CPM stands for Cost per Mile. It is also called cost per thousand as the word ?mille? in Latin means ?one thousand.? It is a marketing term that refers to the price of 1,000 advertisement impressions on one webpage. For example, if a website publisher charges RS. 150 CPM, it means a person must have to pay RS. 150 for every 1,000 impressions of its ad.
So, it is a widely used method for pricing web ads. The success of a CPM campaign is measured by its click-through rate (CTR), which tells the percentage of people who saw your ad and clicked on it. For example, an advertisement that got two clicks for every 100 impressions has a 2% CTR. However, the success of an advertisement cannot be solely measured by CTR as an ad that is not clicked by a user but viewed can have an impact.