CPM means cost per thousand impressions.
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CPM (Cost Per Mille) in influencer marketing is a metric that measures how much a brand pays to generate 1,000 impressions from influencer content. It is commonly used to evaluate the cost efficiency of awareness and reach-focused campaigns.
The basic formula is:
CPM = (Total Influencer Campaign Cost ÷ Total Impressions) × 1,000
For example, if a brand spends ₹50,000 on an influencer campaign and the content generates 500,000 impressions:
CPM = (₹50,000 ÷ 500,000) × 1,000 = ₹100
A lower CPM generally means the campaign generated more impressions for the same amount of money. However, brands should also consider audience relevance, engagement quality, reach, and conversions, rather than evaluating influencer performance based on CPM alone.