What is CPA?
CPA, or cost per acquisition, is the average amount you pay for each conversion. To find it, divide your total ad cost by the number of conversions. A conversion can be a sale, a signup, or another action you define.
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How to calculate CPA
Divide your total ad cost by the number of conversions it produced.
Why CPA matters
CPA ties your ad cost to a result you care about. It shows whether you're paying a sensible price for customers or leads, and it's a common target for automated bidding.
Because the definition of a conversion is up to you, CPA can describe anything from a purchase to a booked call. Be clear which action you count.
Judging your CPA
A low CPA isn't automatically good. Compare it with what a customer is worth to you, such as the profit on a first order or over their lifetime.
If a conversion is a lead, remember that not every lead becomes a customer. A cheap lead that never buys can cost more than an expensive one that does.
CPA, cost per lead, and cost per sale
CPA is the umbrella term. Cost per lead and cost per sale are CPA applied to a specific conversion, so state which one you mean when you compare numbers.
Disclaimer
This calculator is for informational purposes only, and we don't guarantee the accuracy of its results. You're responsible for verifying any results before relying on them. See our terms of use.
Common questions
What does CPA stand for?
CPA stands for cost per acquisition. You may also see it written as cost per action, which means the same calculation applied to any chosen action.
How do you calculate CPA?
Divide your total ad cost by your total conversions. For example, $5,000 spent for 100 conversions is a $50 CPA.
What is a good CPA?
It depends on your margins and what a customer is worth. A good CPA leaves you with profit after the cost of acquiring the customer, so work it out from your own numbers.
What is the difference between CPA and CPC?
CPC is the price of one click, and CPA is the price of one conversion. Raising your conversion rate lowers CPA even when CPC stays the same.
How can I lower my CPA?
Improve the landing page and offer so more visitors convert, tighten targeting, and add negative keywords. Better conversion tracking also helps automated bidding aim at the right outcomes.
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