Cost per thousand impressions
CPM · The average amount paid for an ad to be shown a thousand times; used especially in awareness campaigns and display advertising.
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Why it matters
Cost per thousand impressions shows what it costs to reach an audience and helps compare platforms. It rises as the audience narrows, competition grows and during busy periods. Cheap impressions, however, do not mean the ad was seen or was effective.
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Example
A brand runs video ads to introduce a new product; the cost per thousand impressions rises markedly in November compared with October because of shopping season competition.
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Common mistake
Judging an awareness campaign only by cheap impressions. Results such as viewability, watch time and the rise in brand searches should be measured too.
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Related terms
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