First, let me explain CPM, which generally refers to the cost of 1000 times of your advertising display. CPM doesn’t mean everything. We don’t just focus on CPM data when we advertise. Advertising is not for low cost, but for good results.CPM is one of the indicators of the data you need to see, but too high CPM may leads to badly results . So what causes the CPM to be too high?
For example, in Europe and the United States, the CPM itself will be higher then other countries, and the CPM of slightly backward countries such as South America and Southeast Asia will be lower.
Assuming a new set of materials is uploaded to Facebook, CPM will be relatively low in theory. Just like you brush short videos, if you have a fresh material displayed in front of you, you will feel very novel and creative. But when many people use same subjects, as like as to find difference between peas. Will you be tired of looking at them?
Assuming that we sell houses and the advertising audience is rich people, and all advertisers are blocking the audience flow of this part, CPM will become higher. But if you sell a house and you put the advertising audience on some odd jobs, the CPM will be relatively low.
CPM is related to market competition. After all, Facebook has millions of advertisers. Everyone is competing for advertising , and advertising expenses naturally rise. Of course, the historical accumulated data of the account, the number of advertising interactions and the delivery time will all affect CPM.Therefore, even if the CPM is high, but the click and conversion effects are good, you can continue to put the advertisement.
So how to solve the problem of too high CPM?
Although we can still refine and locate the audience to a certain extent, we should reasonably subdivide the audience according to the advertising group.Display advertisements to the audience according to different conditions such as age, gender, interest and location.
If the audience positioning is too broad, the click through rate and conversion rate will not be directly proportional to the coverage. In addition, if the audience positioning is not accurate, your advertising competition and bid will be higher than those who targeting the accurate audience. You know, less the audience, higher the competition; Higher the competition, higher the CPM.
2.Location of advertising display
If your audience is optimized or has higher intention (e.g. marketing audience), if automatic display location is enabled, the indicators of advertising series can be optimized, at least in the field of CPM expenses.
3.Improve advertising quality and user experience
It is suggested that at the beginning of advertising, you can try interactive advertising, test with a variety of materials, screen out the advertising group with better data, and then put the transformed advertising.
4.Optimize advertising materials
Good material can catch the user’s eye in the massive feed stream. Therefore, it is recommended that advertisers split different advertising groups and test advertising materials more when the cost can’t hold for many times, so as to screen advertising materials with high click through rate and low CPM.