How Adsterra Сounts the Cost of 1,000 Impressions: CPM for Publishers Explained
When it comes to web and mobile traffic monetization, ad impressions are the first thing publishers look at. Like with any other advertising network, webmasters joining Adsterra want to make sure they get a high CPM rate, which equals the cost of 1,000 impressions. But CPM is a dynamic rate, and the volume of a website’s traffic will not always result in the same number of ad views. It’s time to make all those issues clear once and for all.
From this short guide, you will learn all about how you can earn from every 1K impressions on Adsterra. After reading, you will be prepared to monitor your revenues right from the Publishers’ Dashboard.
- What are Ad Impressions, and how are they linked to CPM rates?
- How the CPM rate affects a publisher’s income
- Who decides on the cost of 1,000 impressions or CPM?
- How the cost of 1,000 impressions (CPM) may change for Adsterra publishers
- How Adsterra counts ad impressions for publishers
- Why website traffic volume may not be equal to the number of impressions
- Five ways how publishers can increase revenue from 1,000 impressions
What are Ad Impressions, and how are they linked to CPM rates?
Bloggers and webmasters invest a lot in boosting website traffic. Along with brand strengthening and affiliate marketing success, traffic volume opens new opportunities to grow passive income from advertising.
With ad networks, a publisher’s income directly depends on how many times users will view this or that advertisement. This means that when you put an ad on your website, and visitors start to drill down your web pages, ad networks will pay you for ad views (or impressions).
One ad impression is equal to one ad view. The more traffic you attract, the more users will view ads on your website, the more you earn.
Historically, advertisers and publishers have come up to a standard metric — the cost of 1,000 impressions. This metric is well-known as the CPM (cost-per-mille) rate.
How the CPM rate affects a publisher’s income
If CPM means the price for 1,000 ad impressions on the web (or mobile) page, then a publisher’s earnings will depend on how high their CPM is.
When your CPM is $2, it means your ad network will pay you $2 for each 1,000 ad views. Ok, but how much do website owners get with their traffic? Another example will help us to make it out.
Supposing your website gets 5,000 visitors per day. These users generate 10,000 page views per day (they can see many pages or reload the same page). You see in your ad networks that your CPM is $2. Then, your daily revenue will come like: 10,000 page views / 1,000 (the cost per thousand impressions) = 10. You got 10 CPMs which means you’ll be paid $2 ten times. In total, you get $20 per day for one single website. On average, it’ll be $600 per month, which is a pleasant addition to your revenue.
You can see now that the CPM rate affects the amount of money earned. How is it counted? Why is one publisher thriving with the CPM of $60 while others can only make $0.5? To find the answer, we must return to ad impressions and look at those who pay for them — the advertisers.
Who decides on the cost of 1,000 impressions or CPM?
One can first think that ad networks alone are establishing how much they will pay for ads exposed on publishers’ websites. But this is not so. Now we will explain all ins and outs.
Advertisers are those who do set the CPMs for publishers. They come to an ad network to promote their goods and services. All they need is their ads to reach as many users as possible. Not all users — only target users that can buy their products, install their apps, download their antiviruses, or subscribe to their dating services. This is called targeting.
When advertisers choose which traffic to buy, they decide on the amount of the bid (aka the cost they’re ready to pay). Usually, bids for Tier 1 traffic are higher.
But not only the initial bid matters. Advertisers may be ready to pay much for, say, the US traffic from mobiles, but they are able to track which website from this targeting really brings quality traffic.
All these facts state the same truth: the CPM rate is a dynamic value. It’s time to make out HOW your earnings from 1,000 impressions may change on Adsterra.
How the cost of 1,000 impressions may change for Adsterra publishers
We know now that advertisers decide how much they are ready to pay for their ads to be exposed 1K times to different types of users (target users).
Publishers notice that sometimes their CPM spikes while one day it can drop…and lift again. Several factors affect the cost of 1,000 impressions. Publishers can monitor the dynamics right on their account, on the Statistics tab. And now we are moving to listing some key factors that come along with traffic volumes and define CPMs.
Factors that can affect CPM rates (along with traffic volumes)
1. Your website niche
Advertisers have always paid higher for ads on some traffic-boosting websites categories: news, movies, entertainment. It doesn’t mean you must rebuild your file hosting service or a SEO blog to match the fruitful niche. If you drive quality traffic, you’ll find your fans among advertisers.
* Mechants also bid higher for sports-related websites during sports events, UFC fights, world tournaments, etc. When it comes to the off-season or when major events are canceled (like during the pandemic), the cost of traffic drops.
2. The CTR of ads on your website
This metric means just as much as the CPM. It can tell a publisher how the audience reacts to ads. If users click on ads, advertisers will normally pay higher for such traffic.
The higher the click-through rate, the more valuable the traffic is. Publishers can amplify their CTRs by following some common tips. First, it is better to place ads on the most visible spots of the web pages. Also, website owners should focus on the nativity of advertising blocks, especially when it comes to mobile pages. In our previous guide, we listed the bunch of tips on how you can improve your CTRs.
Seasonality is the obvious, though the most unpredictable factor. Sometimes, advertisers buy all traffic carelessly about how much they pay. And the other time, they will set the lowest bids.
It all depends on the volume of ad offers and the competition. Advertisers compete stiffly during the BFCM sales (and others). And if your GEO is in their target, your CPM may skyrocket.
It makes sense to analyze how your traffic changes during the hottest sales seasons to attract more users that will convert into income.
4. Traffic type and ad filters
Videly you think of attracting quality traffic. And that’s enough for getting paid. However, we can look deeper and discover traffic segments that have been always in vogue or have just become popular. For instance, non-mainstream traffic has been well-paid over the years. Numerous advertisers are willing to expose their speed dating websites, video streaming platforms, niche movies.
But not all publishers drive traffic that can convert with such ads. Nevertheless, publishers with traditional traffic can profit from non-mainstream ads. If your visitors are grown-ups (21+) that are looking for entertainment content, you should remove filters from explicit ads. Then, non-mainstream ads will appear on your website and, most probably, bring more payouts.
Traffic types that boast of having higher revenues from every 1,000 impressions deserve higher attention! Let’s see which ones are trending now.
Traffic types that attract high paying advertisers
So, what is so special about the cryptocurrency target audience? Let’s review their most defining features and how they impact the crypto marketing strategy.
Social traffic is among the best-paid types. Many advertisers are ready to invest a lot for their offers to be exposed to young, advanced, and tech-savvy TikTok or Facebook users. Up to $90 CPM for the US social traffic, as of our recent data slices 🔥
Universally, more and more users are shopping, learning, and working from mobiles. The COVID-19 outbreak has only fueled this trend. If your Google Analytics continues to expose the dominance of desktop users, it seems you need a new plan.
SEO optimization under the Core Web Vitals is the primary step in achieving a good influx of organic mobile traffic. But only if you can offer precious, valuable content.
One more tip is a Webview creation. Webviews transform websites into mobile apps. Well, not literally, but they make them much more usable. One condition here: your inventory must be responsive by design.
Mobile carrier traffic
Mobile carrier traffic has revealed the huge potential for revenue growth over the last months. With 4G/LTE embracing more and more countries with a high-speed connection, publishers that can deliver traffic from specific mobile carriers on specific GEOs become the most demanded. TV series, antiviruses, video apps, and more products are advertised with a subscription model. Users must subscribe to start getting the content they want, but it’s their account that will be charged, not the credit card.
Extra factor: traffic whitelists
Whitelisting is not about traffic types, but these activities are tighly connected with selecting the best sources and increasing their CPMs.
Advertisers are brilliant when it comes to traffic sources selection. As you already know, they track placements (websites and all places where publishers put ads). Thus, they can either spotlight your website or a specific placement on it, setting a higher CPM, or decrease the bid if they see your traffic is performing poorly. What’s more, they can use these whitelists over and over again.
Though advertisers can affect your CPMs heavily, Adsterra enters the game to maintain your payouts. Adsterra is renowned for offering the most beneficial CPM rates for publishers. Our in-house AI algorithms send ads to the websites where they will be met by the most loyal users (pattern matching).
How Adsterra counts ad impressions for publishers
At Adsterra, we count impressions exactly as other ad networks do. Each impression is equal to one full load of an advertisement on a web page.
If 5 users have seen one ad on one page, you get 5 impressions. If one user has seen 5 different ads while navigating your website, you also will get 5 ad impressions. And if one user has seen one ad five times, it will also count for 5 ad impressions.
Why the traffic volume may not always be equal to the number of ad impressions
Publishers who take care of their traffic always use Google Analytics or other solutions to track the amount of traffic their websites embrace. And they might notice that GA marks high figures for the number of visits while on Adsterra, they see fewer ad impressions. How can it happen?
Ad discrepancy is an issue to explore. To keep it shorter, we will narrow it down to the one topic we discuss today — ad impressions.
Reasons why publishers may see fewer ad impressions in their statistics:
1. A user had closed a Popunder ad before it loaded. We remember that one impression is a fully loaded ad. So, when users close a new browser tab with popunder, it can’t be counted as an impression.
2. Native Banners are visible at less than 50%. Suppose a user doesn’t scroll your page enough to see native banners. This case is frequent when publishers put native banners right before the page footer. The ads are loaded, but much fewer people scroll the page to reach them.
3. Users massively use VPNs and proxy. Not all, but some advertisers refuse to buy anonymous traffic; that’s why some ad impressions won’t be scored.
4. Zero tolerance to bot traffic. Adsterra don’t count false impressions and bot traffic. Not the same but similar: traffic bought in bulk also shows poor performance, so advertisers detect and blacklist it.
How publishers can increase revenue from 1,000 impressions with Adsterra
Having figured out how publishers can count their CPM rates, control and manage their revenues, we can now move towards the tips for increasing revenues.
The first and the main point to learn is that the cost of 1,000 ad impressions rate is not exactly the revenue. You may put as many ad codes as possible and stream tons of impressions, but they will not turn into tons of clicks.
1. Grow traffic that converts
Make sure you know WHO visits your website and how long they spend drilling down your web content. Even massive traffic can return insufficient revenues if it doesn’t react to advertising. Earlier, we shared definitive guides on how to generate huge traffic and how to grow traffic that converts.
Keep an eye on the seasonal spikes and drops of traffic. If you get fewer visits during the leading seasonal sales like Christmas or Black Friday / Cyber Monday, then, probably, your CPM will drop precisely on these dates.
2. Generate more Tier 1 and Tier 2 traffic
This trend doesn’t seem to fade. Tier 1 users (US, UK, CA, AU, etc.,) are the most valuable, and advertisers are more willing to bid higher for their ads being exposed to these users.
South African (ZA) traffic has excelled gaining CPMs comparable to ad impressions on Tier 1. Lot of hot offers are promoted here. Russian (RU) traffic has also been very promising in the last 2 years.
We at Adsterra are witnessing how Tier 3 traffic gains value for advertisers. Our partners earn a lot on Kenyan and Nigerian traffic. Offer range is impressive, from PIN Submits to App, VPNs, and Sweepstakes.
3. Invest in social traffic
Traffic from social networks is on the rise. It literally spiked in the CPM rates, moving publishers from this niche to the top of the Adsterra money makers ratings. If interested, you can check which website categories gained impressive payouts within Adsterra.
TikTok and Facebook users consume apps, VPN, software, and e-commerce ads better. Publishers that can attract traffic from these networks can enjoy CPMs that are two- or three-fold higher.
4. Refresh traffic and ad placements
Active and loyal users are a publisher’s main asset. But what if they come to your website daily and meet the same block of ads placed on the same places.
Try refreshing your web page structure off and on. Combine ad code avoiding oversaturation with the exact sizes of banners.
Also, when one user clicks on the ad, he/she will hardly click on it again. That’s why it is an excellent practice to attract a new, fresh audience that can interact with advertisements over and over again.
5. Use ad formats that appeal to users and advertisers
It is easier said than done, right? Which formats are out-of-date and which are better only for desktop? Which ones your users will click and which ignore? One can’t give a rock-solid guarantee that your website visitors will fall for popunders or ignore banners. It’s all about A/B tests and regular user behavior checks.
However, there is a rule that always works: novelties can add some hundreds of dollars to your income. Social Bar push ad format is your trusted partner in traffic monetization. Fresh, neat, UX- and OS-friendly creatives from top advertisers fit any website, whether it is a blog or a catalog, desktop or mobile, iOS or Android-oriented.
As with any ad network, the cost of 1,000 impressions on Adsterra depends on several factors. And publishers can actively work on improving CPM rates by:
- combining ad formats;
- researching and adding brand-new ad codes;
- fusing websites with organic and paid traffic;
- investing in social traffic;
- boosting websites’ download speed and mobile-friendliness, etc.
Every next 1,000 impressions will pay you dividends, so be patient in adjusting your ad placements and growing your traffic volumes.
And remember — you’re not alone in this journey! With Adsterra 24/7 live support, each publisher, regardless of the website traffic volume, gets expert advice on making the most of traffic!