What is CPM?
CPM (Cost Per Mille) is the price an advertiser pays for every 1,000 ad impressions. It is the most common pricing model in digital advertising, used across display, video, and programmatic campaigns.
CPM Formula
CPM = (Total Cost / Total Impressions) × 1,000
For example, if you spend $500 and receive 250,000 impressions, your CPM is ($500 / 250,000) × 1,000 = $2.00.
Typical CPM Ranges
- Display ads: $1 – $5
- Video ads: $10 – $30
- Connected TV (CTV): $25 – $50+
- Premium / native: $5 – $15