How do you calculate CPA?

CPA = ad spend ÷ conversions. For example: ₹40,000 of spend that brings in 160 purchases is a CPA of ₹250.

What Is CPA? Definition, Formula and Example

What is CPA (cost per acquisition)?

CPA is the average ad spend needed to get one conversion, usually a purchase. It is ad spend divided by the number of conversions.

FormulaCPA = ad spend ÷ conversions

Platforms report CPA using their own attribution, so the same purchase can lower CPA in two platforms at once. Store-verified purchases give the CPA you can bank on.

Compare CPA with what an order is worth to you after variable costs; a ‘good’ CPA depends entirely on your margin and order value.

Example

₹40,000 of spend that brings in 160 purchases is a CPA of ₹250.

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