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how to calculate CPA

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

How to Calculate CPA

1 Expert replyverified_user

Re: how to calculate CPA

Top Contributor
# 2
Top Contributor

Hi Abhishek,

 

CPA is basically Cost per Acquisition bidding model, where you have to assign a tentative value which you are willing to pay per Conversion basis. More details on CPA bidding can be found here:- https://support.google.com/adwords/answer/2472713?hl=en&vid=1-635761811188447365-3833650337

 

Pankaj

Re: how to calculate CPA

Explorer ✭ ✭ ☆
# 3
Explorer ✭ ✭ ☆
Hi Abhishek

CPA (Cost-per-acquisition) is calculated dividing cost by conversions, or dividing cost per click (CPC) by conversion rate. This is the formula to calculate CPA:


CPA = Cost / Conversions

CPA = CPC / Conversion Rate

Re: how to calculate CPA

Participant ✭ ☆ ☆
# 4
Participant ✭ ☆ ☆
CPA = Cost Per Acquisition (basically means cost per goal) so it depends on what your goals are and what they are costing you/how much they are worth. Ideally your CPA will become lower and lower as you optimise your account and your ROI will increase. This article explains quite well how to go about calculating CPA

http://pearanalytics.com/blog/2009/how-to-measure-cost-per-acquisiton/

Read Up on CPA: https://support.google.com/adwords/answer/2472713?hl=en-GB