What is CPC and CPM?
When advertising or publishing in the digital world you normally come across these two terms which can be defined as follows.
CPC or Cost per Click is the cost an advertiser is willing to pay for a visitor to his web property. The visitor to a site can come from an Text Ad or a Image Ad. Advertiser pays this CPC to the website from which he gets the customer.
CPM or Cost per Thousand Impressions is the cost which an advertiser pays to a publisher for every 1000 views his Image Ad gets on the web property of the publisher.
CPC V/s CPM
There are many discussions which have happened over the two and majority of the web community has come to conclusion that you should use CPC when an advertiser has objective to drive sales or get customer data such as Name-Contact Number-Email Id. The best approach to such a process is to have well designed Landing Page which provides good information to a visitor to obtain the desired results. CPM on the other hand is a very useful technique for Brand Building. When declaring your online presence to the world Image Ads have been proven to be most cost effective. They have minimal click through rate ensuring lower cost of brand recall.
There are various advertising platforms run by Internet giants such as Google, Microsoft & Yahoo which act as a mediator between and advertiser and a publisher. While advertising platforms provided by Social Giants such as Facebook, LinkedIn and Twitter are only for advertisers as they themselves are the publisher of the ads.
