What is CPM?

Cost per thousand impressions (technically, “cost per mille”). CPM is useful when evaluating online advertising deals and online publishing earnings.

For advertising based in CPM, you’ll already know the CPM. So this will more likely find effective CPM, useful for comparisons.

For publishers looking to calculate the effective CPM of their earnings, use earnings for campaign cost. Impressions might be called views.

example CPM calculation
$100 campaign cost
10,000 impressions
$10 CPM

This can be for brand advertisers who want to get messages in front of as many people as possible. Calculate how high the cost needs to be — or how low the CPM needs to be — to get the desired number of impressions.

example impressions calculation
$1,000 campaign cost
$0.50 CPM
2,000,000 impressions

For advertisers, you can see how many impressions or what CPM rate will fit within a certain cost.

For publishers, you can play with different traffic and CPM scenarios and see how they impact earnings.

example cost calculation
1,000,000 impressions
$0.50 CPM
$500 campaign cost

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