# ECPM?! Help! I need a good definition!

2. <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by mpfeiffer:

I think it stands for Ecom City Poor Mike...

3. ECPM stand for "effective cost per thousand impressions". Some sites use this calculation to convert CPC (cost per click) or CPA (cost per action) offers into a common metric for all advertising.

For example:
Advertisers X pays \$10 per lead. Affiliate delivers 10,000 impressions resulting in 10 leads (earning \$100 in commissions). The resulting ECPM would be \$10 - meaning they earned \$10 for every 1000 impressions. Advertiser Y pays \$0.20 per click. Affiliate delivers 10,000 impressions resulting in 100 clicks (\$20 in commissions). The resulting ECPM would be \$2 - meaning they earned \$2 for every 1000 impressions.

Does this help? I hope my math is correct - it is getting near my bedtime.

4. <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR> Does this help? <HR></BLOCKQUOTE>

Very much. Thanks Todd - I've never quite understood the whole EPC metric myself.

5. Todd - thanks very much - I appreciate your help!!

all the best

6. jimh009,

I was exlaining ECPM, not EPC. EPC stand for "earnings per 100 clicks" and is a metric in the CJ Network we use to help advertisers and publishers understand the potential value of relationships.

Example:
If an advertisers offers 20%, it is hard to know how much money you can expect make as a publisher. By publishing that their program has an average EPC of \$10 - you know that on average, affiliates earn \$10 for every 100 clicks they send this advertiser. This doesn't mean you are getting paid for sending clicks but it helps you understand how conversion rates and average order value translate into actual commissions to you.

7. OK. Got you Todd. This clears things up. EPC measures "clicks" (per 100) while ECPM measures "impressions" (per 1000).