What is CPV (Cost Per View)?

What is CPV (Cost Per View)?

CPV (Cost Per View) is a pricing model in digital advertising where advertisers pay for each view or interaction with a video ad. It's primarily used for video ad campaigns, especially on platforms like YouTube, where advertisers are charged based on how many people watch their videos. CPV offers a cost-effective way to run video ads, as advertisers only pay when users actively view the content.

How CPV Works in Video Advertising

With CPV, advertisers are charged when a user either watches a video ad for a certain length of time or engages with it in some way, such as clicking on a call-to-action or interacting with an overlay. Typically, a "view" is counted when a user watches at least 30 seconds of the video or the full video (if it’s shorter than 30 seconds), or engages with the ad.

Platforms That Use CPV in Advertising

CPV is commonly used in video-centric advertising platforms such as YouTube and other video streaming sites. Google Ads offers CPV as a bidding option for video campaigns, allowing advertisers to create ads that only cost them when a user views or interacts with the video.

Benefits of CPV for Video Campaigns

• Cost-Effective: Advertisers only pay when a viewer actively engages with the content, making it a budget-friendly option for video ads.
• High Engagement: CPV ensures that the user has watched a significant portion of the video before you are charged, which can lead to higher engagement rates.
• Measurable Impact: With CPV, you can track how many users watched your video and interacted with it, offering a clear performance metric for video campaigns.

CPV vs CPC: Choosing the Right Model for Video Ads

While CPC (Cost Per Click) focuses on clicks, CPV is all about views and interactions with video content. If you’re running a campaign that revolves around storytelling, product demos, or other visual content, CPV is a more suitable option because it allows you to engage viewers through video. On the other hand, if the goal is to drive immediate clicks to a website, CPC might be more appropriate.

Examples of CPV in Action

Imagine you’re launching a new product and want to create awareness through a video ad campaign on YouTube. Using CPV, you’re only charged when users actively engage with or view a portion of the video, ensuring that your ad spend is going towards those who are interested enough to watch your content.