What is the difference between CPM and RPM?
When it comes to monetizing blogs with ads, everything discusses CPM. CPM is the rate you receive per 1,000 view of a particular ad. Most ad networks pay you per ad, with a CPM rate.
What is confusing is that Google Adsense doesn’t even mention CPM at all in your reports. And so you start looking at RPM.
One of my blogger friends once told me she didn’t want to apply to a certain network because the network was offering her 0nly $1.50 CPM and she was getting $3-5 with Adsense. I said, “Girl, jump on that…$1.50 CPM is GREAT!”
She did not realize that Adsense reports by the pageview. You will not get a report on each ad. They give you the average amount you are getting for all the ads they are serving. RPM refers to the rate your receive from Adsense per 1,000 pageviews (which includes all the ads they serve on that page).
Thank you so much for clearing this up! Sometimes abbreviated words are highly overused and they can send my head into a spin at times. This is a simply and to the point explanation that has helped me get my head round ads…. X
You are welcome! That RPM/CPM thing is confusing and it took me a while to figure it out!