CPM calculator does a basic task for online marketers and publishers. Knowing how to calculate CPM comes into play when advertising budgets are considered. CPM is shorthand for cost per mile or cost per thousand and is a commonly used measure of volume in advertising. This calculator works either way, so it may be used to calculate either the cost, CPM or number of impressions. If you'd like to combine it with cost per click, use our CPC and CPM calculator. Online marketers love the online conversion calculator (check it out, it's a powerful tool!).
How to calculate CPM
The formula for CPM is as simple as the concept behind it. Since CPM is cost per thousand impressions, then you simply divide the cost by a number of thousands impressions. So the CPM formula is
CPM = 1000 * cost / impressions. What may interest you more is one of the reversed equations:
- for cost (how much you'll have to pay):
cost = CPM * impressions / 1000
- for impressions (how many impressions you're going to get, given your budget):
impressions = 1000 * cost / CPM