Online Ad Pricing Models: Which is Best for Your Business?

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Digital advertising has been proven to be an effective tactic to increase your business’s visibility, traffic and sales. And there are many different digital advertising pricing models to choose from. Here are 6:

1. Cost-per-click (CPC) – you pay for every click
2. Cost-per-mille (CPM) – you pay for every thousand ad impressions
3. Cost-per-mille-views (CPMV) – you pay for 1,000 viewed only ad impressions
4. Cost-per-interaction (CPI) – you pay when a user interacts with your ad, such as installing an app
5. Cost-per-lead (CPL) – you pay based on leads acquired
6. Cost-per-action (CPA) – you pay for a defined action, such as a user buying your product

Cost-per-click (CPC) and cost-per-mille (CPM) are the most common models, and an increased focus on performance-based advertising has increased the popularity of cost-per-action (CPA) and cost-per-lead (CPL) models, but they may or may not be the right fit for your business.

It’s important to evaluate which model is best for your business. Each type has different strengths, some of which may align better with your business’s goals. It may be useful to consider what growth stage your business is currently in, as well as where you want to go. And, of course, consider which is the best platform to use based on your business’s unique needs and goals.

At Strategic Marketing Solutions Inc., we can help you answer these questions, find the pricing model and online advertising strategies that work best for you, and more.

Contact ~Representative at smsinc@nc.rr.com or (919) 906-6785 today to get started!

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