To be sure that the cost for selling goods or services are repaid it is necessary to calculate the CPO.
CPO (cost per order) can be translated as «cost per order» and indicates how much the advertiser has paid for selling one unit of the product. In contextual advertising, this indicator of efficiency is calculated by the formula:
C1 — the first conversion level: the visitor of your site is converted into a lead (adds goods to a basket, orders the calculation of the cost of services).
C2 — the level of the second conversion: lead is converted into a client (pays for goods, makes a purchase).
CPC — is the cost of purchasing goods. This indicator is responsible for the performance of your advertising. To calculate it, you need to divide the advertising campaign budget by the number of orders/purchases of the offer that you are advertising.