Case Study CPM and CTR. What do these metrics tell us?

[GhostAgency]

How I used them as indicators of quality.


Let’s start with the basics


CPM – is the cost per 1,000 impressions.
To see the number of impressions in Facebook, select the Impressions metric.


CTR – is the ratio of clicks to impressions.
In Facebook, it's better to focus on CTR (Unique Click) or CTR (Link Clicks).


If you choose “All Clicks,” the statistics might be irrelevant – it includes any interaction:

• Accidental taps;
• Swipes;
• Muting the video;
• Any interaction with your ad.

So, the user may not have even seen what’s in the ad, but their action will still count as a click.

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Why is CPM sometimes high or low?


High CPM:

• Expensive audience (Tier 1);
• High-quality audience;
• Crowded auction (e.g., during holidays);
• Burnt-out or overused creatives;
• “Testing” phase of a campaign.

Low CPM:

• Cheap traffic (Tier 3);
• Low-quality (“junk”) audience;
• High engagement (likes, comments, views, etc.);
• Empty auction;
• Unique creative or approach.

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Why is CTR sometimes high or low?
There’s not much point in over-explaining here – it mostly reflects the audience's interest in your ad.

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Now for the most interesting part of the post =)


When working with different GEOs, it’s important