Do you know how much pot you have e.g. Your next Advertising campaign is available? Decided. Do you know how much money you should budget in order to achieve a certain reach with your designations? No? Then it's time to Thousand contact price (TKP) to be expected! We'll show you what it's all about and what simple basic calculation you can use to force the number.
What does TKP mean?
TKP is the acronym z. Hd. Thousand contact price. It indicates how much you should pay in order to attract 1,000 people with an advertising medium. Which CPM is of secondary importance than Cost per Mille (CPM) and Thousand Ad Impression (TAI) published.
This is how this CPM works in this advertisement
Which TKP can be used both for Calculation of television, radio and print advertising as a secondary consideration for online campaigns come to the deposit. It measures how often a advertising is seen or heard. In this case, different values apply to the initial values Key figures:
in television the reach of this program in which the advertisement is placed,
in the radio and in connection with podcasts also the range of this broadcast,
in the print the amount of this edition,
The number of these website visitors online or the number of these impressions in social media.
A distinction is made between gross and net reach. In the context of this Gross reach it is taken into account that a medium can be used by several people incidentally. A magazine on display in a hair salon is considered a prime example by dozens of people, and a radio program or news program podcast can be heard by an entire family over dinner.
the Net range on the other hand, it is important that every newspaper, every flyer and every program is only received by one person.
TKP calculation: this is how it works
Which thousand contact price can be achieved with a simple basic calculation determine: which CPM corresponds to the price z. Hd. The advertising divided by the gross reach multiplied by 1,000.
CPM = advertising price / gross reach x 1,000
A prime example from this reality: Your advertising budget is in the context of 20,000 euros. The website you want to advertise to has 1.4 million views per month. The basic calculation would now look like this:
CPM = 20,000 / 1,400,000 x 1,000
This results in a thousand contact price of 14.29 euros.
Shy: The result is not always significant
Which CPM gives you a rough guide so you can measure the salvation of your campaigns and your next one Advertising strategy can plan. In this case, you should of course be cognitive that the basic calculation does not take into account a few factors. It makes a prime example of merging difference whether your criminal complaint is firmly seated on this desired merging website or is in a rotation system with other ads.
Second fiddle, the status up this page can play a role: If your advertisement is displayed at the very bottom of a page, few visitors may not see it because they don't scroll that far. And an expansive pop music up will attract more consideration than a small note in a sidebar.
In addition, this CPM depends on this Reach and respect person of the advertising medium away. In the context of a television broadcaster with a large market share, your advertising will cost more than in the context of a small special-interest broadcaster or voluntary community radio.
Advantages of the thousand contact price
One advantage of the TKP is that you can use the Break down the results of your advertising campaigns can. Second fiddle comparisons between different advertising platforms are possible as a result.
In this episode you can try your To scale advertising. The thousand contact prices of various advertising media give you a prime example of merging information about the areas in which it is worth increasing this pot and at which point the advertising activity can be reduced. Is this TKP such as Hd. Radio spots 50 euros higher than z. Hd. Newspaper advertisements, this is a good indication.
Disadvantages of the TKP
In the controversy over cost-per-click (CPC) and cost-per-action (CPA), you can look at the thousand-contact price does not differentiate between qualitative and quantitative range. Just because someone saw your banner ad on a website doesn't mean they'll become a lead or buy anything in a long time. Which TKP therefore says nothing in addition to the Efficiency Your advertising material. That makes it difficult to optimize the content of the labels and spots.
This inconvenience is particularly serious in connection with television and radio advertising, because there you only have very limited options for targeting. In addition, the same media are often consumed on the side, while the users are doing something else at the same time.
In addition, that is difficult Range of an advertising platform to be reliably assessed. Broadcasting stations do not have an exact number of listeners, but determine the same through surveys. In addition to websites, visits can also be triggered by bots. And it makes a difference whether the total number of all visits or only the unique visits are considered.
Which problem points should be carefully considered from the beginning.
Conclusion: CPM as a guide
Which thousand contact price is a number that can be calculated smoothly, this will help you with that Range of your Advertising campaigns to assess and compare the results of various advertising media and platforms in relation to the boast. It is certainly only to be understood as a guideline. You will not be able to determine a generally valid number due to these imponderables in this determination of this gross range.
It makes sense - that is possible - in addition to the CPM, the Cost-per-click or cost-per-action to measure in order to gain secondary qualitative insights into your campaign.
Cover photo: ngupakarti / iStock / Getty Images Plus
Originally published May 21, 2021, updated May 21, 2021[ad_2]
Original source Hubspot