Cost Per Mille (CPM)

Definition of Cost Per Mille (CPM)

The cost of 1,000 advertisement impressions on one webpage.

Explanation of Cost Per Mille (CPM)

Cost per mille (CPM), also known as cost per thousand impressions, is a metric used in digital advertising to measure the cost of displaying an advertisement 1,000 times. Advertisers pay based on the number of impressions their ad receives, regardless of user interactions. CPM is commonly used for brand awareness campaigns where the goal is to reach a large audience. It helps advertisers understand the cost of gaining visibility and exposure. By analyzing CPM, businesses can optimize their ad spend, improve campaign performance, and achieve their marketing objectives. Effective use of CPM ensures that ads are seen by the right audience at the right time.

This dictionary entry was written by

Per-Gulbrand Peter Braathen

With a foundation in doctoral-level research, Per-Gulbrand Peter Braathen is a seasoned expert in the areas of marketing, branding and communication. His proficiency extends to marketing management, branding and communication strategy. Braathen's experience is underscored by his rich background from various industries, including entertainment. A distinguished alumnus of the USC Marshall School of Business, Braathen boasts a Master of Science in Marketing, complemented by a Graduate Certificate in the Business of Entertainment from the USC School of Cinematic Arts as well as two undergraduate Bachelor degrees from the esteemed University of Southern California.