e-Healthcare Solutions' Formulas

Impression - A single instance of an online advertisement being displayed.


CPM - Cost per thousand impressions.

1,000,000 impressions X $15 CPM = $15,000 total price

X =

CTR - The average number of click-throughs per thousand ad impressions, expressed as a percentage.

5,000 Clicks / 1,000,000 Impressions * 100% = 0.50% CTR

/ * 100% =

CPC - The cost or cost-equivalent paid per click-through.

5,000 Clicks X $3 CPC = $15,000 total price

X =

CPA - Cost per acquisition (or action) determined by dividing the investment by the conversions; a conversion is defined as the completion of the desired end-goal

$3 CPC / 1 CNV = $3 CPA

/ =


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