CPM Calculator (Cost Per Mille)
Calculate cost per thousand impressions and compare across advertising platforms to optimize your media spend
Total amount spent on advertising
Number of times your ad was displayed
Select advertising platform to compare against benchmarks
What is CPM (Cost Per Mille)?
CPM, or Cost Per Mille, measures the cost of 1,000 advertising impressions. The term "mille" comes from Latin, meaning "thousand." It's a fundamental metric in display advertising that helps marketers understand how efficiently they're reaching their audience.
CPM is particularly useful for brand awareness campaigns where the goal is maximum visibility rather than immediate conversions. It allows you to compare costs across different platforms, ad formats, and campaigns on an apples-to-apples basis.
How to Calculate CPM
Example: If you spent $5,000 and received 500,000 impressions:
CPM = ($5,000 ÷ 500,000) × 1,000 = $10
This means you paid $10 for every 1,000 times your ad was shown.
Platform Benchmarks
- Google Search: $38.40 (high intent, competitive)
- LinkedIn: $33.80 (B2B targeting premium)
- Pinterest: $30.00 (visual discovery)
- Facebook Feed: $11.20 (broad reach)
- YouTube: $9.68 (video content)
- TikTok: $9.42 (younger demographics)
- Instagram Feed: $7.91 (visual engagement)
- Instagram Stories: $6.70 (ephemeral content)
- Twitter: $6.46 (real-time engagement)
- Google Display: $2.80 (broad awareness)
Why CPM Matters
- Compare platforms: Evaluate cost efficiency across different advertising channels
- Budget allocation: Determine where to invest for maximum reach
- Campaign planning: Forecast impressions and reach for given budgets
- Performance tracking: Monitor how costs change over time and across campaigns
How to Lower Your CPM
- Improve ad quality: Higher relevance scores on platforms like Facebook and Google reduce CPM
- Refine targeting: Narrow audiences to more engaged, relevant users
- Test ad formats: Some formats (Stories, Reels) often have lower CPMs than feed placements
- Optimize bid strategy: Use automatic bidding or target CPM bidding to find efficiency
- Choose the right platform: Match platforms to your audience demographics and campaign goals
- Avoid peak times: Run ads during less competitive hours or seasons
CPM vs Other Pricing Models
Understanding different ad pricing models helps choose the right approach:
- CPM (Cost Per Mille): Best for brand awareness and reach campaigns
- CPC (Cost Per Click): Better for traffic and engagement-focused campaigns
- CPA (Cost Per Acquisition): Ideal for conversion-focused campaigns
- CPV (Cost Per View): Specifically for video advertising campaigns