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viewable cpm cost very low compared to standard cpm

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# 1
Visitor ✭ ✭ ✭

I just setup a campaign for viewable cpm and am surprised that avg cpm is very low compared to previous times (before viewable cpm was available). Is there a logical reason....

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Accepted by topic author wayne_12
September 2015

Re: viewable cpm cost very low compared to standard cpm

Google Employee
# 2
Google Employee

Hi Wayne,

 

Thanks for your question. Viewable CPM could be less because you bid only on viewable impressions. You  do not pay for any unviewable ads.

 

If you are looking to maintain the same level of traffic on a campaign that is switching from CPM bidding to Viewable CPM bidding, a simple calculation is to divide your current CPM bid by the viewability ratio of your impressions.  

 

For example, if 50% of your impressions are viewable at a $3 CPM bid, your vCPM bid might be $3/50% = $6.  However, because of Google’s optimizations and targeting for viewable impressions, the actual realized CPM is often much lower than the bid.

 

Hope that helps.

 

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Marked as Best Answer.
Solution
Accepted by topic author wayne_12
September 2015

Re: viewable cpm cost very low compared to standard cpm

Google Employee
# 2
Google Employee

Hi Wayne,

 

Thanks for your question. Viewable CPM could be less because you bid only on viewable impressions. You  do not pay for any unviewable ads.

 

If you are looking to maintain the same level of traffic on a campaign that is switching from CPM bidding to Viewable CPM bidding, a simple calculation is to divide your current CPM bid by the viewability ratio of your impressions.  

 

For example, if 50% of your impressions are viewable at a $3 CPM bid, your vCPM bid might be $3/50% = $6.  However, because of Google’s optimizations and targeting for viewable impressions, the actual realized CPM is often much lower than the bid.

 

Hope that helps.

 

Re: viewable cpm cost very low compared to standard cpm

Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭
we ll it seems some of the metrics did not pull out hence the confusion but now Adwords has given me access to more metrics. Just looking at viewable CPM vs standard CPM, viewable CPM is much much higher which is understandable because of higher demand for guaranteed viewable ads. But what I find shocking is the percentage of viewable impression to standard impressions, this could only mean clients where not working with the right metrics and overcharged.

This also brings in more questions on reach and frequency report, those numbers are not based on viewable starts. My concern now is how do you suddenly justify to clients the sudden drop in reported impressions and "viewable" reach, this may be a a hard to sell.

And Shanea K you are right on the calculations, they give a good guidance on where to start when moving to vCPM Smiley Happy