Cost per Thousand Impressions (CPM) is calculated dividing cost by impressions, and multiplying it by 1000, or multiplying CTR by CPC by 1000. This is the formula to calculate CPM:
| CPM =CTR x CPC x 1000 |
If a campaign costs 520€ and has 12.000 impressions, then CPM gets calculated like this:
| CPM= | 520€ | x 1000 |
| 12.000 | ||
| CPM=43,33€ | ||
If a campaign has 2% CTR (2/100 = 0,02) and 0,34€ CPC, then CPM gets calculated this way:
| CPM =0,02 x 0,34€ x 1000 |
| CPM=6,8€ |
Use our PPC Calculator to automatically calculate CPM and other Google Adwords metrics.
Can you please explain how to calculate CPM with an example?
Hi, your post is useful for me. Why do you use two ways to get CPM?
Hello. Thanks for your answer. I put both ways because you may have different sets of data to get the CPM.
