Cost Per Rating Point

Definition

Cost per rating point (CRP or CPRP) or cost per point (CPP) is a method of comparing the cost effectiveness of two or more alternative media vehicles in radio or television. [1]

It’s the cost of an advertising campaign, relative to the rating points delivered.

Similar to CPM (cost per thousand impressions), cost per point measures the cost per rating point for an advertising campaign by dividing the cost of the advertising by the rating points delivered. [2]

CPP = Cost of Advertising ($) ÷ Rating Points Delivered (#)

See Also

Cost per click
Cost per order
Cost per purchase

References

  1. American Marketing Association, AMA Dictionary.
  2. Farris, Paul W.; Neil T. Bendle; Phillip E. Pfeifer; and David J. Reibstein (2010). Marketing Metrics: The Definitive Guide to Measuring Marketing Performance (Second Edition). Upper Saddle River, New Jersey: Pearson Education, Inc.

Comments are closed.