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  1. #1
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    The Correct EPC formula
    Hi

    I've seen a site define the EPC formula, but they seem incorrect to me.


    "Formula: EPC = (Clicks/$Commissions Earned)"

    When I asked customer support at my affiliate network (I won't name them) for their definition of EPC, I think they've inadvertently made the same mistake:

    "The EPC formula is: EPC = (Clicks/Commissions Earned)"

    My basic math tells me that the above formulas will actually give the number of clicks per commission dollar.

    I believe the correct formula is more like:

    "EPC = Profit ų Clicks ◊ 100"

    (Definition of EPC | Econsultancy).

    I'm not trying to discredit the above source, or my aff network - just wanted to clarify that I'm not missing anything basic?
    Last edited by Chuck Hamrick; September 20th, 2011 at 11:00 PM. Reason: Removed newbie links

  2. #2
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    EPC (per click) = Commission Earned/Clicks

    EPC (per 100 clicks, what a lot of networks use) = (Commission Earned/Clicks) x 100

    Example:
    If after 50 clicks you make $30 then:

    EPC is .60 (per click) = 30/50

    EPC is $60 (per 100 clicks, what a lot of networks use) = (30/50) x 100

    basically what you posted:
    I believe the correct formula is more like:

    "EPC = Profit ų Clicks ◊ 100"

    (Definition of EPC | Econsultancy).

    The first formulas you posted just had the Clicks and Commissions Earned in the wrong place.

  3. #3
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    Thanks, that confirms it for me.

  4. #4
    SEO: A Specialty - Web Design: Slow or outsourced andbeyond's Avatar
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    Think of it as MPG.

    120 miles 4 gallons = 30 MPG

    The per is like the divide sign.

  5. #5
    OPM and Moderator Chuck Hamrick's Avatar
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    CJ, LS, GAN, SAS, AV, Buy all use the established formula:

    EPC (per 100 clicks, what a lot of networks use) = (Commission Earned/Clicks) x 100

    A lot of CPA networks, European networks use the other formula:

    EPC (per click) = Commission Earned/Clicks

    I have also seen it as eCPC.

    Pepperjam uses the last formula.

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  7. #6
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    Quote Originally Posted by Chuck Hamrick View Post
    EPC (per 100 clicks, what a lot of networks use) = (Commission Earned/Clicks) x 100
    About the commission in the formula, whose commission used? average? or top affiliate commision at certain time? 100 clicks is total clicks from all affiliate campaign? or from one affiliate? and what about conversion rate? what's the formula? What if EPC vs CR? which one to choose as the better parameter

  8. #7
    OPM and Moderator Chuck Hamrick's Avatar
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    For the period and the program. If you are calculating for one affiliate then its their data. Almost all networks provide this for merchants and affiliates.

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