A business hopes to generate large online sales through posting ads on social networking sites but only wants to pay when an ad actually generates a sale.That firm should use the performance measure of
A)"cost per thousand," and pay $0.50 for every time an ad loads,up to $100 per month.
B)a "negotiated measure," and pay $100 to post their ad for two weeks.
C)"cost per click," and pay $0.50 for every visitor who clicks on the ad and goes to their website.
D)"cost per action," and pay $50 for every purchase that originated from an ad on the site.
E)"cost per like," and pay $1.00 for every unique visitor who likes the advertised product.

Question

Quizplus · Accepted Answer

The best option for a business that wants to only pay when an ad actually generates a sale is to use the performance measure of "cost per action" where they pay $50 for every purchase that originated from an ad on the site. This ensures that the business only pays for the actual result they are looking for, which is a sale. The other options, such as "cost per click" or "cost per like," do not guarantee a sale and could result in the business paying for clicks or likes that do not lead to a purchase.

A Business Hopes to Generate Large Online Sales Through Posting