Definition
Cost Per Action (CPA)
CPA measures the cost of acquiring a user who completes a specific in-app action (registration, purchase, subscription). It's a more meaningful metric than CPI for measuring acquisition quality.
CPA goes beyond simple installs to measure the cost of acquiring users who take valuable actions. Common CPA events include account registration, first purchase, subscription start, or reaching a specific engagement milestone.
CPA is more meaningful than CPI because it accounts for user quality — a cheap install that never engages is worth less than an expensive one that subscribes. Optimize your listing to attract the right users.
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Related Terms
Cost Per Install (CPI)
Cost Per Install (CPI) measures how much you pay on average to acquire one app installation through paid advertising. Lower CPI indicates more efficient user acquisition spend.
Lifetime Value (LTV)
LTV estimates the total revenue a user will generate throughout their relationship with your app. It's the key metric for determining how much you can spend to acquire users profitably.
Return on Ad Spend (ROAS)
ROAS measures the revenue generated for every dollar spent on advertising. A ROAS above 1.0 means your ads are profitable; below 1.0 means you're losing money on acquisition.
Further Reading
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