Basic

Cost Per Acquisition (CPA)

Average cost to gain one customer or completed action.

Formula

CPA = \frac{\text{Cost}}{\text{Conversions}}

Variables

CostTotal ad spend

ConversionsNumber of desired actions

Example

$1,000 for 25 sign-ups → CPA = $40

Did You Know?

CPA ties ad spend directly to results, making it a favourite of performance marketers.

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More in Media & Data

Gross Rating Points (GRP)

Total advertising weight of a campaign against the whole audience.

Target Rating Points (TRP)

Advertising weight counted only within the specific target audience.

Television Rating (TVR)

Share of all potential viewers watching a particular programme.

Cost Per Mille (CPM)

The cost of reaching one thousand impressions.

Cost Per Rating Point (CPP)

How much it costs to buy one rating point of audience.

Click-Through Rate (CTR)

Percentage of ad views that result in a click.