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CPM — cost per mille, meaning cost per thousand impressions — is the standard way to price and compare display, video and social advertising. This calculator finds the CPM from your spend and impressions, or works backwards to the cost or impressions when you know the other two.
How is it calculated?
The formula
CPM = (cost ÷ impressions) × 1,000
“Mille” is Latin for thousand, so CPM is what you pay for every 1,000 times an ad is shown. Rearranged:
| Solve for | Formula |
|---|---|
| CPM | cost ÷ impressions × 1,000 |
| Cost | CPM × impressions ÷ 1,000 |
| Impressions | cost ÷ CPM × 1,000 |
CPM vs CPC vs CPA
CPM charges for exposure (impressions), regardless of clicks — good for awareness. CPC charges per click and CPA per action (a sale or sign-up). CPM is the base metric for comparing the raw cost of reach across placements and platforms.
Using it
Compare two ad buys on a level field, forecast the spend needed for a target number of impressions, or check what reach a fixed budget buys at a given CPM.
Worked example
A campaign costs 500 and delivers 200,000 impressions: CPM = (500 ÷ 200,000) × 1,000 = 2.50 — you pay 2.50 per thousand impressions. Working forward instead, at a 5.00 CPM a budget of 500 buys (500 ÷ 5) × 1,000 = 100,000 impressions.
FAQ
What is CPM?+
Cost per mille — the cost of 1,000 ad impressions. It’s calculated as (cost ÷ impressions) × 1,000 and is the standard pricing metric for awareness-focused display, video and social advertising.
How do I calculate CPM?+
Divide the total cost by the number of impressions, then multiply by 1,000. For a 500 spend and 200,000 impressions, CPM = (500 ÷ 200,000) × 1,000 = 2.50.
How many impressions will my budget buy?+
Divide your budget by the CPM and multiply by 1,000: impressions = (budget ÷ CPM) × 1,000. At a 4.00 CPM, a 1,000 budget buys 250,000 impressions. Choose “Impressions” mode to compute it.
What is the difference between CPM and CPC?+
CPM charges per thousand impressions (views), whereas CPC charges per click. CPM suits awareness campaigns where being seen matters; CPC suits performance campaigns where you only pay when someone clicks through.
What is a good CPM?+
It varies widely by platform, format, audience and season, so there’s no universal figure. Use CPM to compare specific placements against each other and against your goals rather than chasing a single “good” number.