CPM Calculator
Calculate your Cost Per 1000 Impressions and measure ad efficiency!
Not sure what CPM means? Check the FAQ below
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For deeper analysisCost Metrics
CPM Analysis
Cost Per 1000 Impressions
$5.00
You pay $5.00 for every 1,000 impressions
Performance
Industry Benchmarks
2025 Data| Platform | Avg CPM |
|---|---|
| Google Display | $3.00 |
| TikTok | $10.00 |
| $14.00 | |
| $12.00 | |
| $7.00 | |
| $33.00 | |
| Google Search | $38.00 |
Sources: WebFX, Quimby Digital, Closely HQ
How to read this: Green = you're paying less than the platform average. CPM varies by industry and campaign objective.
How We Calculate Your CPM
Here's how we calculate your Cost Per 1000 Impressions:
Total Ad Spend
Total amount spent on your ad campaign
Impressions (÷ 1000)
Total impressions divided by 1,000
CPM
Your Cost Per 1000 Impressions
Tips & Insights
- 🚀 Excellent CPM! You're getting very efficient reach. Make sure your ad placements are quality and driving real engagement, not just cheap impressions.
- 📈 Tip: Add your click count to unlock CTR and CPC metrics for a fuller picture of campaign performance.
What is CPM?
CPM stands for Cost Per Mille — the price you pay for 1,000 ad impressions. "Mille" is Latin for thousand. It's the standard pricing model for display advertising, video ads, and brand awareness campaigns across platforms like Facebook, Instagram, YouTube, and Google Display.
If you spend $500 on ads and get 100,000 impressions, your CPM is $5.00. That means you paid $5 for every 1,000 times your ad was shown. Whether that's good depends entirely on your platform and campaign goals — which is exactly what the calculator above tells you.
CPM Formula
The formula is straightforward:
CPM = (Total Ad Spend ÷ Total Impressions) × 1,000
You can also reverse-engineer it. Want to know how much 500,000 impressions will cost at a $12 CPM? That's ($12 × 500,000) ÷ 1,000 = $6,000. The calculator above handles both directions — enter any two values and it computes the third.
For a deeper dive into the formula, bidding variants (vCPM, target CPM), and how auctions work, check our full CPM glossary entry.
What is a Good CPM?
It depends on where you advertise. LinkedIn charges $30+ CPM because you're reaching decision-makers. Google Display can be under $3 because the audience is broader. Here are rough benchmarks:
- Google Display: $2–$5 — cheapest reach, broad audiences
- TikTok: $5–$15 — younger demographics, growing inventory
- Facebook / Instagram: $8–$18 — spikes during Q4 and holidays
- LinkedIn: $30–$65 — premium B2B targeting, highest CPMs
The benchmark table above compares your actual CPM against platform averages. A low CPM isn't always good — cheap impressions to the wrong audience waste budget. What matters is what those impressions lead to: clicks, conversions, revenue. Check your efficiency with our CTR Calculator.
CPM vs CPC: When to Use Each
Use CPM when your goal is brand awareness and maximum reach — you want eyeballs, not necessarily clicks. Use CPC when you care about driving traffic and want to pay only for actual clicks.
Here's the math: if your CPM is $10 and your CTR is 2%, your effective cost per click is $0.50. If CPC bidding would charge $1.00 per click for the same audience, CPM is the better deal. But if your CTR drops to 0.5%, that CPM gives you an effective CPC of $2.00 — now CPC wins.
Frequently Asked Questions
What is CPM?
CPM (Cost Per Mille) is the cost an advertiser pays for 1,000 impressions of their ad. "Mille" is Latin for thousand. It's the standard pricing model for display advertising and brand awareness campaigns. For example: if you pay $500 for 100,000 impressions, your CPM is $5.00.
What's a good CPM?
A "good" CPM depends on the platform and campaign objective. For social media (Facebook, Instagram), $5-$10 is healthy. Google Display averages around $3. LinkedIn is significantly higher at $30-$65 due to B2B targeting precision. Always compare your CPM to platform-specific benchmarks, not across platforms.
CPM vs CPC — when should I use each?
Use CPM for brand awareness campaigns where you want maximum reach. Use CPC (Cost Per Click) when you care about driving traffic and want to pay only for clicks. If you're unsure, test both — use our CPC Calculator to compare cost efficiency, or our Ads Profit Calculator to model overall profitability.
How can I lower my CPM?
1) Improve ad relevance — platforms reward engaging ads with lower costs. 2) Broaden your audience — hyper-specific targeting increases competition. 3) Test different placements — Stories, Reels, and in-feed ads have different CPMs. 4) Avoid peak times — Q4 and holidays spike CPMs across all platforms.
How does CPM relate to ROAS?
CPM measures cost efficiency for impressions, while ROAS measures revenue return on total ad spend. A low CPM doesn't guarantee good ROAS — you need strong CTR and conversion rates to turn impressions into revenue. Use our ROAS Calculator to measure your actual return.
What's the difference between CPM and eCPM?
CPM is the price you set or bid for 1,000 impressions. eCPM (effective CPM) is the actual cost calculated after the campaign runs, regardless of pricing model. For example, if you're paying CPC but want to compare to CPM campaigns, eCPM converts your actual spend into a per-1000-impression equivalent.
What does $30 CPM mean?
A $30 CPM means you pay $30 for every 1,000 times your ad is shown. If your campaign delivers 50,000 impressions at $30 CPM, you'll spend $1,500 total ($30 × 50). Whether $30 is reasonable depends on your platform — it's normal for LinkedIn (B2B targeting) but expensive for Google Display or TikTok. Check the benchmarks above to see where your CPM falls.
How much do 1,000 impressions cost on Google Ads?
On Google Display Network, the average CPM is around $2–$5. Google Search ads are priced per click (CPC), not per impression, but the effective CPM is much higher — typically $30–$50+ — because search users have high intent. For video ads on YouTube, expect $4–$15 CPM depending on targeting and ad format.
When should I optimize for impressions vs conversions?
Optimize for impressions (CPM) during brand awareness and launch campaigns when reach matters most. Optimize for conversions when you have a clear goal (sales, signups) and want to maximize ROI. Most mature campaigns benefit from conversion optimization — check your results with our Conversion Rate Calculator.