What is CPS?
CPS, short for Cost-Per-Sale, is an online advertising model to drive traffic to a website in which an advertiser pays a publisher only when the ad is clicked by a real user and a sale was created, calculated by dividing the total cost of the advertising campaign by the number of sales generated.
CPS, or cost per sale, is a performance marketing advertising model in which marketers pay media sources a pre-defined amount based on every sales generated from the ad campaign.
How do I Calculate CPS?
CPS is calculated by taking the total cost of a specific advertising campaign dividing by the number of sales generated from this campaign. For example, a pay per sale ad campaign that generated 50 sales and total cost was $1,000:
$1,000 divided by 50 sales = $20 CPS (Cost-Per-Sales)