Cost per Completed View (CPCV) is a metric used in digital advertising to measure the cost incurred by advertisers for each completed view of a video ad. It calculates the average cost of delivering the entire video ad to a viewer, including instances where the viewer watches the ad until completion.
Definition of Completed View
A completed view refers to a viewer watching a video ad in its entirety without skipping or prematurely stopping the playback. The specific criteria for a completed view can vary depending on the advertising platform, but it typically involves the viewer watching a predetermined percentage (e.g., 100%) or duration (e.g., 30 seconds) of the video ad.
Calculation of CPCV
CPCV is calculated by dividing the total cost of running video ad campaigns by the number of completed views. The formula for calculating CPCV is as follows: CPCV = Total Cost / Number of Completed Views
Importance of CPCV
CPCV is a valuable metric for advertisers in video advertising campaigns as it provides insights into the efficiency and effectiveness of their video ads. By understanding the cost incurred per completed view, advertisers can assess the return on investment (ROI) and optimize their campaigns accordingly.
Benefits of CPCV
- Performance Evaluation: CPCV allows advertisers to evaluate the performance of their video ads by measuring the cost-effectiveness of delivering complete views to the target audience.
b. Comparability: CPCV enables advertisers to compare the performance of different video ads or campaigns based on the cost per completed view, helping them identify high-performing and cost-efficient ads.
c. Optimization Opportunities: By analyzing CPCV data, advertisers can identify areas for improvement in their video ads, such as optimizing content, creative elements, targeting, or placement, to increase completed views while managing costs.
d. Budget Planning: Understanding the CPCV helps advertisers plan and allocate their advertising budgets more effectively, ensuring optimal utilization of resources for maximum impact.
Considerations
- Ad Length: The length of the video ad can impact the CPCV. Longer ads may have higher costs per completed view compared to shorter ads due to potential viewer drop-off or increased competition.
b. Viewability: Ensuring high viewability of video ads is crucial for accurate CPCV measurement. Advertisers should consider factors like ad placement, ad format, and viewability measurement standards to obtain reliable CPCV data.
c. Ad Engagement: CPCV focuses on completed views but may not account for viewer engagement beyond the completion. Advertisers may need to analyze additional metrics, such as click-through rates (CTRs) or conversion rates, for a more comprehensive assessment of ad performance.
CPCV provides advertisers with a valuable metric to evaluate the cost efficiency of their video ad campaigns. By monitoring and optimizing CPCV, advertisers can enhance their video advertising strategies and achieve their campaign objectives while maximizing the value of their advertising budget.
