Cost Per Mille
Calculator

Inputs

Cost per mille (CPM)
2.941176

Results

Cost per mille (CPM)
2.941176
Cost per impression
0.002941

Results

Cost per mille (CPM)2.941176
Cost per impression0.002941

formula-map diagram

Cost per mille (CPM)
2.941176
Cost per impression
0.002941

Formula breakdown

Formula

CPM = Ad spend ÷ Impressions × 1000

= 2.9411764705882

Note

This is a simplified model. Results use standard textbook definitions and ignore taxes, seasonality, attribution lag, discounting and accounting policy differences. Use them as an estimate, not as accounting, tax or investment advice.

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Frequently asked questions

What does CPM stand for and how is it calculated?+

CPM stands for cost per mille (mille meaning thousand in Latin), calculated as CPM = (total ad spend / total impressions) x 1000. It represents the cost of showing an ad 1,000 times, regardless of clicks or conversions.

How is CPM different from CPC as a pricing model?+

CPM charges based purely on ad views (impressions), making it suited for brand awareness campaigns where visibility matters more than immediate action, while CPC charges only when someone actually clicks, better suited for direct-response campaigns focused on traffic or conversions.

Why would an advertiser choose a CPM campaign over CPC?+

CPM is preferred when the goal is broad reach and brand exposure rather than immediate clicks — like a product launch or awareness campaign — since you're paying to be seen by a large audience regardless of whether they click through immediately.

How do you compare the value of two campaigns with different CPMs?+

A campaign with a higher CPM isn't automatically worse if it delivers more relevant, higher-converting impressions — CPM should be evaluated alongside downstream metrics like click-through rate and conversion rate to judge true value, not compared in isolation.

What does an impression actually count in CPM pricing?+

An impression typically counts as one instance of an ad being displayed on a screen, whether or not the viewer actually notices or engages with it, which is why CPM alone doesn't guarantee attention — viewability metrics are often tracked alongside CPM for a fuller picture.