The abbreviation eCPA, which stands for effective cost per action, shares a near-identical meaning with CPA (cost per action). The key distinction lies in its application when various pricing models, such as CPM (cost per mille), CPC (cost per click), and CPA, are employed with distinct rates within the framework of an ad campaign’s pricing model.
The concept of eCPA, or effective cost per action, involves amalgamating CPM and CPC costs into a unified CPA cost. We can achieve this by applying the standard CPA formula, which considers both the expenses related to impressions and actions:
eCPA = Total Cost of Ad Campaign ÷ Number of Actions Taken
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