What are PPC, CPC, CPM, CPA, CPI, and CPL in Google analytics? How do they work?

You must be confused to see so many unknown terms in the very first sentence but don’t worry we will explain every bit of Google analytics and how Lytechx Digital Pvt. Ltd. can help in the same. So let’s start from the beginning. We all dream of being an astronaut or a biker or a doctor when we are young but only a handful of kids succeed to catch up to their dreams. Some people give up their dream to become an astronaut and become the owner of a company.

But, starting a company alone cannot gain your success. You have to hold off your target audience and make your own position in the market. This is not as easy as it sounds in this competitive era. You have to be very careful and look after your web page as all the elements like PPC, CPC, CPM, CPA, CPI, and CPL depends on your webpage. In short, these are the most important stuff one must take care of to attract customers to your website. And how can Lytechx Digital Pvt. Ltd. help in it? We will come to that later. First, let us understand what these things are in detail.

 

  • What Is PPC?

As some of you may know, the word PPC stands for Pay Per Click. This is a model of online advertising that is used to drive traffic to websites. Here, traffic does not mean traffic on roads caused by the number of cars, it means people or audience. More traffic means more people. In this form of advertising, an advertiser (client who wants his product to be advertised) gives pays a certain amount of money to the publisher (the website which publishes the advertisements). These ads mostly appear on the first few web pages or websites on every search.

Everyone wants their website to have a higher value and PPC but it is not that easy to get an advertisement. To get an advertisement, your webpage must shine at the top of the list on every search. This is very difficult as there are a lot of companies competing to get this position. To get this position, you must create and publish perfect SEO articles. These SEO articles contain certain keywords that can help a ton in improving the ranking in Google. This increases the chances of your website being at the top.

  • What Is CPC?

CPC or Cost Per Click is related to the first one (PPC) but is slightly different from it. It is basically the customers’ point of view.CPC or Cost Per Click refers to the cost that a customer has to pay per click in his advertisement campaign. But, there is a lot more to it and it also has a major role in advertising your campaign. If your campaign must be attractive and have a low CPC.

For example, You have a company that produces toothpaste. Thus, you created a campaign or advertisement for it and sold it to a top website. An average CPC is 5:1 in ratio. It means that there is a profit of 5 dollars in every 1 dollar investment. A high CPC means that you have more investment than profit which means loss and a low CPC means that you have low investment and a high profit. If you have a high CPC, that means you need to check and write the campaign in a better way, using better SEO words. The campaign must convey its target audience about its product, services, and also the benefit of the consumers in using those products and have a low CPC.

  • What Is CPM?

CPM stands for Cost Per Thousand Impressions. This is one of the elements which are necessary to know when you are planning to advertise your campaign or company product or brand awareness. This is just like the previous two and deals with the online marketing of products. When you are want to advertise your campaign, CPM is our best buddy.

CPM or Cost Per Thousand Impression is very easy to understand. Here, an impression means views. It refers to the money that one needs to pay when his or her advertisement receives a thousand views on the internet. This can only happen when you advertise your campaign on the top ranking websites on the web. The price here is 1.39 dollars per thousand views. Thus closing a deal lower than that ensures profit. Besides all of that, your campaign must be attractive and written in lucid language. So that audience can read it easily and find it interesting. In this way, you can take your brand to a lot of viewers at the same time without doing much of an effort. This increases your audience and brings you more customers, making your startup a big hit.

  • What Is CPA?

While running a company, you need to take care of the CPA or Cost Per Acquisition. No need to get confused, we will make it simple for you. Cost Per Acquisition can easily be calculated by diving the amount of money spent in the advertisement campaign by the number of customers attracted by the advertisement. In short, it is a cost that the advertiser has to pay to get a required action from its target audience.

For example, You have a toothpaste company and you make an advertisement campaign telling your audience to buy and use that particular toothpaste because of its benefits and advantages. Your advertisement gets 2 conversions, one costs 2 dollars, and the other costs 4. Thus, your average conversion is 3 dollars. If you have a very high CPA, it means that your company’s campaign is getting a lot of clicks and is a big hit and it the CPA is very low, which means that you need to improve a lot on your advertisement especially the usage of words. As said earlier, the usage of words has a huge significance. It helps to attract your audience towards your campaign and needs to be written in lucid language.

  • What is CPI?

Now comes CPI. It is the simplest of all and deals with online marketing. CPI stands for Cost Per Install. Its name says it all. It refers to the price you need to pay each time someone installs your app by clicking on the campaign. Whenever you set a bid for your company’s app, you are telling Google the amount of money you are ready to pay each time a person installs your application.

Times have changed. Now, to get ahead of the market, some companies create an application of their company and publish it in Google to get installed by your target audience. This brings your company closer to your audience and thus increases your reach. You have surely seen apps getting installed through Google Play Store. Every company has to pay a certain price for its app each time it gets installed. The average CPI or Cost Per Install is 0.86 dollars for iOS and 0.44 dollars for Android. Thus, making an app and advertising it properly can be a jackpot for your company. If the advertisement is good and liked by people, it will spread fast and more and more people will get in touch with your company. Therefore, the advertisement campaign must be an engaging one.

  • What Is CPL?

There are some preparations, one needs to do before launching an advertisement. CPL is one of the main preparations that one must take care of to make its advertisement campaign a success. CPL stands for Cost Per Lead. It is a kind of a pricing model where a businessman has to pay a pre-established price for each lead generated. It is often used by people who sell high quality and valuable products or subscriptions. A CPL can be calculated by the total money spend on marketing by the total number of leads.

CPL or Cost Per Lead is a pricing model that pays only for a qualified to sign up, unlike CPM and CPC, regardless of how many clicks or views it got. If you have a CPL of 40 dollars and your lead spends an average of 100 dollars, it is a good CPL rate and if the lead spends less than 40 dollars, it affects your profits.

 

Why Choose Lytechx Digital Pvt. Ltd. For This Purpose?

One thing that is common in all the above-mentioned terms is all are related to marketing and all of them have the common root that is an advertisement. An advertisement is the heart of a company. It tells the target audience about the product and services provided by the company. If the advertisement is liked by the audience, they visit the company’s website and thus increases traffic and the value of your website.

Content is also an integral part of the advertisement. It has a huge impact on the audience and plays a major role in the success or failure of an advertisement campaign. If the content is written in a simple but attractive manner, people find it easy to read and understand, thus, the company rises. Here is where Lytechx Digital Pvt. Ltd. kicks in. It is a big name in the world of SEO writing and website development. It has experienced content writers who can easily make your advertisement campaign a big hit. The SEO articles are written by Lytechx Digital Pvt. Ltd. can improve the rank of your company so that you get more and more ads on your page.

 

One must never ignore the small parts of a big chain. Advertisement is a very minute but one of the most important aspects of converting a startup into a huge company. The advertisement must be visually attractive and must contain powerful but easily understandable words. Lytechx Digital Pvt. Ltd. can help you a lot in fulfilling your dreams. Just trust us and witness your company grow. Faster than ever.


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