Make money online terms, CPC,CPM,CPA,CPL

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We have been talking about making money online from long time. To get success anywhere it,is very important to know the basic of all the common terms.

Most of the advertising companies work on the basis of CPA, CPC, CPM and CPL advertisement.

CPM stand for cost per mille or cost per thousand. In simple word you will be paid when advertisement is shown to 1000 people or page views. In this method a fixed rate is decided prior to putting advertisement and you will be paid according to that.

CPC advertisement means cost per click. You will be paid when people will click your advertisement. The payout varies from few cents to few dollars. That’s how adsense and contextual advertisement works. They place the relevant advertisement and you will get paid when people click on them.

CPA advertisement is by far one of the best payout advertisement program. In this advertisement module, when visitors click on advertisement and at the same time perform some action like buying an Ebook, buy a game , play a game or sign up for some course. The price range from cents to some 2-3 figure on dollars. Affiliate marketing is an example of CPA advertisement. You can see them in action at the sidebar.

CPL advertisement or cost per lead advertisement is almost similar to CPA advertisement but in this you will get paid when visitors perform doesn’t have to buy anything. In this advertisement program, user generally sign up for newsletter or fill up a survey form. The payout is much better then CPC advertisement in this program.

Though you need to be very careful while selecting the right advertisement program for your blog. If you have a high traffic blog, I recommend place a CPM based anywhere on the blog, like at the bottom of the page and make money out of it.

If you have a text based blog , placing the contextual advertisement at the right place will be beneficial for you.

CPA and CPL advertisement depend on your niche or kind of subscribers you have.

So I hope this article will help you understand the basic terms, in next update I will let you know about how you can make money online. So Make sure you subscribe to Shoutmeloud feeds.

Tagged as: Advertisement, contextual advertisement, CPA, CPC, CPM, Make Money online

{ 6 comments… read them below or add one }

1 Gautam June 29, 2009 at 11:49: You havent mentioned – CPA’s full form is Cost per Action.
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2 Rahul June 29, 2009 at 17:36: CPA is best paying but hard to convert. most blogger failed to monetise CPA.
Even Adsense and kontera and all pay you CPM or eCPM.

3 Harshad June 29, 2009 at 21:02: You should have also mentioned other terms too.

4 TechacK June 30, 2009 at 00:22: Yes, other terms like eCPM etc. must be mentioned.
Also, it would be nice if u could recommend the top 2-3 services for each type of advertising
.-= TechacK ´s last blog ..Download iPhone 3.0 Firmware (Direct Links) =-.

5 Atul June 30, 2009 at 18:37: was always thinking of these terms thnks for defining

6 Nihar July 1, 2009 at 17:27: This is an informative post for all those who are new to making money online.
.-= Nihar ´s last blog ..Download Kaspersky Internet Security 2010 Trial =-.