How do cost-per-click (CPC) ads compete with cost-per-thousand impressions (CPM) ads on the Google Display Network?
- CPM bids are effectively converted to CPC bids
- Ads using CPC bids are not allowed to compete on the Display Network
- CPC and CPM bids only compete against bids of the same type
- CPC bids are effectively converted to CPM bids
The correct answer is: CPM bids are effectively converted to CPC bids
Read More: https://support.google.com/google-ads/answer/2630842?hl=en
Explanation:
On the google display network Cost per click (CPC) ads compete with cost per thousand impressions (CPM) by effectively converting to CPM bids.
Sometimes advertisers just want people to see their ad and don’t want any clicks. When this is the case then vCPM is a good way to show your ad on the Google display network.
You can set vCPM bid for your ads to just appear in a viewable position on the google display network.
You can any amount for your viewable ads whether your ad is clicked or not.
A bid is a maximum amount you will spend for 1000 viewable impressions.
Your max viewable CPM bid may win different levels of impressions at different prices than previous max CPM bids.
The actual amount you will be charged is no more than what’s needed to rank higher than the advertiser immediately below you.
Your ad will have more chance to appear if you have a max viewable CPM.
The text ads which have vCPM have more edge, if they win a placement, they are always given the whole ad space.