If you are looking for the Digital marketing formula’s for your Google Ads campaign to optimize your Ads and to increase the conversion rate?
Here are the list of the Top 13 Google Ads (Pay Per Click – PPC) Formula for every Digital marketer should know about it:
- CPM (Cost Per Thousand Mile/Measure) = (Total Ad Spent / Total Ad Impressions) X 1000
- CTR (Cost Through Rate) = (Total Clicks / Total Impressions) X 100. (This formula can be used in Facebook or Instagram Ad Campaign too)
- Email CTR = (No of Clicks / No of delivered emails) X 100
- VTR (View Through Rate) = (Total Completed Views / Total Measured Impressions) X 100
- CPC (Cost Per Click) = (Total Ad Amount Spent / Total Measured Clicks)
- CR (Conversion Rate) = (Number of Conversion / Number of Clicks) X 100
- CPL (Cost Per Lead) = Total Ad Spend / Total Number of Attracted Leads.
- eCPM (Effective Cost Per Mile) = Total Earnings / Total Number of Impressions X 1000.
- eCPC (Effective Cost Per Click) = Total Earnings / Total Number of Clicks.
- eCPA (Effective Cost Per Action) = Total Earnings / Total Number of Actions.
- ROI (Return On Investment) = (Total Revenue – Total Spent) / Total Spent X 100.
- Other Formula for ROI = (Net Profit / Investment) X 100.
- LTV (Lifetime Value) = Average Value of Sale X Number of Transactions X Retention Time Period.
- CLTV (Customer Lifetime Value) = LTV X Profit Margin.
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