What is cost per mile?
Cost per thousand/Cost per mile is a kind of prototype of payment for advertising on the Internet. Advertiser gives money for every thousand impressions with the use of advertising materials, commonly banners. It is paid to affiliates, who try to promote advertiser’s product, service or site.
Cost per thousand CPT (CPT) is also called as Cost Per Mille CPM because word M also means number 1000.
Topics
- CPM
- advertising
- impressions
Video summary
In this video, the speaker discusses CPM (cost per thousand impressions) in marketing and advertising. CPM refers to the cost advertisers pay for every 1000 ad impressions. The speaker provides examples of CPM on platforms like Facebook, YouTube, and LinkedIn. They explain that the formula for calculating CPM is impressions divided by 1000, then divided by the cost. The average CPM varies across social advertising channels, with Google Display Ads having a low CPM and platforms like Facebook and YouTube having higher CPMs. The speaker emphasizes that while CPM is important, it should not be the sole focus of an advertising campaign; conversions and effectiveness are also crucial. Knowing the CPM can help inform advertising decisions. Viewers are encouraged to ask questions in the comments and subscribe to the Surfside PPC YouTube channel.
Frequently Asked Questions
How can I calculate cost per mille?
To calculate cost per mille, or cost per thousand, you divide the total cost of the campaign by the number of impressions and multiply that result by 1000.
What is a good CPM in digital marketing?
A good CPM is one that is not higher than the average for your industry and type of campaign. The average CPM for social media campaigns ranges between $5 to $10 depending on the platform. On the other hand, the average CPM for Google search ads is around $38, whereas for Google display ads it is around $3.
Is a high CPM good?
A high CPM is not necessarily good or bad. Having a high CPM that doesn’t translate into conversions or generate ad revenue is not a good thing. This metric needs to be analyzed in conjunction with other metrics, such as CTR and ROI, in order to accurately judge the performance of your campaign.