cost-per-impression (CPM)
Cost-per-impression (CPM) is a digital advertising metric that measures the cost of displaying an ad to 1,000 viewers. Advertisers use CPM to understand how much they are spending to reach a specific audience. This metric is particularly useful for campaigns focused on brand awareness, as it emphasizes the number of times an ad is seen rather than the number of clicks it receives.
In a CPM model, advertisers pay a set fee for every 1,000 impressions their ad generates. This allows businesses to budget effectively and compare the cost efficiency of different advertising platforms, such as social media or display networks.