Advertisers on a Display Network can Pay
As an advertiser, you have a variety of ways to pay for ads on Google’s display network. You can pay-per-click (PPC), which means that an advertiser pays each time someone clicks on their ad. Or you can pay per 1,000 impressions (CPM), which means that an advertiser pays a certain amount for every 1,000 times the ad is displayed. The most important thing to remember with PPC and CPM is how your ad performs against the costs associated with running it.
Pay-per-click (PPC) – an advertiser pays a certain amount each time a user clicks their ad
Pay-per-click (PPC) – an advertiser pays a certain amount each time a user clicks their ad.
Pay-per-impression (PPI) – an advertiser pays the network whenever their ad is displayed on the site.
Pay per conversion – advertisers pay for each conversion generated, defined as each completed sale or lead provided by your business to the customer, who then converts it into profit for you and Google Ads.
Pay-per-thousand impressions (CPM) – an advertiser pays a certain amount for every 1,000 times the ad is displayed.
Pay-per-thousand impressions (CPM) – an advertiser pays a certain amount for every 1,000 times the ad is displayed.
CPM is the most common form of advertising. When you set up your ad campaign using CPM bidding, you tell AdWords how much you’re willing to pay per 1,000 impressions. Google then determines when and where your ads will show and whether they should be shown based on competition, prices and other factors.
Cost per engagement (CPE) – an advertiser pays a certain amount each time a user interacts with their ad.
You may have heard of cost per engagement (CPE) before. It’s a pricing model that’s been around for quite some time and is used by several companies, including Bing Ads. Cost per engagement works like this: The advertiser pays an agreed-upon rate each time a user interacts with their ad. This could be clicking on the ad, watching it for more than 25 seconds or performing any other action within the confines of the advertisement.
For example, if you were running a campaign for a new mobile game called “Fist Fight With Your Friends” on Facebook and had set up CPE bidding models in your budgeting settings, you would have been charged $2 every time someone downloaded your app after interacting with one of your ads on Facebook.
Engagements include video views and social actions (e.g., likes or shares).
The most common payment method for CPM campaigns is the cost per thousand impressions, or CPM. Advertisers using this method pay for every thousand times their ads are displayed on a publisher’s site or app (though it’s more commonly used to refer to video ads).
CPM is best when advertisers want to reach as many people as possible and don’t care about what happens after the ad has been shown. For example, if you’re an advertiser looking for new customers, you could run a campaign that shows your ad while people search online, hoping they’ll see your offer and buy something from you. That would be a great use of CPM because even if only one person clicks through your ad and buys something from you, it means 100% engagement!
Google’s partner sites, including Gmail and thousands of sites across the web
The Google Display Network is a collection of sites on which you can show your ads. This network includes Google’s partner sites, including Gmail and thousands of sites across the web.
You can expand your reach to new audiences and reach people more likely to be interested in your products or services.
Impact on conversions by increasing brand awareness or bringing new people to your site or app.
Advertisers can use display ads to increase brand awareness, bring new people to their sites or apps, and drive sales.
When it comes to increasing brand awareness, display ads are an excellent way for advertisers to build positive associations with their brands. They’re also effective for building traffic and engagement on websites where you have no control over the look, feel or content of what is shown on the site. If you have an app in which users can play games or browse products without leaving your app (and thus without seeing any ads), display ads can be used to drive those individuals back into your app so that they see more ads and give feedback about them through Play Store ratings or reviews.
The maximum amount you’re willing to pay when someone engages with your ad.
The maximum amount you’re willing to pay when someone engages with your ad. This can be defined as cost-per-engagement (CPE), cost-per-click (CPC), or cost-per-thousand-impressions (CPM).
For example, let’s say you have a CPE of $5 and a conversion rate of 2%. That means for every 100 views on your website; two people will convert into customers. Your CPE is then:
$5 x 2% = $0.10 per view
Advertisers on a display network can pay in CPM, CPE or CPA.
- CPM: Cost per thousand impressions
- CPA: Cost per action
- CPE: Cost per engagement
- CPC: Cost per click
- CPA: Cost per acquisition
Conclusion
There are many ways to pay for your ads on Google’s display network. You can choose whichever one works best for your business and budget.