quick (regardless of bid)

12-23-2009, 06:14 PM	#1 (permalink)
boatboy Member Join Date: Nov 2009 Posts: 94 iTrader: 1 / 100%	Facebook CPM vs. CPC (Is my math right?) I am trying to learn the formula that shows whether CPC or CPM is better for you? Bid: .27 Clicks: 59 Impressions: 47,530 CTR: .124 (currently bidding via CPC) Current equation I'm using: max CPM = CPC * CTR 1000 . 33 Max CPM* = .27 * .124 * 1000 What exactly is this .33 telling me? I believe it's telling me the max I should pay if I was doing CPM. Any insight or how you compute things on Facebook to get low clicks using CPM would be greatly appreciated. Thanks in advance & happy holidays. Share Share this post on Digg Del.icio.us Technorati Twitter

12-23-2009, 06:28 PM	#2 (permalink)
xentech NFLol. Join Date: Aug 2008 Location: Great Britain Posts: 1,838 iTrader: 1 / 100%	Just look at how much you're currently paying CPM and then create an ad, it will say suggested bid '0.20-30' or something like that, if that number is lower than the number you see from step 1 then bid CPM instead of CPC. Simple as. Share Share this post on Digg Del.icio.us Technorati Twitter

12-23-2009, 07:19 PM	#3 (permalink)
boatboy Member Join Date: Nov 2009 Posts: 94 iTrader: 1 / 100%	normally FB has started out the bids high for me and i lowered them as my CTR went up. Won't this effect that strategy? Also, I feel I have got a lot more leads via CPM vs. CPC. Obviously the ad is shown more... but I feel CPC goes south for impressions real quick (regardless of bid) Share Share this post on Digg Del.icio.us Technorati Twitter

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