Cost Per Impression:
CPM stands for cost per impression and used as an advertising and online internet marketing model. Recently we covered & learned another interesting advertising model name is PPC (Pay Per Click). Cost per impression model is most widely used on internet marketing. Similar like PPC model. In CPM advertisers pay to publishers, when an advertisement show each time. In simple words, When each visitors see advertisement so, this would be considered an impression. Advertisers is eligible to pay publisher for each impression.
Utilization of CPM (Cost Per Impression) model inside internet industry is now rising day by day. Almost sites, who have a lot of visitor per day then they adopt CPM model for revenue because much visitors can made much revenue with ease. I already said that, Advertising companies are now prevent fraud persons due to spamming and invalid activities.
Another fascinating thing is that, Advertising companies would exclude your own impression and then determine the active sections of visitors. Keep remember that, Google analytic would also count your own traffic on site so, it is good web-owner’s responsibility to exclude your own traffic through analytic blocker.
Here is important and highlighted point is that, Mostly web-owners and blogger insert more than one ads on single page. So, that’ means, When a visitor came on site page then all ads will be load with page at once and each would be considered an each impression. The entire mechanism of CPM is automatically handled by advertising companies like (Google Adsense, media.net, Chitika). Advertising companies pay the selected part of amount of ads to publishers, When as per thousand impressions will be done on advertisement. So there is no chance to win spammers because spamming word is like a redundant stuff.
Cost Per Impression formula:
Cost Per impression formula similar like PPC but the tiny differ is that, we can acquire formula by divided advertising cost with total number of impression on site.
In the Above shown acquired formula, can be used to find out the CPM. I suggest you to seek/adopt this model for your site, if your site have tons of traffic on daily basis. Let us know , Whats is your opinion and can share experience about advertising models and marketing strategies. 🙂