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What Is CPM?

CPM stands for cost per mille, which means cost per 1,000 impressions. It is one of the simplest media buying metrics because it answers one question: how much did we pay to be seen?

Useful for brand awareness, reach planning, and top-of-funnel media.Common across display, video, social, and sponsorship inventory.Best used with reach, frequency, and conversion data rather than alone.
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Why CPM exists

Advertisers needed a common denominator to compare inventory across channels. CPM does that by standardizing cost to 1,000 impressions.

That makes it easier to compare platforms that charge very differently but still deliver the same thing: attention.

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When CPM is the right lens

  • You are buying awareness or reach.
  • You care about the cost of visibility before the click.
  • You need a fast channel comparison for a media plan.
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What CPM does not tell you

  • Whether people clicked the ad.
  • Whether the clicks converted.
  • Whether the impressions reached the right audience.
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What does CPM stand for?

CPM means cost per mille, or cost per 1,000 impressions.

Is CPM the same as CPC?

No. CPM measures impression cost, while CPC measures click cost.

Why do marketers care about CPM?

Because it is the easiest way to compare the cost of visibility across channels.