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).
- What Is Google AdWords? – Definition and Advantages Google Adwords is an advertising network that allows advertisers to show their text and banner advertisements, based on consumers’ […]
- RON (Run Of Network) A Run Of Network targets all the web sites within a publisher’s advertising network. It is one of the cheapest ways of online advertising.
- AB-test (definition) An AB-test compares the results from one media component with another and is commonly used to for conversion optimization.
- ROS (Run Of Site) A Run Of Site (ROS) usually costs less than more targeted campaigns, but generally are less effective to generate sales or leads.