Calculate your CPM
Calculate cost per thousand impressions for display, video and social advertising campaigns.
Formula: (Cost / Impressions) x 1,000
How to use the CPM calculator
Enter total campaign cost and delivered impressions. CPM normalizes the cost to 1,000 impressions, which makes campaigns of different sizes easier to compare. The optional target CPM shows what the same volume of impressions would cost at a chosen planning rate.
CPM formula
CPM = (Campaign cost / Impressions) x 1,000. A $500 campaign delivering 100,000 impressions has a $5 CPM.
Example: 100,000 impressions
At a $5 CPM, 100,000 impressions cost $500. At $10 CPM, the same 100,000 impressions cost $1,000. This is why CPM is useful for budget planning, but it should still be evaluated together with audience quality and campaign results.
Planning examples
These examples are mathematical scenarios designed to help with planning. They are not claims about typical market performance.
| Impressions | $2 CPM | $5 CPM | $10 CPM | $20 CPM |
|---|---|---|---|---|
| 10,000 | $20 | $50 | $100 | $200 |
| 50,000 | $100 | $250 | $500 | $1,000 |
| 100,000 | $200 | $500 | $1,000 | $2,000 |
| 500,000 | $1,000 | $2,500 | $5,000 | $10,000 |
| 1,000,000 | $2,000 | $5,000 | $10,000 | $20,000 |
How to interpret CPM
A lower CPM means you paid less for the same number of impressions, but it does not automatically mean the campaign was better. Compare CPM with viewability, audience relevance, click-through rate, conversions and incremental business outcomes. The rates in the table are mathematical scenarios, not market benchmarks.
Frequently asked questions
What does CPM mean?
CPM means cost per mille, or the cost of 1,000 advertising impressions.
How do I calculate budget from CPM?
Budget = Impressions / 1,000 x CPM. For 250,000 impressions at a $6 CPM, the budget is $1,500.
Is lower CPM always better?
No. Cheap impressions can still be low quality or poorly matched to the campaign objective.
What is the difference between CPM and CPC?
CPM prices impressions. CPC prices clicks. The better metric depends on whether your objective is exposure, traffic or downstream conversions.