Knowledge Base

What is Cost Per Action (CPA)?

CPA (Cost Per Action) means cost for each action. Targeted action is usually charged as a fixed or percentage.

The goal of e-commerce sites is often product sales. Thanks to the traffic coming through the advertisements worked in the CPA model, either a fixed fee or a certain percentage of the product is paid to the publisher for each product sold.

CPA is one of the most loved metrics by marketers. Because pricing occurs only when the product is sold.

How is CPA Calculated?
CPA is calculated by dividing Total Cost by Total Actions.

CPA= Cost / Number of Actions

For example, you are planning to advertise for a new television model. You have allocated a budget of 2250 TL for this advertisement. As a result of your advertisement, 75 TV sets were sold. We can calculate the CPA of this ad as follows.

CPA = 2250TL / 75 = 30 TL

As a result of the calculation above, we see that we spend 30 TL for the sale of each television.