The definition of CPM

CPM (Cost Per Mille) is the charge for showing 1,000 impressions of a banner or text advertisement.

Advertising on a CPM base means that the advertiser has to pay for any shown banners, even if they have not received any clicks. Therefore it is often used for branding campaigns, to create awareness or demand for a new product or service, or for products that are of interest for a broad audience and easy to buy online (for instance, ringtones).

CPM is often used by media agencies or media networks, but also available within PPC networks such as Google AdWords. Also, CPM is often combined with ROS (Run of Site) or RON (Run of Network).


Related marketing articles:

  • Web Analytics ServicesROAS (Return On Advertising Spending) ROAS (Return On Advertisement Spending) is a KPI (Key Performance Indicator) that is used to determine media effectiveness.
  • Conversion Optimization ServicesAB-test (definition) An AB-test compares the results from one media component with another and is commonly used to for conversion optimization.
  • PPC Advertising servicesSearch Engine Advertising (SEA) With SEA (Search Engine Advertising), text advertisements are shown in and around search results. This enables advertisers to target a high […]

Pin It on Pinterest