CPM

metrics

Cost Per Mille (Thousand Impressions)

Definition

The cost to show your ad to 1,000 people. Used to measure the efficiency of brand awareness campaigns.

How to Calculate CPM

Total Ad Spend ÷ (Impressions ÷ 1,000)

Example

Scenario: You spend $100 and get 10,000 impressions

Calculation: $100 ÷ (10,000 ÷ 1,000) = $10 CPM

What's a Good CPM?

$10-$25 for most platforms, higher for premium audiences

Common Mistakes

  • Optimizing for low CPM without considering audience quality
  • Ignoring frequency when CPMs rise

💡 Expert Tip

Rising CPMs often indicate audience saturation. Expand targeting or refresh creative when CPMs increase 30%+.

— Based on $100M+ in managed ad spend

Related Terms

By Kristijan Arapov • Based on $100M+ in managed ad spend • Updated 2026

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