With my recent post, I introduced you to different company which gives you opportunity to monetize your blog. Let me now discuss the meaning of their advertising code to help beginners like me to understand it on a much simple terms. Now let's do math!
- IMPRESSIONS - the number of times the advertisement was shown or delivered.
- CTR - click through rate - this is the rate in percentage format which is obtained by dividing the number of times the ad was clicked by the number of impressions. (ad clicks / impressions = CTR%).
- CPM/CPT/CPI - cost per mille/cost per thousand - cost of an advertisement for every 1000 audience or impressions . Used as marketing benchmark. This is obtained by dividing the cost of running the advertisement by the number of audience and then multiply it to 1000. (ad cost / impressions * 1000 = $CPM)
- EARNINGS - this is calculated by dividing the CPM by 1000 then multiply by the number of impressions. (CPM /1000 * impressions = $$$)
- PPC - pay per click - host are only paid when the advertisement was clicked.
- CPC - cost per click - the amount of money the advertiser pay to the publisher for every single click.
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"The essence of mathematics
is not to make simple things
complicated, but to make
complicated things simple."
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