Glossary

CPA Marketing – Cost Per Action

What is cost per action (CPA) marketing and advertising?

CPA or cost per action marketing is a pricing model used in mobile user acquisition campaigns in which advertisers choose a post-install action to measure, and only pay for users who engage in that action. That means in order for advertisers to pay, the user must see their in-app ad, install their app, and complete the action.

In CPA advertising, advertisers set the action to whatever they’d like, for example: signing up for a free trial, registering for a free download, buying a product, etc.

How to calculate CPA

The cost per action formula is calculated by dividing the advertising cost by the number of times the action occurred.

CPA = advertising cost / number of actions

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