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CPC and CPM relation for DEM

By April 10, 2020No Comments

DEM, Direct Email Marketing, is when you send a promotional email for yourself or for a third party (which usually pays you). To sell a DEM you need to have a price.

Many times, DEM are sold by CPM (cost per mille – cost for one thousand sent emails), something like 25$ CPM. So if you have a database of 10,000 subscribers, you can ask 250$.

Of course the price change by sector and depends on the quality of your contacts. If you are running a campaign about pregnancy products and your database is made only of granted mom-to-be contacts, the price can be higher.

Sometime customers ask for CPC (cost per click) email campaigns. It means they’ll pay you per received clic. But it means, as well, you cannot “just send out” emails, but you can study them to be opened and clicked. That involves more expertise, creativity and experience. And experiments.

But what about if I want to compare CPM and CPC? The table below converts CPC to CPM and vice versa. So if you have a know CTR (click through rate) or at least an hypothesis on it, you can decide to switch from a selling mode to the other without loosing a cent.

In the table, for given CPM and CTR you’ll know how much a click is actually paid. For example, selling a 25 CPM campaign with a CTR of 3% you have 0,83 per click.

I didn’t specified the currency, so you can think about euro, dollars and so on!

Ready to monetize your contact list?