What is CPM
CPM (Cost Per Mille) is a pricing model in online advertising where the advertiser pays for every 1,000 impressions of an ad, regardless of whether the user clicks on it or not.
In this pricing model, the focus is on reach, not on clicks or actions. It’s ideal for advertisers who want their ads to be seen by as many people as possible — in feeds, channels, chats, or other placements.
Difference from other models:
- In CPC (Cost Per Click), payment is made only when a user clicks the ad;
- in CPA (Cost Per Action), the advertiser pays only after a desired action is completed (such as registration or purchase).
CPM is especially effective for:
- reaching a broad audience;
- increasing brand awareness;
- promoting new channels, products, or events;
- launching large-scale informational campaigns.
How to calculate cost per mille
CPM = (ad spend ÷ number of impressions) × 1000
For example, if you spend $50 for 10,000 impressions, the CPM is $5.
What affects CPM performance:
- audience size and engagement level of the channel or ad placement;
- the design and quality of the creative (headline, visuals, tone);
- the context of the ad — its surrounding content, format, and relevance.
Examples of platforms
- General: Google Display Network, Facebook Ads, Revcontent, MGID
- Telegram-focused: Telega.io, AdGram, Clickadilla, HilltopAds
Advantages of the model:
- effective for branding and broad reach objectives;
- predictable number of impressions;
- suitable for testing visual formats and messaging approaches.
CPM in Telegram
In Telegram marketing, this model is used for promotion through ad networks, native placements in channels, and paid impressions in promo blocks. The advertiser pays for every 1,000 views of a banner, text ad, or promotional post — regardless of how many users interact with it.
Tips for working:
- It’s important to monitor not only impressions but also engagement metrics (such as CTR).
- Effective CPM depends heavily on the quality of creatives and the choice of placement.
- If user response is low, CPM may be less cost-effective than CPC or CPA.
CPM is a solid strategy for advertisers who want to quickly reach a large Telegram audience, raise awareness, or test how users respond to a new offer.
