What is CPM (Cost Per Impression)?
CPM (Cost Per Mille) is a digital advertising metric that represents the cost of 1,000 ad impressions. An "impression" occurs each time an ad is shown to a user. CPM is primarily used in brand awareness campaigns to measure how much you're paying to display your ad, regardless of clicks or conversions.
Table of Contents
Full Definition
CPM pricing is common for campaigns focused on visibility rather than immediate actions. Advertisers pay based on the number of times ads are served.
Monitoring CPM helps understand the cost-efficiency of reaching audiences at scale.
Effective CPM management ensures broad brand exposure within budget constraints.
Examples
Cost for 1,000 impressions
Focus on brand awareness
Visibility-based pricing
Benefits
Scales reach efficiently
Useful for awareness campaigns
Easy to measure impressions
Common Mistakes
Does not guarantee engagement
Can lead to wasted spend if poorly targeted
Less effective for direct response
Conclusion
CPM is ideal for advertisers prioritizing reach and brand exposure over immediate clicks.