Are you tired of constantly monitoring your ad campaigns? Afraid of losing your budget?
We’ve found the solution to these constant problems of advertisers. These pricing models can automate the bidding process and at the same time keep it under your limit.
With Smart CPM and Smart CPA, it’s become much easier to win quality traffic at a fair price.
But there’s a hard decision to make: you can run your ad campaign on only ONE of them.
How do you choose? Each model has its own advantages and fits different goals. Once you understand both, though… Trust us, it will pay off almost right away.
Because with the right approach, Smart CPM and Smart CPA can take your ROI to a new level.
In this article, we’ll break down these models so you can see which one best fits your next ad campaign. Plus share real-user stories!
We’ll explain these pricing models on the example of our trusted partner Galaksion advertising network. They provide advertisers with 100% direct traffic from reliable website owners along with innovative optimization tools.
Read this guide in full and grab a 15% promo code AFFPAYING15 to test the models in Galaksion for yourself. More info at the end.
Side-by-side comparison
Here’s a quick overview of what each model brings to the table.
Curious to explore both further? We’ll take you through all the details.
Understanding Smart CPM & Smart CPA
How second-price auctions work
Think of it this way: you and several other advertisers want to buy the same slice of traffic.
sCPM and sCPA will analyze the competition and adjust the rate to your advantage. But with these models, you are less likely to pay your full bid.
Here’s how the sCPM / sCPA algorithm works in practice.
1️⃣ You set the highest rate you’re comfortable with.
2️⃣ The system evaluates the competition.
3️⃣ Your rate gets automatically adjusted in real time.
4️⃣ You win the auction.
5️⃣ You pay just above the next competitor, not your max rate.
❗ Overbidding is off the table. In most cases, your final cost will be lower.
What you actually pay for
Smart CPM → impression-based model.
Smart CPA → works with impressions, but ties them directly to conversions.
Smart CPA replaces classic CPA logic with a dynamic CPM auction.
You’re billed for impressions, but their cost is adjusted based on how well your campaign converts. So the final price is set through the second-price auction we talked about, but this time guided by your campaign’s effective CPM (eCPM).
Your costs still depend on results, and in many cases, impressions come at a lower cost compared to traditional CPA.
sCPM and sCPA help you earn more, and here’s how
With Smart CPM, traffic can come at 2× lower rates than standard CPM.
With Smart CPA, you can pay 40% less per conversion.
You gain access to premium placements at a more reasonable price + maximize conversions all while keeping your spend in check. Both models are designed to keep your costs aligned with your limit.
Choosing between Smart CPM and Smart CPA
Smart CPM:
— tends to perform better in GEOs with lower competition and is especially useful during the testing phase of your campaign;
— fits well with verticals like E-commerce, Streaming/VOD, iGaming, and client-based Games;
— gives you flexibility if your conversions are higher in value and the user journey takes more steps.
Smart CPA:
— is ideal for high-demand GEOs because this model is tied to conversions;
— uses a test budget;
— shows strong results in verticals like VPN, Utilities, Antivirus, and casual Games;
— generates solid results with an easier conversion flow, such as sign-up, install, subscription.
From here, let’s go into insights and tips to help you optimize performance. Are you eyeing at least one of these models for your next campaign on Galaksion?
Working with Smart CPM and Smart CPA on an advanced level
What we recommend for both models:
🔵 To increase your chances of securing top traffic slices, consider raising your max bid (CPM rates for sCPM, and conversion rates for sCPA).
You will stay within your set rate, and most of the time, you end up paying less thanks to these models.
🔵 Use Galaksion’s Traffic Volumes chart as a guide when adjusting your rates. It helps you choose the best option for your bundle.
For Smart CPM:
🔵 When you’re working with competitive GEOs and traffic feels limited, increasing your max bid can help you move up in the ranking and unlock more volume.
If that’s not enough, test a parallel campaign on standard CPM and compare results to find the most effective approach.
For Smart CPA:
🔵 Segment your campaigns by traffic slice, for example desktop vs. mobile or Wi-Fi vs. 3G. This improves audience relevance from the start and keeps testing more efficient.
🔵 Allow the system to learn. Higher CPA in the early stage is okay, but, as more conversions get recorded, performance will gradually go back to your target.
If you need more guidance, contact your manager on Galaksion. You’ll receive expert advice, offer-specific tips, and support to improve your results! No matter how big or small your campaign is.
Case studies to inspire your next campaign
Smart CPM and Smart CPA are already bringing results for partners on Galaksion. Let’s see how they performed in real campaigns!
Smart CPM
Case: 2× traffic volume for Chile
Chile is a lower-competition GEO, so naturally Smart CPM had more room to do well.
The advertiser from Galaksion set a max rate of $1.5, but ended up paying only $0.7.
That difference allowed for twice the traffic volumes at the same spend! Lower competition made the difference.
Smart CPA
Case: 11% higher profit with a higher bid
An Antivirus offer in the US, a simple conversion flow, and a strong demand? Smart CPA was a natural fit.
The advertiser tested two campaigns with different rates.
While the lower bid delivered 33% more impressions, the higher bid led to 11% more profit.
A better traffic slice outperformed a higher volume of impressions. And just like we said in the optimization section, splitting the campaigns helped identify the more effective approach.
These are just a few examples of Smart CPA and Smart CPM in action.
Your results will always depend on your traffic slice, the auction dynamics, and the offer you’re running. For the best outcome, it’s worth planning your strategy together with your Galaksion manager.
These Smart models are a Galaksion exclusive, available for all advertisers upon registration.
Ready to rock your next campaign? Right now, you can get 15% OFF your first campaign budget with the promo code: AFFPAYING15 by the registration on Galaksion.
Sign up and gain access to premium traffic at a better price!
