Ads glossary
CPA (cost per acquisition)
What you pay on average for one result, such as a purchase or a lead.
CPA is total spend divided by the number of conversions you count as results. Platforms also call it cost per result or cost per purchase. On Google you can bid with a Target CPA, and the system aims for that average over time.
Example: 2,000 SAR of spend and 40 purchases give a CPA of 50 SAR. Whether 50 SAR is good depends on your margin: if an order earns you 80 SAR before ad costs, each purchase still makes a profit.
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