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What Is EPMV?
Informational/Resource

What Is EPMV?

Last Updated over a week ago

Introduction

Understanding how to measure the success of your website’s monetization is crucial for any publisher. One of the most effective metrics for this purpose is EPMV, which stands for "Earnings Per Thousand Visitors." This article will explain what EPMV is, how it is calculated, and why it serves as a more reliable metric compared to others like RPM (Revenue Per Thousand Page Views) and daily earnings. By focusing on EPMV, you'll gain a comprehensive view of your site's revenue performance, accounting for factors like bounce rates, page views per visit, and overall user experience. Let's dive in and see how EPMV can provide valuable insights into your website's true earning potential.

EPMV, which stands for "Earnings Per Thousand Visitors," is a key metric for understanding the revenue generated from website traffic. It is calculated by dividing total earnings by the number of visitors (per thousand). The formula is as follows:

EPMV = Total Earnings / (Visitors / 1,000)

For example, if a website earned $6,500 from 1,000,000 visits in March, the EPMV would be calculated as $6.50.

Several factors influence the revenue earned by a website, including:

  • the number of visits
  • the number of ads displayed per session
  • the bounce rate of landing pages
  • the number of pages viewed per visit
  • upstream traffic sources
  • time of day
  • ad types (display, native, inline, etc.)
  • RTB bidding parameters
  • viewport size
  • the connection speed of users

These factors and many more contribute to the overall revenue.

Unlike RPM (Revenue Per Thousand Page Views), which measures revenue per 1,000 page views, EPMV provides a more holistic view of monetization. RPM can be misleading because it doesn't account for the number of ads per page, which can distort the understanding of monetization success. For instance, increasing RPM by adding more ads per page might raise RPM but negatively impact user experience, bounce rates, and overall revenue.

In contrast, EPMV considers the direct impact ads have on user behavior, such as bounce rates and page views per visit. This makes EPMV a more accurate measure of the actual revenue earned from visitors, considering both the positive and negative effects of ads on user experience.

For example, a site with a higher RPM but fewer page views due to increased bounce rates might earn less overall than a site with a lower RPM but higher page views. EPMV reflects these dynamics more accurately.

It's also essential to monitor EPMV to account for seasonal changes in traffic. Daily traffic numbers alone can be misleading. Comparing two Sundays, where one generated $500 from 100,000 visits and another generated $380 from 60,000 visits, EPMV reveals that the latter was better monetized ($6.33 compared to $5.00), despite lower total earnings.

In summary, EPMV or 'Session earnings' is the most reliable metric for measuring revenue while accounting for external factors such as seasonality and UX changes. It provides a more accurate picture of the value created from each visitor compared to other metrics like RPM, CPM, or daily revenue, which can often give false positives and are less reliable indicators of monetization success.

Tips and Best Practices

  1. Optimize Ad Placement:
    • Avoid overloading your pages with ads. While adding more ads can increase RPM, it can negatively impact user experience, increase bounce rates, and ultimately lower your EPMV.
  2. Monitor Bounce Rates and Page Views per Visit:
    • Keep an eye on how your ads affect bounce rates and the number of pages viewed per visit. Higher bounce rates and fewer page views can reduce your EPMV, even if your RPM increases.
  3. Consider User Experience:
    • Use less intrusive ads to maintain a balance between revenue and user satisfaction. Intrusive ads may drive users away, reducing the number of pages they visit and affecting overall revenue.
  4. Track Seasonal Traffic Changes:
    • EPMV can help you account for seasonal changes in traffic. Use EPMV as a consistent metric to understand how well your site is being monetized, regardless of fluctuations in daily traffic.
  5. Use EPMV for Better Insights:
    • Focus on EPMV rather than just daily earnings or RPM. EPMV gives a more comprehensive view of your revenue by considering the actual impact of ads on user behavior.
  6. Analyze Historical Performance:
    • Compare EPMV over different periods to understand how changes in traffic or ad strategy affect your revenue. For instance, higher earnings on a high-traffic day do not necessarily mean better monetization.
  7. Experiment and Adjust:
    • Continuously test different ad placements, formats, and densities while monitoring their impact on EPMV. Adjust based on what works best for maximizing revenue without compromising user experience.

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