Definition & Explanation

CPM, or Cost Per Mille, is the price an advertiser pays to serve 1,000 ad impressions, with “mille” being Latin for 1,000. It is calculated by dividing the total campaign cost by the number of impressions and multiplying by 1,000. CPM is commonly used in brand-awareness campaigns where the goal is broad exposure rather than direct clicks or conversions, and it remains one of the most widely used pricing models across display, video, and programmatic advertising.