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E-commerce Calculators

Advertising Cost Calculator

Plan an ad campaign. Choose whether you pay per thousand impressions (CPM) or per click (CPC), and see the cost, the clicks and sales it should produce, and the cost per sale.

Pricing model
$
%
$
Campaign cost$1,500.00
Clicks
2,000
Conversions
50
Cost per conversion
$30.00
Effective cost per click
$0.75
Revenue
$2,250.00
ROAS
1.5×
Step-by-step working
  1. Cost = $0.75 × 2,000 clicks = $1,500.00
  2. Conversions = 2,000 × 2.5% = 50
  3. Cost per conversion = cost ÷ conversions = $30.00

How to use the Advertising Cost Calculator

  1. Choose CPC or CPM pricing.
  2. Enter the price and the expected clicks or impressions (and click-through rate for CPM).
  3. Enter your conversion rate and, optionally, average order value.
  4. Press Calculate.

Formula

CPC: cost = CPC × clicks

CPM: cost = CPM × impressions ÷ 1,000; clicks = impressions × CTR

Conversions = clicks × conversion rate   Cost per conversion = cost ÷ conversions

Examples

  • 2,000 clicks at 0.75 with 2.5% conversion: cost 1,500, 50 sales, 30 per sale; at a 45 order value, revenue 2,250 (ROAS 1.5×).

Frequently asked questions

CPM or CPC: which is cheaper?

It depends on your click-through rate. Effective CPC on CPM pricing = CPM ÷ (1,000 × CTR). With an 8 CPM and 1.2% CTR that is about 0.67 per click.

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