Cost Per Reach Formula:
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Cost Per Reach (CPR) is a marketing metric that calculates the cost to reach each unique user with your advertising or extension. It provides insight into the efficiency of your marketing spend by showing how much it costs to reach each individual user.
The calculator uses the Cost Per Reach formula:
Where:
Explanation: This simple division gives you the average cost to reach each individual user with your marketing efforts or extension deployment.
Details: Calculating CPR helps marketers and developers understand the efficiency of their user acquisition efforts, optimize budget allocation, and compare the cost-effectiveness of different marketing channels or extension strategies.
Tips: Enter the total cost of your marketing campaign or extension development in currency units, and the number of unique users reached. Both values must be valid (cost ≥ 0, unique users > 0).
Q1: What's the difference between CPR and CPM?
A: CPR measures cost per unique user, while CPM (Cost Per Mille) measures cost per thousand impressions, which may include multiple views by the same user.
Q2: What is a good CPR value?
A: A good CPR varies by industry, product type, and marketing channel. Generally, lower CPR indicates more efficient user acquisition, but it should be balanced against user quality and lifetime value.
Q3: How can I improve my CPR?
A: Improve targeting, optimize ad creative, test different channels, refine your value proposition, or negotiate better advertising rates.
Q4: Does CPR include all marketing costs?
A: For accurate measurement, CPR should include all costs associated with user acquisition, including ad spend, creative development, and platform fees.
Q5: How does CPR relate to ROI?
A: CPR is an efficiency metric that helps calculate ROI when combined with revenue or lifetime value data from acquired users.