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# 1
Visitor ✭ ✭ ✭


 Hello there,

                    I am completely new to Adwords. I need help with CPE(cost per engagement) AND CPA(cost per acquisition or action). Need to know whether there are any difference. And if yes what is the difference between them. 

Thank you in advance


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Marked as Best Answer.
Accepted by topic author Rohit M
March 2017


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# 2
Top Contributor

CPE : Cost per Engagement is bidding strategy, which is used in the the Google LightBox ads.  Here, the users does not click on your ads but they mouse over the ads at-least 2 sec, and your ads will expand and you will be charged. 


CPA : Conversion Optimizer is good for advertisers with direct response goal oriented campaigns. The Conversion Optimizer is a multidimensional tool that makes the campaign Automated. It allows the advertisers to set the bid for actual conversion, and this feature is known as Cost Per Acquisitions (CPA) Bidding.


Although the name suggests Cost per Acquisitions bidding, an advertiser is charged on the basis of Click. When you define a CPA, the AdWords system uses a several factors to determine the CPC bid on behalf of you to maximize the chances of conversions with defined CPA. It uses different types of data model to generate the CPC bids that are likely to define the ad positions and placement that attract both Click and Conversions. 

--Rakesh Kumar, AdWords Top Contributor , Twitter | Linkedin | Community Profile
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