A CPM calculator helps advertisers calculate the cost of 1,000 ad impressions. It can also estimate the budget needed to reach a target number of impressions or the impressions a budget could buy. Enter any two figures campaign cost, CPM, or impressions—and it calculates the third.
Try our free CPM calculator to plan a campaign or review its results.
What does CPM mean in advertising?
CPM stands for cost per mille, or cost per thousand. It measures how much an advertiser pays for every 1,000 times an ad is shown. Each time the ad is shown counts as an impression under the advertising platform’s reporting rules.
Impressions are different from clicks and sales. Someone can be shown an ad without clicking it, and the same person may account for multiple impressions. Read our guide to CPM, CPC, and CPA for a closer look at these metrics.
What is the CPM formula?
CPM = (Total campaign cost ÷ Total impressions) × 1,000
Suppose a campaign costs $250 and delivers 50,000 impressions:
CPM = ($250 ÷ 50,000) × 1,000 = $5
That campaign costs $5 per 1,000 impressions. This figure illustrates the calculation; it is not a typical or recommended advertising rate.
How do you calculate an ad budget from CPM?
If you know your expected CPM and desired impressions, use this formula:
Budget = (Desired impressions ÷ 1,000) × CPM
For example, 100,000 impressions at an estimated $5 CPM would cost:
(100,000 ÷ 1,000) × $5 = $500
How do you estimate impressions from a budget?
If you know your budget and expected CPM, use:
Impressions = (Budget ÷ CPM) × 1,000
For example, a $300 budget at an estimated $6 CPM gives:
($300 ÷ $6) × 1,000 = 50,000 impressions
These are planning estimates. Actual prices and delivery depend on the platform, placement, audience, and campaign conditions.
How to use the free CPM calculator
- Open the CPM calculator.
- Choose whether you want to calculate CPM, total budget, or impressions.
- Enter the other two figures.
- Select USD when working with dollar-based campaign figures.
- Review the result and the calculation shown.
Use the same currency for your budget and CPM. Selecting USD displays the appropriate currency symbol; it does not convert an amount from another currency.
When should you use a CPM calculator?
Before launching a campaign, use it to estimate the budget needed for a target number of impressions. After a campaign, enter your actual spend and impressions to calculate your CPM. You can also use CPM to compare the cost of ad visibility across campaigns with different budgets.
A lower CPM means cheaper impressions, but it does not automatically mean better results. Consider whether the campaign reached the right audience and produced the clicks, leads, or sales you wanted.
Frequently asked questions
Is CPM the same as CPC?
No. CPM measures cost per 1,000 impressions, while CPC measures cost per click. Use the metric that matches your campaign goal, and review both when they help explain performance.
Are impressions the same as people reached?
No. Impressions count instances when an ad is shown. Reach generally measures distinct people or accounts reached, according to the platform’s reporting rules. One person can account for several impressions.
Can a CPM calculator predict sales?
No. A CPM calculator works with cost and impressions. It cannot predict clicks, conversions, or sales.
Have two campaign figures ready? Use the free CPM calculator to find the third.