Re: Very high CPM, CPC

Why is my ad campaign's CPM so high and how can I lower it?

8 0 2

Hi, ive been running ads, and for some reason, when I run a conversion campaign the CPM jumps to around 30-40$ , which is way too high for me to make a profit on. My CTR isnt terrible (around 3-5%) but because of the high CPM there is no way ill break even. Is there any way to lower the CPM?  Thanks

Replies 6 (6)

242 6 23

Hello bank there is 2 way 1 just to change the targeting of ads.  2 simple mix your traffic and target another country to control your cpm. 


Shopify Partner
1018 44 274

Conversion campaigns nearly always have a higher CPM. There's a reason for this. The audiences you're going after with a conversion campaign are valuable to businesses. Even if an audience has a CPM of $40, it can be far more profitable than one at $2.

There are several things to consider. Firstly, is this TOFU, MOFU, or BOFU? Check your unique CTR rather than CTR as that matters more. If it is at 3% for a TOFU/cold acquisition campaign, that is hot.

What is your average order value? What can you possibly do to increase it?

Test new audiences. These will have differing CPMs. Right now interests are working hot compared to pixel lookalikes off events like purchases and addtocarts. You can use your Audience Insights report in Facebook business manager to see strong affinities with your brand to target.

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191 4 23

Hi @BenK ,

You might be targeting some expensive countries. CPM/CPC always depends on the price which are selling at and country you are advertising in.
What we suggest to our clients at Addyz  is to price there products basis on CPM CPC you are getting. Says, if you are getting high CPC , try to increase your product price upto a margin that the customers would be comfortable paying. If your increased sales price, comes down to a number which you know in no ways would work , think about not to advertise this product and find different product market fit that would work.
Other things to try out is to use only re-targeting campaigns. They are generally cheaper and are best to start with.
You can use our app to create different campaigns with low budget and find out which one is working best for you. App will really make your life easy if you want to advertise on facebook and instagram with campaigns and automation designed to maximise your profit margin.
If you have any doubts, just drop a message and i would be happy to help


21 0 3

I'd opt to go with Google Ads over Facebook Ads and just do some good keyword research into how people would search for you in Google. You can use Single Keyword Ad Groups (SKAGs) to bypass the Google algorithm and make sure your ad appears only on the search terms you want it to. Try to use some keyword research tools like MOZ out there to find keywords, and then you can use a tool like Aori to actually build the ads in a SKAG format, most other tools just give the traditional Google approach where you have multiple keywords per ad group, Aori builds ads with one keyword per ad group. 

313 7 44

There are many possible reasons for high CPC and CPM, depending upon the platform and product or service you are promoting. 

Below mentioned are some of the possible reasons - 

  • Poor Selection of Ad Copy and Media.
  • Poor Selection of Audience
  • Poor Selection of Ad Objective

These were some of the reasons that can be the possible reasons for having high CPC and CPM.

If you want to hire a digital marketing agency, that can help you with low CPC and CPM, then you can contact Propel Guru; full-fledged digital marketing and sales agency.


313 7 44

Here are the ways that can help you to lower the CPM:

  • Target the right audience
  • Control the budget you invest as your ad spend
  • Broaden your audience
  • A/B test your ads
  • Create a lookalike audience
  • Add engaging features to your post
  • Improve your ad’s relevance score
  • Add a CTA
  • Change your bid type
  • Select the right creative format for your ad
  • Work on your ad time and frequency