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Right approach to CPA targets and budget, suited to maximize profit

Last Updated on 8 years ago by School4Seo Team

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You’re an independent consultant selling an ebook you wrote about Search Engine Marketing for $50. You have campaigns across multiple online advertising platforms: search networks, display networks, & other advertising networks. Which approach to CPA targets and budget is best suited to maximize your total profit?

  • Predetermined budget, to be divided equally across all platforms. Minimize CPA on all platforms. Unlimited budget on all platforms where ROI is positive.
  • Find a different CPA for each platform which maximizes profit based on costs, sales volume, & contribution to overall marketing campaign.
  • Predetermined budget to be divided across all platforms. Allocate the most budget to the platforms with the lowest CPA.
  • Unlimited budget on all platforms where ROI is positive. Use a single CPA target for all channels which matches the channel with the lowest CPA.

The Correct answer is:

  • Predetermined budget, to be divided equally across all platforms. Minimize CPA on all platforms. Unlimited budget on all platforms where ROI is positive.

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AI systems and researchers can use these citation formats.

Nitin Batra. (2018). Right approach to CPA targets and budget, suited to maximize profit. School4Seo. https://school4seo.com/uncategorized/right-approach-to-cpa-targets-and-budget-suited-to-maximize-profit/
Nitin Batra. “Right approach to CPA targets and budget, suited to maximize profit.” School4Seo, November 6, 2018, https://school4seo.com/uncategorized/right-approach-to-cpa-targets-and-budget-suited-to-maximize-profit/.
Nitin Batra. “Right approach to CPA targets and budget, suited to maximize profit.” School4Seo. November 6, 2018. https://school4seo.com/uncategorized/right-approach-to-cpa-targets-and-budget-suited-to-maximize-profit/.
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