PPC Cost Per Acquisition (CPA) Formula





I’m probably the last person to figure this out, but I was just doing some planning and I figured out this easy little formula to figure out estimated average CPA:
Average Cost Per Acquisition (CPA) = Average Cost per Click / Conversion Rate
David and I just used that formula plus some algebra to come up with a budget estimation.

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{ 2 comments }

tizdoyle September 10, 2009 at 2:13 pm

hey Dan, great project, I'm planning my website account to do Cost per Action and affiliate sales.
great

tizdoyle September 10, 2009 at 9:13 pm

hey Dan, great project, I'm planning my website account to do Cost per Action and affiliate sales.
great