How it works
CPM is the cost of 1,000 ad impressions, and an impression is one time an ad is shown. Divide the spend by the impressions and multiply by 1,000. Buyers often compare prices this way when they pay for reach.
CPM = spend × 1000 ÷ impressions
spend = CPM × impressions ÷ 1000
impressions = spend × 1000 ÷ CPM
Worked example
You spend $500.00 on a campaign that gets 100,000 impressions.
- 1CPM$500.00 × 1,000 ÷ 100,000 = $5.00
What is a good CPM?
Benchmarks vary by industry and platform, so this page gives no number. Compare your CPM with your own earlier campaigns on the same platform and audience.