Glossary / Guides

Ad metrics calculator: CTR, CPC, CPM, CPA, conversion rate and ROAS

Ad reports are full of abbreviations. Most come from four numbers you already have: how much you spent, how many times the ad was shown, how many people clicked, and how many took the action you wanted. Enter them below and the calculator works out the rest.

Nothing leaves your browser. The starting values are examples.

The formulas, in plain terms

MetricFormulaWhat it tells you
Click-through rate (CTR)clicks / impressionsHow often people who saw the ad chose to click
Cost per click (CPC)spend / clicksThe average price of a visit
Cost per thousand (CPM)spend / impressions x 1,000The price of being shown 1,000 times
Conversion rateconversions / clicksHow many visits turn into the action you want
Cost per conversion (CPA)spend / conversionsWhat each lead or sale costs
Return on ad spend (ROAS)revenue / spendRevenue for each dollar of ad spend

How to read them together

No single metric tells the whole story. A high click-through rate with a low conversion rate often means the ad promises something the page does not deliver. A low cost per click with a high cost per conversion means you are paying for visits that do not act. Return on ad spend looks at revenue, not profit, so also compare it with your margin before deciding it is good.

Browse the glossary for any term you do not recognize, or read how an ad auction works to see why costs move.
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