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One of the most misunderstood metrics that is bandied around by domain owners is the term Earnings Per Click (EPC). Everyone assumes they understand what it is but very few people have come to grips with how it’s calculated. In this short series of articles, I will pull apart EPC and show how it’s calculated so you can be in the know.
I was inspired to dive into this topic largely because I read a thread on a forum recently and it was clear that there were a lot of misconceptions about EPC that needed to be cleaned up.
I need to apologise for some of the maths in this series. The domain monetisation industry lives and dies by numbers and there's just no getting away from them. I should also say that domain parking is very much alive and well. The main reason for this is advertisers want our extremely valuable traffic.
So let's get too it! We need to define Earnings Per Click in terms of a mathematical formula….it’s initially not that complicated so don’t panic.
EPC = Revenue / No. of Clicks
This seems pretty obvious but we need to dig a little further into the definitions of both Revenue and Clicks.
When you look at your stats for a domain at a parking company you are seeing the AVERAGE revenue the domain makes across a period of time. The shortest period of time that can be viewed is one day but it’s still an average.
Read More >
I was inspired to dive into this topic largely because I read a thread on a forum recently and it was clear that there were a lot of misconceptions about EPC that needed to be cleaned up.
I need to apologise for some of the maths in this series. The domain monetisation industry lives and dies by numbers and there's just no getting away from them. I should also say that domain parking is very much alive and well. The main reason for this is advertisers want our extremely valuable traffic.
So let's get too it! We need to define Earnings Per Click in terms of a mathematical formula….it’s initially not that complicated so don’t panic.
EPC = Revenue / No. of Clicks
This seems pretty obvious but we need to dig a little further into the definitions of both Revenue and Clicks.
When you look at your stats for a domain at a parking company you are seeing the AVERAGE revenue the domain makes across a period of time. The shortest period of time that can be viewed is one day but it’s still an average.
Read More >
