IS Cost Per Acquisition Really Matters?

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IS Cost Per Acquisition Really Matters?

 

Cost per acquisition is an online advertising pricing model where the advertiser pays for particular action like click, sale and sign up form. Cost per acquisition has another name that is the cost per action. CPA is an ultimate metric that really matters because it determines true ROI(return on investment). It doesn’t matter how many clicks a campaign receives if it’s not generating revenue that means it’s unsuccessful. An advertiser can grab the attention of the visitor through the inclusion of search engine results. Put keywords and get a high rank on the search engine is an effective way of getting organic traffic. CPA measures how much cost invested in advertising to convert one person from a visitor to a client for the company. That means cost per acquisition really matters in online advertising because an advertiser never wants to spend more money to get a customer than he worth.

 

Cost per acquisition in advertising

 

How To Measure A Good CPA?

There is a basic formula to evaluate a good CPA is :

Average revenue per customer = Yearly revenue/yearly customer count

To make a good CPA an advertiser must know average customer worth because having this information an advertiser can calculate his profit and get a clear estimate of how much he should spend to get a customer.

Top Ad Networks And Publishers 

  • Taptica
  • Iron source
  • Fyber            
  • Vungle
  • Tapjoy
  • Yeahmobi
  • Jampp
  • Liftoff
  • AdAction
  • Affle

 

Benefits getting by CPA

 

CPA advertisement

  • Highly targeted advertising
  • Only pay when the desired outcome accomplished
  • Convert more visitors into customers
  • Low risk for advertisers
  • Protection from fraud clicks
  • Provide higher payouts for publishers
  • Easy tracking
  • No need to make the actual sale, capture details like email, phone no. or sign up form.

If CPA used in a right way then it will be a great way to bring potential customers into marketing funnel. It always delivers the profitable result.

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