Calculate CPM for a product video ad
By Drizzle team
2 min read
CPM tells you what one thousand impressions cost. It measures delivery price, not whether shoppers found the creative useful.
Use matching numbers
Take media spend and impressions from the same campaign and date range. Divide spend by impressions, then multiply by 1,000. The CPM calculator can do the arithmetic.
Interpret a change
A higher CPM can reflect audience, placement, season, or auction changes. Check those conditions before crediting a new video with the difference.
Connect to outcomes
Read CPM beside link CTR, qualified visits, purchase CPA, and contribution. Cheap impressions can still be an expensive path to customers.
A worked example
Suppose a tote video spent $250 and delivered 20,000 impressions. Its CPM is $12.50. A second clip at $10 CPM may look cheaper, but compare qualified visits and purchases before calling it the better ad. Also inspect whether the second ran in a different placement or time period; the delivery price can change without any change in creative quality.
Decision check
Keep the numerator, denominator, date range, currency, and attribution definition with every reported result. A metric describes one part of the shopper path; compare it with visits, purchases, and order contribution before changing the creative or budget. State what the observation cannot establish.