CPM Calculator for Media planning (with Benchmarks)

CPM is particularly effective for building brand recognition and reaching broad audiences, though it doesn’t guarantee engagement or conversions like performance-based models such as CPC (Cost Per Click) or CPA (Cost Per Acquisition).

CPM Calculator
CPM Calculator
What is CPM?

CPM stands for "Cost Per Mille" (cost per thousand impressions). It's a common pricing model in advertising that represents the cost to show your ad to 1,000 viewers.

  • If your CPM is $2.50, you pay $2.50 for every 1,000 impressions.
  • Lower CPM means your ad is being shown to more people for the same budget.
  • Different platforms and audience targeting options will have varying CPMs.

CPM Benchmarks

These are average CPMs to help you estimate costs or impressions for your media campaign. CPM can fluctuate based on competition, platform, and ad performance.

CPM Media Benchmarks by Vertical (2025)
Vertical
Audio
CTV/OTT
Display
Social Media
Search
Video
eCommerce
$10 – $18 (Audio)
$30 – $60 (CTV/OTT)
$4 – $10 (Display)
$10 – $18 (Social Media)
$18 – $42 (Search)
$12 – $24 (Video)
Automotive
$12 – $22 (Audio)
$42 – $72 (CTV/OTT)
$5 – $12 (Display)
$12 – $24 (Social Media)
$24 – $48 (Search)
$14 – $30 (Video)
Finance/Insurance
$18 – $36 (Audio)
$48 – $96 (CTV/OTT)
$7 – $14 (Display)
$18 – $36 (Social Media)
$36 – $72 (Search)
$24 – $48 (Video)
Healthcare
$14 – $30 (Audio)
$36 – $84 (CTV/OTT)
$6 – $12 (Display)
$14 – $30 (Social Media)
$30 – $60 (Search)
$18 – $36 (Video)
B2B SaaS/Tech
$24 – $60 (Audio)
$60 – $120 (CTV/OTT)
$10 – $24 (Display)
$24 – $60 (Social Media)
$48 – $96 (Search)
$36 – $72 (Video)
Education
$10 – $22 (Audio)
$30 – $72 (CTV/OTT)
$4 – $11 (Display)
$10 – $22 (Social Media)
$18 – $42 (Search)
$14 – $30 (Video)
Travel & Hospitality
$12 – $26 (Audio)
$48 – $84 (CTV/OTT)
$5 – $14 (Display)
$12 – $26 (Social Media)
$30 – $66 (Search)
$18 – $42 (Video)
Real Estate
$14 – $36 (Audio)
$42 – $90 (CTV/OTT)
$6 – $18 (Display)
$14 – $36 (Social Media)
$36 – $72 (Search)
$22 – $48 (Video)
Legal
$30 – $72 (Audio)
$72 – $144 (CTV/OTT)
$12 – $30 (Display)
$30 – $72 (Social Media)
$60 – $120 (Search)
$48 – $96 (Video)
Consumer Goods (CPG)
$8 – $17 (Audio)
$24 – $54 (CTV/OTT)
$4 – $8 (Display)
$8 – $17 (Social Media)
$14 – $30 (Search)
$12 – $24 (Video)
Gaming
$6 – $14 (Audio)
$22 – $48 (CTV/OTT)
$2 – $7 (Display)
$6 – $14 (Social Media)
$12 – $30 (Search)
$10 – $18 (Video)

Frequently Asked Questions About CPM for Media Buying

CPM stands for “Cost Per Mille,” where “mille” is Latin for thousand. It represents the cost an advertiser pays for one thousand impressions of their ad. For example, if a publisher charges a $5 CPM, you’ll pay $5 for every 1,000 times your ad is displayed.

CPM = (Total Cost / Total Impressions) × 1,000

There’s no universal “good” CPM as rates vary significantly based on:

  • Platform (social media, display, video, etc.)
  • Industry and niche
  • Targeting specificity
  • Ad placement quality
  • Geographic location
  • Seasonality

Generally, more targeted campaigns command higher CPMs. In 2024-2025, average display ad CPMs range from $1-$2 for broad targeting to $15-$30 for specialized, high-value audiences.

  • CPM (Cost Per Mille): You pay for impressions (views) regardless of user action
  • CPC (Cost Per Click): You only pay when someone clicks on your ad
  • CPA (Cost Per Acquisition): You only pay when someone completes a desired action (purchase, sign-up, etc.)

Each model shifts different levels of risk between advertisers and publishers. CPM puts more risk on advertisers but guarantees revenue for publishers.

CPM is typically best for:

  • Brand awareness campaigns
  • Reaching new audiences
  • Visual or video-based advertising
  • When impression volume is a primary goal
  • Testing creative elements with consistent exposure

CPC or CPA might be better when your primary goal is driving specific actions or when you have a very precise conversion goal.

CPM rates often fluctuate due to:

  • Seasonal demand: Higher during holidays (Q4) when advertisers compete for attention
  • Industry events: Rates increase during major events relevant to specific audiences
  • Algorithm changes: Platform updates can affect inventory availability and pricing
  • Economic factors: General economic conditions affect overall ad spending
  • Supply and demand: More advertisers competing for the same audience drives up prices

Strategies to optimize CPM include:

  • Testing different times of day or days of week
  • Expanding to similar but less competitive audience segments
  • Negotiating bulk deals directly with publishers
  • Improving ad relevance and quality scores
  • Using programmatic buying during off-peak seasons
  • A/B testing different creative formats
  • Excluding placements that consistently underperform

More precisely targeted audiences generally command higher CPMs because:

  • They’re more valuable to advertisers (more likely to convert)
  • The available inventory is more limited
  • There’s often more competition for these audiences

For example, targeting “men 18-65 in the US” will have a lower CPM than targeting “software engineers at Fortune 500 companies who have visited crypto websites in the last 30 days.”

Neither is inherently “better” – it depends on your goals:

  • Lower CPM: More efficient if you’re focused on reach and impressions
  • Higher CPM: Can be justified if it delivers better quality traffic, higher engagement, or better conversion rates

The key metric is actually the return on ad spend (ROAS) or cost per acquisition relative to your customer lifetime value.

Viewability (whether ads are actually seen by humans) significantly impacts CPM:

  • Placements with higher viewability rates command premium CPMs
  • “Above the fold” inventory typically costs more than “below the fold”
  • Many advertisers now buy on vCPM (viewable CPM) basis
  • Industry standards typically define a display ad as “viewable” when 50% of pixels are in view for at least 1 second
  • Video ads typically require 50% of pixels in view for at least 2 seconds

The most influential factors affecting CPM include:

  • Device type: Mobile vs. desktop vs. connected TV
  • Ad format: Display, native, video, audio, etc.
  • Targeting precision: Demographic, behavioral, contextual, retargeting
  • Geographic location: Country, region, urban vs. rural
  • Inventory quality: Premium publishers vs. long-tail websites
  • Industry vertical: Finance, healthcare, and insurance typically have higher CPMs
  • Ad placement: Above the fold, in-content, or sidebar
  • Ad size: Larger formats typically command higher CPMs

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