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How they relate through CTR, which to bid on, and how rising CPC quietly erodes margin.",false,"md",{},"\u002Fglossary\u002Fcpc-cpm",3,[336,337,338,339,340],"acos","true-roas","marginal-roas","ad-waste","target-roas",{"title":342,"description":329},"CPC vs CPM: What They Mean for Marketplace Sellers | DataGlass",{"loc":333},[345,349,353],{"title":346,"url":347,"note":348},"Shopee Ads Thailand — Keyword Ads and CPC auction mechanics","https:\u002F\u002Fads.shopee.co.th\u002Fad-types\u002F10","Shopee documentation of keyword-ad bidding, cost-per-click charging, and budget controls.",{"title":350,"url":351,"note":352},"Bain & Company — e-Conomy SEA 2025","https:\u002F\u002Fwww.bain.com\u002Finsights\u002Fe-conomy-sea-2025\u002F","Retail-media growth across Southeast Asian marketplaces — the demand-side pressure behind the structural rise in auction prices.",{"title":354,"url":355,"note":356},"TikTok for Business — Help Centre, ad metrics","https:\u002F\u002Fads.tiktok.com\u002Fhelp\u002F","Definitions of impression, click, CPC, and CPM as reported in TikTok ad and Seller Centre reporting.","glossary\u002Fcpc-cpm","rbXq9oi_M8uE_qXepU8ICN07ot4x7aGC21eskKW5E70",{"frontmatter":360,"meta":368,"nodes":397},{"title":323,"description":329,"seo":361,"short":327,"category":307,"related":362,"date":328,"sources":363,"cta":367,"readMinutes":334},{"title":342,"description":329},[336,337,338,339,340],[364,365,366],{"title":346,"url":347,"note":348},{"title":350,"url":351,"note":352},{"title":354,"url":355,"note":356},{"title":326,"body":327},{"toc":369},{"title":370,"searchDepth":371,"depth":371,"links":372},"",2,[373,376,379,382,385,388,391,394],{"id":374,"depth":371,"text":375},"formula","Formula",{"id":377,"depth":371,"text":378},"example","Example",{"id":380,"depth":371,"text":381},"how-do-cpc-and-cpm-relate-to-each-other","How do CPC and CPM relate to each other?",{"id":383,"depth":371,"text":384},"why-does-cpc-rise-over-time","Why does CPC rise over time?",{"id":386,"depth":371,"text":387},"should-you-optimize-for-a-lower-cpc","Should you optimize for a lower CPC?",{"id":389,"depth":371,"text":390},"why-it-matters","Why it matters",{"id":392,"depth":371,"text":393},"in-dataglass","In DataGlass",{"id":395,"depth":371,"text":396},"where-this-shows-up","Where this shows up",[398,402,405,414,416,421,423,426,428,431,433,436,438,441,446,448,451,453],[399,400,401],"p",{},"CPC is cost per click — the amount charged each time a shopper clicks your ad. CPM is cost per mille, the amount charged per thousand impressions, whether or not anyone clicks. Marketplace search ads on Shopee, Lazada, and TikTok Shop are predominantly CPC: you pay when the click happens, so the platform absorbs the risk of a poor click-through rate. Discovery, video, and display placements are more often CPM, which moves that risk to the seller. The two are connected by click-through rate, and converting between them is the first step in comparing any two placements honestly.",[403,404,375],"h2",{"id":374},[406,407,409],"pre",{"language":408},"text",[410,411,413],"code",{"class":412},"language-text","CPC = Ad spend \u002F Clicks\nCPM = Ad spend \u002F Impressions × 1,000\n\nCPM = CPC × CTR × 1,000\nCPC = CPM \u002F (CTR × 1,000)\n\nCost per order = CPC \u002F conversion rate",[403,415,378],{"id":377},[406,417,418],{"language":408},[410,419,420],{"class":412},"A Shopee keyword campaign: ฿8,000 spend, 4,000 clicks, 320,000 impressions.\nCPC = 8,000 \u002F 4,000 = ฿2.00\nCTR = 4,000 \u002F 320,000 = 1.25%\nCPM = 2.00 × 0.0125 × 1,000 = ฿25.00\n\nAt a 3% conversion rate, cost per order = 2.00 \u002F 0.03 = ฿66.67.\nOn a ฿499 SKU keeping ฿120 contribution, that order clears — just.",[403,422,381],{"id":380},[399,424,425],{},"Through click-through rate, and only through click-through rate. A CPM of ฿25 at a 1.25% CTR is a CPC of ฿2.00; the same CPM at a 0.5% CTR is a CPC of ฿5.00. This is why a seller cannot compare a CPM placement against a CPC placement without knowing the CTR each achieves, and why improving creative or listing quality lowers effective cost on a CPM buy but lowers volume risk rather than price on a CPC buy. The chain that actually matters runs one step further: CPC divided by conversion rate gives cost per order, and cost per order compared against unit contribution is the only comparison that decides whether the placement should exist.",[403,427,384],{"id":383},[399,429,430],{},"Because marketplace ad inventory is auctioned and the number of sellers bidding for it grows faster than the number of shoppers. Retail-media spend across Southeast Asian marketplaces has been rising steadily, which is a structural bid-up of the same impression pool rather than a temporary market condition. The consequence for a seller is that a campaign left untouched gets less efficient without anyone doing anything wrong: last year’s CPC bought a click that this year’s CPC does not. A break-even ROAS calculated in January will be tight by December unless costs or prices moved to match.",[403,432,387],{"id":386},[399,434,435],{},"Usually not directly. CPC is trivially reducible by bidding on cheap, irrelevant terms, which lowers the price per click and raises the price per order. The quantity worth minimising is cost per acquired order relative to unit contribution, and a higher CPC on a high-intent term frequently produces a lower cost per order than a low CPC on a broad one. CPC is a diagnostic, not an objective: a sudden rise tells you competition or quality changed, and a suspiciously low CPC on a campaign with no orders tells you the traffic is worthless.",[403,437,390],{"id":389},[399,439,440],{},"CPC is the input that converts an ad strategy into a cash cost, and it moves independently of everything a seller controls. A 25% CPC increase on a campaign at 20% contribution can be enough on its own to push it below break-even, with no change in conversion rate, price, or COGS. Sellers who track only ROAS see the symptom months after the cause, because ROAS blends the cost change with everything else that happened.",[442,443,445],"blog-callout",{"title":444},"Common mistake","Treating CPM and CPC placements as directly comparable because both are “ad cost”. They price different things and carry the risk differently. Convert one into the other through CTR first, then convert both into cost per order, and only then compare — otherwise the cheaper-looking number is usually the more expensive buy.",[403,447,393],{"id":392},[399,449,450],{},"DataGlass reads ad-platform cost and delivery metrics alongside reconstructed order economics, so cost per click and cost per order can be read against the unit contribution of the SKUs the campaign actually sold rather than against a campaign-level revenue total.",[403,452,396],{"id":395},[454,455,456,462,468,474,480],"ul",{},[457,458,459],"li",{},[460,461,12],"a",{"href":13},[457,463,464],{},[460,465,467],{"href":466},"\u002Fph\u002Fblog\u002Fincrease-shopee-sales","Increase Shopee sales",[457,469,470],{},[460,471,473],{"href":472},"\u002Fph\u002Fblog\u002Fctr-target-roas-cpm-vs-cpc","CTR and Target ROAS under CPM vs CPC: what changes when marketplaces bill for impressions",[457,475,476],{},[460,477,479],{"href":478},"\u002Fph\u002Fblog\u002Fhow-to-reduce-shopee-ad-waste","How to reduce Shopee ad waste without killing sales",[457,481,482],{},[460,483,485],{"href":484},"\u002Fph\u002Fblog\u002Fshopee-ads-benchmarks-cpc-cpm","Shopee ad benchmarks 2026: what a click and a thousand impressions actually cost",[487,488,489,490,491,492,493,494],{"id":374,"depth":371,"text":375},{"id":377,"depth":371,"text":378},{"id":380,"depth":371,"text":381},{"id":383,"depth":371,"text":384},{"id":386,"depth":371,"text":387},{"id":389,"depth":371,"text":390},{"id":392,"depth":371,"text":393},{"id":395,"depth":371,"text":396},{"id":496,"categories":497,"domain":504,"extension":5,"fallback":505,"home":508,"industry":517,"meta":522,"pricing":523,"stem":535,"__hash__":536},"og_en\u002Fen\u002Fog.yml",[498,499,500,501,502,503],{"slug":302,"label":303},{"slug":305,"label":27},{"slug":307,"label":308},{"slug":310,"label":311},{"slug":316,"label":317},{"slug":319,"label":48},"dataglasslabs.com",{"title":506,"description":507},"DataGlass","The decision engine for Shopee, Lazada and TikTok Shop sellers.",{"chart":509,"metrics":510},"Net profit, last 30 days",[511,514],{"label":512,"value":513},"Net profit","฿1.24M",{"label":515,"value":516},"Profit ROAS","3.4x",{"axis":518,"point":519},"Ad spend",{"label":520,"value":521},"Next baht still pays","+฿0.42",{},{"plans":524},[525,529,532],{"name":526,"price":527,"period":528},"Free","฿0","\u002Fmonth",{"name":530,"price":531,"period":528},"Standard","฿1,499",{"name":533,"price":534,"period":528},"Pro","฿2,499","en\u002Fog","63L8y4Lv8I2q3NvR26fMXU1sE9Wd7TZaz2l_tV6oZuo",[],[539,543,547,551,555],{"path":540,"title":541,"short":542,"draft":330},"\u002Fglossary\u002Facos","ACOS","Advertising Cost of Sales — ad spend as a percentage of attributed revenue. 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