What is CPE advertising?
CPE is short for Cost Per Engagement. An engagement is an in-app event completed by a user, like reaching a level in a mobile game or taking your first ride with a rideshare app. In CPE advertising, advertisers only pay when users complete the desired event. That means no wasted ad spend on impressions or clicks — you only pay for successful engagements.
In-app CPE vs. CPA
CPE is easily confused with other in-app ad models, particularly CPA (Cost Per Action). Though both CPE and CPA are hosted in-app, there are a few key differences in the conversion location and flow. CPE ads are only permitted to run on Android apps. Advertisers typically use CPE ads to acquire users and encourage deeper app use. CPE campaigns rely on a rewarded model, meaning that users receive in-app currency or other rewards for completing objectives. CPE ads usually appear in mobile offerwalls. While effective across many kinds of apps, CPE hits its stride on mobile games. The rewarded exchange parallels how many games work, so it’s no surprise mobile gaming is home to some of the most successful CPE campaigns ever run, and expectations of mobile consumers are a perfect match for this model.
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