There are many terms used in an ad network some of which you should know what is stand for and its meaning.

CPC

It stands for cost per click. CPC is the amount that an advertise has to pay to Google each and every time when his ads get clicked. Advertising campaign is controlled by another service of Google called as Google Adwords.

CPM

CPM stands for cost per thousand impressions. This is the amount which every advertise has to pay to Google if he started CPM campaign on his adwords account. One time ad display is considered as one impression.

CPM Ads

Advertisers running CPM ads set their desired price per 1000 impressions. And if your site served thousand impressions for that adds you get that amount which is already set by that advertiser.

Effective CPM

The effective cost per 1000 impressions, also called effective CPM or eCPM. eCPM is a useful way to compare revenue across different channels of your website or blog. It is calculated by dividing total earnings by the number of impressions in thousands. It is estimated earnings for every 1000 impressions you receive. It’s not your actual earnings. This helps to see which channels are performing better.

Quick Tip: As a new publisher you don’t need to be worry about these terms, but it will help to understand adsense statistics better.