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Break-even CVR: required conversion rate at a given CPM and CTR

A practical guide to break-even CVR: set landing page CVR targets from CPM, CTR, AOV, and margin, then prioritize post-click fixes.

Updated 2026-01-28

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Break-even CVR Calculator
Example: $12 CPM, 1.5% CTR, $80 AOV, 40% margin, 20% buffer

CVR is a post-click constraint

Break-even CVR tells you how strong your click-to-conversion rate must be to justify a given CPM and CTR given your AOV and margin. It is the post-click constraint on profitability.

Core relationship

Break-even CVR = CPM / (1000 * CTR * AOV * margin).

Post-click diagnosis checklist

  • Message match: headline and first screen mirror the ad promise.
  • Friction: minimize fields, steps, and distractions before the CTA.
  • Speed: optimize LCP and interactivity for mobile first.
  • Trust: show reviews, guarantees, and pricing clarity early.

Offer and intent alignment

  • Clarify who the offer is for and the primary outcome.
  • Use the same promise across ad, page, and form.
  • Add a risk-reversal element if trust is a blocker.

Measurement hygiene

  • Define CVR on the same unit as CTR (clicks vs sessions).
  • Separate mobile and desktop performance before changing the page.
  • Use holdouts or incrementality checks if retargeting is heavy.

Common mistakes

  • Using CVR defined on sessions while CTR is defined on clicks (unit mismatch).
  • Ignoring refunds/returns and using gross margin that is too optimistic.
  • Comparing across placements without controlling for intent (retargeting vs prospecting).

FAQ

Is CVR a landing page metric or a funnel metric-
Both. CVR can mean click->purchase, session->purchase, or click->lead depending on your definition. Use the definition that matches your spend denominator and your business model.
How do I increase CVR fastest-
Improve offer clarity, reduce friction, speed up pages, improve trust signals, and match ad intent to landing content. Also filter low-intent traffic that inflates clicks without conversions.

More in paid ads

Paid ads bidding & budgeting hub: max CPC, target CPA, and break-even targets
A practical hub for bidding and budgeting: compute max CPC from CVR and margin, set target CPA using LTV, and use break-even CTR/CVR/CPM targets to guide creative and landing optimizations.
Creative + landing page playbook: diagnose CTR/CVR, then set break-even targets
A practical playbook for improving paid ads performance: use CTR/CVR diagnosis, set break-even CTR/CVR/CPM targets from your economics, and fix the biggest lever first.
Break-even CTR: required CTR at a given CPM (with buffer)
A practical guide to break-even CTR: set creative CTR targets from CPM, CVR, AOV, and margin, then use them to diagnose pre-click performance.
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