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Facebook Ads: What’s the difference between CPC VS CPM?

So your ready to start your first Facebook Ad Campaign!! YAY!! But you have no idea which price model to go with. What do these bid prices mean? What’s CPC and CPM? Don’t freak out! I’m here to help you through this and get you on your way!

First things first when it comes to creating a Facebook Ad, and that’s figuring out how which price model you are going to go with. Are you thinking about paying for impressions? Or pay by the click? Or do you have no idea at all? This is an important first step, in order to help calculate the return on investment of your ads. Lets discuss some differences between the two models.


CPC is simply an acronym for Cost per Click, which is exactly what it means, the cost for every time someone clicks on your ad. For this model to work, you need to set the maximum amount of money you want to spend per click. This is called a bid, because it’s not necessarily going to be that much every time, it’s usually less but since the price for certain keywords rises and falls daily, it’s best to let Facebook know the maximum amount that you’re willing to spend onclicks. For ROI purposes, CPC usually works the best because the ads will be shown regardless if they are clicked or not. You will only be charged once someone actually clicks on it and it converts.


CPM is an acronym for Cost per Mil or better known as Cost per 1000 impressions. An impression is just a representation of every time your ad shows up on someone’s screen. So this model works by charging you a fee for every time your ad is displayed on someone’s screen. This model is a little harder to track ROI and is mostly used by advertisers concerned with where their ads show up on the page and how they look. Usually, these types of ads are more focused for brand awareness rather then conversions. Some Ads on the CPM price model will fade after 4 to 5 days, while others might take two weeks. If your going to buy impressions instead of clicks its better to monitor them closely in order to make sure that you are really getting the return on investment you were looking for.


Now that you’ve read “Facebook Ads: What’s the difference between CPC VS CPM?,” You should have a better understanding of what the difference is between CPC vs CPM. Now go and  create better campaigns to fit your advertising budget and needs! Both models are effective in getting your ads out to the masses, it really just depends on personal preference as well as how much focus you are trying to put on brand awareness and conversions. I hope this has helped you to differentiate between the two and I look forward to your feedback on which models worked best for you.

If you have any questions, please don’t hesitate to call or email us. If you are still completely lost on the whole Facebook Ads concept, we can help you with your campaigns. Just give us a call at 1-877-747-3263 or fill out the form on the right and we will have a qualified specialist contact you in order to get you started with our Facebook Ads program!

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3 Responses to “Facebook Ads: What’s the difference between CPC VS CPM?”

  1. I am a financial planner looking to offer ProBono Financial Planning in the African American community in Los Angeles. I’m still confused, which is better CPC or CPM. I put in a $5.00/ day budget. This campaign will last until the end of the year. What are your thoughts.

    • I usually suggest going for the CPC model. That way you make sure you get actual clicks out of your impressions. And thats the first step you need in getting a return on investment.

      You might not want to use the same ad for the rest of the year, as the ad will loose its effect usually after a couple of days or a week. Keep changing out your ad, after you see the effect of it drop and keep improving to make sure you get the most out of it!

  2. Now that you have explained the difference between CPC and CPM, I would love to know what Boosting a post drives? Also If I set a daily amount to Boost the post how would I get people to visit our website?

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