OCPM, or Optimized Cost Per Mille, is a bidding strategy used in online advertising. It is a variation of CPM (Cost Per Mille) that incorporates machine learning algorithms to optimize ad delivery and maximize the likelihood of achieving specific campaign objectives.


While CPM charges advertisers for every thousand impressions, OCPM takes optimization a step further. Instead of just paying for impressions, OCPM uses algorithms to analyze user behavior and optimize ad delivery to individuals more likely to take a desired action, such as clicks, conversions, or engagements.

How OCPM works

1. Objective setting: Advertisers define specific campaign objectives, such as clicks, conversions, or engagement metrics.
2. Algorithmic optimization: OCPM algorithms analyze user behavior and adjust ad delivery to individuals who are more likely to fulfill the defined objectives.
3. Real-time adjustments: OCPM continuously adapts to changing user behavior and market conditions, making real-time adjustments to maximize campaign performance.

Benefits of OCPM

1. Optimized performance: OCPM aims to deliver ads to users who are more likely to engage, resulting in better overall campaign performance.
2. Efficient spending: By focusing on users likely to take the desired action, OCPM can lead to more efficient spending compared to traditional CPM.
3. Real-time adaptability: OCPM adapts to changes in user behavior and market dynamics, ensuring that campaigns remain effective over time.

When to use OCPM

OCPM is particularly effective under the following conditions.
– Specific objectives: You have clear campaign objectives, such as clicks, conversions, or engagements.
– Large audience: Your target audience is large enough to provide sufficient data for algorithmic optimization.
– Dynamic campaigns: Your campaign requires real-time adjustments to maximize performance.
In conclusion, OCPM offers advertisers a more sophisticated approach to campaign optimization, leveraging machine learning algorithms to enhance the efficiency and effectiveness of online advertising efforts.

Related topics: CPM, ECPMARPU, Content Seeding,  UBMax


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