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What is CPA?

Short answer

CPA stands for cost per acquisition. It is what an enquiry, purchase or other conversion costs you in ads.

You work it out like this: what you spent on ads divided by the number of conversions. €300 for 10 enquiries is a CPA of €30.

The CPA says more than the price per click. It is not about how many people click. It is about how many customers you get.

Know what a customer brings in for you. Then you also know which CPA you can afford.

Real-life example

A contractor earns €2,000 on average from a job. An enquiry through Google Ads costs him €40. One in four enquiries becomes a job. That is well worth it.

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