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Cost Per Mille (CPM), often referred to as "cost per thousand impressions," is a pivotal term in the digital marketing glossary. CPM represents the cost incurred by an advertiser for every thousand impressions of their online ad. Unlike Cost Per Click (CPC), where advertisers pay for actual clicks, CPM is a model focused on the cost per potential exposure, making it particularly relevant for brand awareness campaigns.

In CPM-based advertising, the advertiser pays a set rate for every one thousand times their ad is displayed, regardless of whether users engage with it. This pricing model is prevalent in display advertising, where the goal is to maximize visibility and create brand recall. Advertisers often use CPM to assess the efficiency of their ad spend in terms of reaching a broad audience.

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