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Can RPM be higher than CPM?

Can RPM be higher than CPM?

In calculating about RPM against CPM, First you need to know that RPM is Revenue per Impression and CPM is Cost per Impression, Their fore the conclusion is RPM is much better than CPM. RPM is your total sales per impression you've got while CPM is not yet the total sales you earn on that impression because of different adnetwork agencies publishers sharing profits of whole cpm bids it will divided yet into 2 either 60% adnetworks and 40% publishers.

see for instance:
When you are paid by CPM you're getting paid by impressions (most likely fractional cents per each one) based on 1000 impressions & not by someone actually clicking on an ad. In adsense those earnings are shown separately in the Performance Reports / Bid Types.

The RPM shown in all of the reports are how much you are already actually earning per impression based on 1000 impressions regardless if you are getting paid for impressions and/or clicks & no matter if you are actually getting 1000 or more ad impressions or not. RPM is current total earnings divided by current ad request or page view (depends on what report you're looking at) times 1000.

What’s the difference between AdSense CPM and RPM?
Advertisers set the CPC (Cost-per-click) and CPM (Cost per-1000-impressions) price they want to pay for your Advertisement Space. Understanding CPC is quite easy as it is the price an advertiser pays each time a user clicks an ad. But when it comes on impression based pay, AdSense doesn’t use CPM in their Reporting. Why?

Since advertisements are not displayed in even bundles of 1000-impressions, all impressions served on your site, regardless of the bid type, are combined and averaged in your reporting to show your effective RPM (Revenue per-1000-impressions).

CPM is an industry-wide term that refers to impression based bids by the advertisers. Whereas, RPM is an AdSense-only term used to report your actual impression-based revenue.

Why do Google Report RPM and not CPM?

Google are sneaky and misleading; just try and find how hard it is to locate a CPM report within the Adsense Portal. As a rough rule, RPM will always be higher than CPM because it’s an aggregate of all the ad units on a page. Let’s say you have a RPM rate of $4.00 – but if you have a CPM rate of $1.00 per ad Unit. If you only have 2 units, then the CPM per unit will be $2. Remove the units of measure meant (i.e. RPM or CPM) and $4 is always going to sound better than $1 right?
The other reason that Google reports to publishers on a RPM basis and not CPM is they don’t actually sell all their ads on a CPM rate. Most Google Ads are sold on a CPC rate (Cost Per Click) some are CPA (Cost Per Acquisition) both of which put all the risk on the publisher to have the advertising perform, i.e. they are focused on Direct Response Advertisers looking for conversions. So if you run Google Ads and don’t get a click you won’t earn any revenue. Not really fair is it ?.


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