{"id":152,"date":"2025-12-22T11:26:51","date_gmt":"2025-12-22T11:26:51","guid":{"rendered":"https:\/\/new.tradehouse.media\/resources\/insights\/?p=152"},"modified":"2026-03-26T19:12:37","modified_gmt":"2026-03-26T19:12:37","slug":"the-case-against-ecpm-as-a-kpi","status":"publish","type":"post","link":"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/","title":{"rendered":"The Case Against eCPM as a KPI"},"content":{"rendered":"\n<p>When reviewing metrics to ascertain performance as a publisher, there are several options. One of the most common is to look at <a href=\"https:\/\/tradehouse.media\/resources\/insights\/what-is-ecpm\/\">eCPM<\/a>. However, eCPM is a flawed metric from a publisher performance perspective when comparing how one platform performs against another. In this article, we attempt to explain why, using real-world examples.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">When a publisher should ignore eCPM as a KPI<\/h2>\n\n\n\n<p>Consider the following two scenarios:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><\/td><td><strong>Example A<\/strong><\/td><td><strong><strong>Example<\/strong> B<\/strong><\/td><\/tr><tr><td>Traffic on Page<\/td><td>1,000,000<\/td><td>1,000,000<\/td><\/tr><tr><td>Ads on Page<\/td><td>3<\/td><td>2<\/td><\/tr><tr><td>Ad Script Load<\/td><td>3,000,000<\/td><td>2,000,000<\/td><\/tr><tr><td>Average Ad Refresh<\/td><td>()<\/td><td>3<\/td><\/tr><tr><td>Impressions Recorded by Platform<\/td><td>2,863,620<\/td><td>6,000,000<\/td><\/tr><tr><td>eCPM<\/td><td>$ 1.75<\/td><td>$ 1.33<\/td><\/tr><tr><td>Traffic RPM<\/td><td>$ 5.00<\/td><td>$ 8.00<\/td><\/tr><tr><td><strong>REVENUE<\/strong><\/td><td><strong>$ 5,000.00<\/strong><\/td><td><strong>$ 8,000.00<\/strong><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>In these examples, we are A\/B testing two monetisation solutions on a page visited one million times per month.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Solution A has 3 ad slots served on the page, which results in 3M ad script loads. Solution B has 2 ads per page, which results in 2M ad script loads.<\/li>\n\n\n\n<li>Solution A does not refresh the ads. It also filters out what it deems <em>invalid ad calls<\/em> from its reporting count, giving us a 2.8M ad calls\/pageviews\/ad requests\/impressions (the naming of these metrics differ wildly from platform to platform).<\/li>\n\n\n\n<li>Solution B refreshes ads 3 times on average every time the page loads and\u2014unlike solution A, it reports all ad calls, valid or invalid, giving us a 6M ad requests number.<\/li>\n<\/ul>\n\n\n\n<p>In these examples, solution A generated $5,000 at the end of the month and its eCPM is $1.75. Solution B generated $8,000 at the end of the month and its eCPM is $1.33.<\/p>\n\n\n\n<p>If we were to refer to eCPMs at the KPI, which are based purely on platform count, solution A is clearly performing better. However solution B has generated 40% more revenue out of the same traffic\u2014an ultimately more successful result. Knowing this, is eCPM really the metric we should be looking at?<\/p>\n\n\n\n<p>At the end of the day, solution B generated more revenue for each visit. It did so by using less screen real estate (2 ads vs. 3).<\/p>\n\n\n\n<p>There are really two things we can trust to be accurate: On one hand, we have the number of users<strong> <\/strong>interacting with the site. On the other, the revenue generated by advertising. Whatever sits in the middle means very little in such a comparison.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">SO I SHOULD NEVER USE ECPM?<\/h2>\n\n\n\n<p>Is that to say eCPM should never be used as a metric? Absolutely not. eCPM would be relevant if, for example, you were comparing two ad units belonging to the same setup. Or performance of a campaign you were delivering on your inventory.<\/p>\n\n\n\n<p>However, if comparing performance between one advertising vendor or platform against another, there are too many variables which affect the output to make eCPM a meaningful metric for comparison.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>When reviewing metrics to ascertain performance as a publisher, there are several options. One of the most common is to look at eCPM. However, eCPM is a flawed metric from a publisher performance perspective when comparing how one platform performs against another. In this article, we attempt to explain why, using real-world examples. When a [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":153,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[27,28],"class_list":["post-152","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-opinion","tag-ecpm","tag-kpi"],"blocksy_meta":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.6 (Yoast SEO v26.7) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Case Against eCPM as a KPI - Trade House Media<\/title>\n<meta name=\"description\" content=\"Optimising for eCPM can actively damage your yield. Here\u2019s why it\u2019s the wrong publisher KPI and what you should be measuring instead.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Case Against eCPM as a KPI\" \/>\n<meta property=\"og:description\" content=\"Optimising for eCPM can actively damage your yield. Here\u2019s why it\u2019s the wrong publisher KPI and what you should be measuring instead.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/\" \/>\n<meta property=\"og:site_name\" content=\"Trade House Media\" \/>\n<meta property=\"article:published_time\" content=\"2025-12-22T11:26:51+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-03-26T19:12:37+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/tradehouse.media\/resources\/insights\/wp-content\/uploads\/2025\/12\/ecpm-is-an-incomplete-metric.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"820\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Andrew Morgan\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Andrew Morgan\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/\"},\"author\":{\"name\":\"Andrew Morgan\",\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/#\/schema\/person\/2e167228a509eee8012ffe86be4b1756\"},\"headline\":\"The Case Against eCPM as a KPI\",\"datePublished\":\"2025-12-22T11:26:51+00:00\",\"dateModified\":\"2026-03-26T19:12:37+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/\"},\"wordCount\":448,\"publisher\":{\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/#organization\"},\"image\":{\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/tradehouse.media\/resources\/insights\/wp-content\/uploads\/2025\/12\/ecpm-is-an-incomplete-metric.jpg\",\"keywords\":[\"ecpm\",\"kpi\"],\"articleSection\":[\"Opinion\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/\",\"url\":\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/\",\"name\":\"The Case Against eCPM as a KPI - Trade House Media\",\"isPartOf\":{\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/tradehouse.media\/resources\/insights\/the-case-against-ecpm-as-a-kpi\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/tradehouse.media\/resources\/insights\/wp-content\/uploads\/2025\/12\/ecpm-is-an-incomplete-metric.jpg\",\"datePublished\":\"2025-12-22T11:26:51+00:00\",\"dateModified\":\"2026-03-26T19:12:37+00:00\",\"description\":\"Optimising for eCPM can actively damage your yield. 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