Mobile Advertising Lingo 101: What Exactly is eCPM

We wade through a lot of acronyms in the mobile industry. From technology terms to marketing lingo, it can be confusing. And every day more acronyms are created, adding to the hundreds we already have -  IoT, MBaaS, MEAP, MDM, BYOB, etc. - as we push the envelope to provide descriptions and names for new concepts impacting the rapidly changing mobile economy.

Take eCPM for example. What does it mean? That answer can change based on the person you are asking and the context they work in. In its most basic form, eCPM stands for “effective cost per mille,” a variation of the standard CPM, which traditionally has tracked the cost per thousand impressions for advertising. This is not to be confused with CPC, CPA, and CTR. Are your eyes getting droopy yet?

Actually eCPM refines the way we can value ad impressions. In a recent blog post, Emily Reynolds with Phunware breaks down how the defining aspect of eCPM can provide a more insightful view into the value of mobile ad impressions.

As she points out, “Think of CPM as the price on an invoice, while eCPM is a comparative metric.” In her post she dives into the differences between eCPM and CPM, also providing insight into CPC, CPA, and CTR, which are all still widely used in defining how to pay for the value of the eyeballs seeing an ad.

To learn more, you can check out the full blog post on the Phunware website.