What does Cost Per View mean?
CPV means the price that gets paid when a video ad is played. In general the video doesn’t have to be watched the whole way through to cause a pay out – just started. In some video advertising models, this price is also paid when someone clicks on a video ad.
For example if you pay $0.25 CPV and book 1,000 views on a site, then you would pay 25 cents every time your video was played, and $250 in total.
CPV (meaning Cost Per View) is where you pay to have video adverts played. The term Cost Per View has been co-opted by video advertising from its previously dodgy origins.
It used to be that Cost Per View referred to Adware – software that would show you ads on your computer (not on the internet). Sometimes this was legitimate and happened during the loading or installation screens of software. Often however the Adware was downloaded without the user realising, which would lead to them being forced to view ads at random times. This practise is thankfully becoming increasingly rare.
CPV now refers to video advertising, and in most cases just means the amount you pay to get someone to watch your video. In some cases it can refer to videos within standard ad units, but it mostly means VOD.
The equation to work out cost per view couldn’t be simpler:
Click to enlarge
CPV = Cost / Views
Average CPV Rate
On YouTube the average Cost Per View is apparently between $0.10-0.30.
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Author: Justin Driskill
Justin is the founder of The Online Advertising Guide and a freelance Digital Projects Manager.