Purchasing

Question 0

Cost Per Click (CPC)

Answer 0

This is the amount you’re paying on average for each click on your ad. Avg CPC is calculated as

total cost for ad/total clicks

Question 1

Cost Per Action (CPA)

Answer 1

This is the avg amount that you’re paying for each action people take on your ads. What you pay depends on who you’re targeting and how many other advertisers are competing to show their ads to your audience. Well-designed ads will encourage more people to take an action; the more actions you get for your budget the lower your cost per action will be

Question 2

Cost Per 1,000 Impressions (CPM)

Answer 2

Your avg CPM is the amount you’re paying on avg for every 1,000 impressions of your ad. This is calculated as

Total cost for ad/(total impressions/1000)

Question 3

Impressions

Answer 3

This is the # of times your ad was served. On our mobile apps, an ad is counted as served the first time it is viewed. On all other FB interfaced, an ad is served the first time it’s placed in someone’s News Feed or each time it’s placed in the right column of FB