Learn to calculate CPA with a defined action and period, distinguish submissions from purchases, account for conversion delays, and assess delivery costs.
Cost per action, or CPA, divides advertising cost by measured conversions. Specify whether the action is a form submission, purchase, or another event.
More submissions do not necessarily mean more purchases or suitable requests. Evaluate later transactions and delivery costs alongside the numerical CPA.
Google Ads defines average CPA as total conversion cost divided by total conversions. (Google Ads: Average CPA)
In hypothetical monetary units, cost of 100 and ten tracked submissions produce a CPA of 10. If the action changes to purchases, submission counts no longer provide the denominator.
Investigate duplicate submissions and requests outside the service scope. If two of the ten submissions become purchases, cost per purchase is 100 divided by two, or 50.
Record the time between advertising and purchase and the measurement method.
Subtract per-sale costs from purchase revenue before comparing acquisition spending. If ongoing income is used, specify forecast periods and costs.
Align the ad with destination content and revise explanations toward suitable requests.
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A: It depends on the action; distinguish submissions from purchases.
A: 100 divided by ten equals 10.
A: 100 divided by two equals 50 per purchase.
A: Assess request fit, purchases, contribution, and delivery costs.
