Question

American Tourister has launched a new backpack and have started advertising it through Instagram. 1000 people clicked on the ad out of which 50 people bought the backpack at Rs. 2000/-. Total Advertising cost is Rs. 1000/- 1. What is the conversation rate. 2. What is the cost per acquisition. 3. Total Revenue Generated. 4. What is the Cost Per Click. *​

Answer 1

Please write your options please

Answer 2

TOTAL ADVERTISING COST SOLUTION

Explanation:

The total 1000 people clicked on the ads out of which 50 people bought the backpack at Rs. 2000/-. so the above questions solutions are as followings:

1. The conversation rate is 1000 clicks that divide by 50 that people conversation as a customer so the answer is 20% .

2. The cost per acquisition is find the total PPC campaign cost amount is 1000 is divide by number of conversation 50 so the answer is 20 Rupee.

3. Total Revenue Generated is find by the total cost we are spending and the total amount earn by the customer which is converted so the amount spend 1000 and the amount 2000 which is brought by customer so the answer is 1000 rupee.

4.the cost per click find by the total cost which is spend and the total click by the user or customer so the 1000 rupee spend and 1000 click so the answer is 1 rupee per click rate.

All the above statement shows the solutions of each questions.