Understanding CPM in digital advertising
CPM — Cost Per Mille (thousand) — is the standard pricing model for brand awareness, display, video, and programmatic advertising. It measures how much you pay per 1,000 ad impressions delivered.
CPM ($) = (Total Campaign Cost ÷ Total Impressions) × 1,000. If you spent $2,500 on a campaign that delivered 500,000 impressions, your CPM = ($2,500 / 500,000) × 1,000 = $5.
CPM campaigns are bought either directly (publisher direct deals at a fixed CPM rate) or via programmatic auctions where CPM fluctuates in real time. Use this calculator alongside your ad CTR and CPC data for complete campaign analysis.