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

Question

Quizplus · Accepted Answer

"Cost per action" (CPA) is the correct performance measure for a business that wants to pay only when an ad generates a sale, as it involves paying for a specific action, such as a purchase, resulting from the ad.

A Business Hoping to Generate Large Online Sales Through Posting