A strong foundation helps you to achieve success in the longer run. It is crucial to know the basics of your trade.
Today, we will discuss basic terminologies used in online marketing to make money from it. Most of the advertising companies work on the basis of CPA, CPC, CPM and CPL advertisement. This post explains all about the above used terms.
Common Terms in Online Marketing
CPM stand for cost per mille or cost per thousand. In simple words, you will be paid when the advertisement gets 1000 people or page views. In this method, a fixed rate is decided prior to the advertisement, and you get 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 in ShoutMeLoud.
CPL advertisement or cost per lead advertisement is almost similar to CPA advertisement, but, in this, users generally sign up for newsletter or fill up a survey form. The payout is much better then CPC advertisement in this program.
You need to be very careful while selecting the right advertisement program for your blog. If you have a high traffic blog, I recommend you to 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 will depend on your niche or the kind of subscribers you have.
I hope this article helped you to understand the basic terms. In the next update, I will let you know about how you can make money online. So make sure you subscribe to Shoutmeloud feeds.
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