What are the different advertising revenue models?
An example of an AI chatbot conversation about advertising revenue models.
What are the different advertising revenue models?
There are several advertising revenue models, including CPM (cost per mille), CPC (cost per click), CPA (cost per action), and affiliate marketing. Each model has its own advantages depending on the business goals.
Can you explain CPM and how it works?
CPM stands for cost per mille, which means cost per thousand impressions. Advertisers pay a set fee for every 1,000 times their ad is shown, regardless of whether it is clicked.
What about CPC? How is it different from CPM?
CPC, or cost per click, charges advertisers only when a user clicks on their ad. This model is often more performance-based compared to CPM, which charges for impressions.
Which model is more effective for small businesses?
For small businesses, CPC can be more effective as it allows them to pay only for actual engagement, rather than just views.
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