What does CPM stand for?

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CPM stands for Cost Per Mille, which originates from the Latin word "mille," meaning thousand. This metric is used in digital marketing to represent the cost of reaching one thousand impressions or views of an advertisement. It is a vital measurement for advertisers, allowing them to understand the expenditure involved in delivering their ads to a substantial audience base.

In the context of digital advertising, businesses typically use CPM to evaluate and compare the effectiveness and cost-efficiency of different ad campaigns. A lower CPM indicates that an advertiser is paying less to reach their target audience, which generally highlights a more cost-effective approach to ad placements.

The other terms, while they may sound similar, do not accurately describe this specific metric within advertising. Cost Per Month suggests a rental or subscription model rather than an advertising metric. Cost Per Thousand viewers is somewhat akin but not the standard terminology used in the industry; CPM is the recognized standard. Cost Per Marketing does not correspond to any established advertising metric. Thus, the use of the term "Cost Per Mille" distinctly aligns with the established practices in marketing analytics.

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