What does CPA stand for?

What does CPA stand for?

• A. Cost Per Click
• B. Cost Per Acquisition
• C. Cost Per Thousand Impressions
• D. Cost Per View

Answer: (B)

Cost Per Acquisition is a pricing model in digital advertising where you pay only when a user completes a defined action, such as making a purchase or signing up for a service. This makes CPA a performance-driven approach, tying spend directly to actual outcomes rather than just traffic. For example, if your campaign’s CPA target is $20, you aim to spend about $20 for each conversion. This differs from other common models: Cost Per Click charges for each click regardless of conversion; Cost Per Thousand Impressions charges for every 1,000 times the ad is shown; and Cost Per View charges for each view or video watch. The term acquisition encompasses the conversions that matter to the business, not just views or clicks.

Cost Per Acquisition is a pricing model in digital advertising where you pay only when a user completes a defined action, such as making a purchase or signing up for a service. This makes CPA a performance-driven approach, tying spend directly to actual outcomes rather than just traffic. For example, if your campaign’s CPA target is $20, you aim to spend about $20 for each conversion. This differs from other common models: Cost Per Click charges for each click regardless of conversion; Cost Per Thousand Impressions charges for every 1,000 times the ad is shown; and Cost Per View charges for each view or video watch. The term acquisition encompasses the conversions that matter to the business, not just views or clicks.