What does CPM stand for in digital advertising?

In digital advertising, CPM stands for "Cost Per Mille," which refers to the cost of acquiring 1,000 impressions or views of an advertisement. The term "mille" is derived from Latin, meaning "thousand." This metric is crucial for advertisers as it provides a way to quantify the expense of reaching a large audience, making it easier to compare the costs of different advertising campaigns across various platforms. By using CPM, advertisers can assess the efficiency and effectiveness of their ad spend in relation to the visibility and reach of their promotional content.

Understanding this concept is essential for anyone involved in digital media sales, as it helps in setting budgets, forecasting costs, and evaluating potential returns on investment for advertising campaigns.