How it works
CPA is the average cost of one conversion: the ad spend divided by the number of conversions. A conversion is whatever result you count, such as a sale or a sign-up. Decide what you count before you compare CPAs, because a lead and a purchase are not the same result.
CPA = spend ÷ conversions
spend = CPA × conversions
conversions = spend ÷ CPA
Worked example
You spend $500.00 and get 40 conversions.
- 1CPA$500.00 ÷ 40 = $12.50
What is a good CPA?
Benchmarks vary by industry and platform, so this page gives no number. A CPA is good or bad next to what a conversion earns you, so compare it with your profit per sale.