What is Cost per Mille (CPM)?

Depending on the goal of your advertising campaign, each model will have a different cost. Cost per click is usually used in campaigns that focus on a specific action performed by the user when interacting with the ad (clicks), while CPM is used in campaigns with a brand awareness goal and it does not require an interaction between the user and the paid ad.

Although this metric does not indicate the effectiveness of a campaign, CPM is important when planning the budget in the early stage of creating a marketing strategy and it is also a preferred pricing model for advertisers that want to focus more on increasing brand awareness.