CPA from CPM Calculator

Calculate CPM from CPA

  1. Enter your CPM:
    Calculate how much it costs for your ad to get 1000 impressions. In other words, your ad analytics will tell you how much it cost you for your ad to be placed in front of 1000 consumers.

  2. Enter your CTR:
    Calculate your CTR percentage by looking at how many consumers clicked on your ad rather than how many saw your ad.

  3. Enter your conversion rate:
    Calculate your conversion rate by taking the number of conversions your ad received by how many consumers clicked on your ad. You can also use our free Conversion Rate Calculator

  4. Click on the "Calculate" button.
    Your results will be shown in the CPA box.

CPA from CPM
(Cost Per Action) Calculator

When you are ready to move onto calculating other campaign metrics, check out our other helpful tools for PPC campaigns.

Frequently Asked Questions about Calculate CPA from CPM

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What is CPM?

CPM refers to the paid advertising option that charges an advertiser per every 1,000 impressions that their ad receives. An impression is when a consumer views your ad while on a social media platform or from one of the search engines.

The CPM structure is set up to be beneficial for companies that manage affiliate networks. Google Display Network is a popular location that advertisers use for CPM bidding, as well as Facebook is one of the social media platforms that has CPM campaign options for the companies that are looking to build brand awareness in order to increase their new followers.

Google Display Network or GDN uses CPM bidding to make sure that businesses pay only when their ads are actually shown by potential customers. While when you measure CPC, it only incurs a cost when users click on the actual ad, CPM charges the advertiser every time an ad is displayed on an individual's web browser.

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How Do You Reduce Your CPM Cost?

There are several aspects of your ad campaign that your can tackle to help reduce your CPM Cost:

Target the Right Audience

It is important to ensure that you are targeting your key audience - which will then drive down your CPM costs. When you specify in your ad campaign the target market you want to see your ad, you are telling the advertising platform who to display your ads to. This audience can be broken down into age, gender, interests, location. There are a lot of different options.

Selecting the wrong audience will cause the advertising platform to show your ads to people who don't care about your offer, which will then label your ad as an ad that is not interesting to consumers because it will receive a low relevance score for that audience. Therefore, you will be punished with higher CPM.

Do research on who your target audience is and who is most likely to be interested in what you have to offer. This can involve paying attention to who clicks on your ads, and if there are demographics that stand out. These can be a good starting point.

Then continue to research more into your customer base. You can also take advantage of the lookalikes as well, using the consumers who purchase your product or service and create an audience base that looks like those consumers.

Have a Good Offer

Even if you take the steps to ensure you are targeting the best audience for your product or service, if you have an offer that is not intriguing enough for the consumer to want to interact with the ad, then you will not receive clicks or purchases from your ad. Therefore, you will again be letting the advertising platform know that these consumers are not interested in your ad.

To find the value that your set customer is looking for, try different offers such as free shipping, bundles, discounts, or simply make your customers see enough value in your product by building up its reputation or quality.

Use Attention-Grabbing Images

Lastly, even if you have a great offer and the best target audience, if people don't stop scrolling their news feed to check what your post is about, you won't sell. Attention-grabbing images are great to make people stop to see your offer. If you fail to have an excellent creative you will have a high CPM.

The general idea is that more engagement on an ad will then lower your CPM cost. The way to achieve more engagement on your ad is to make content that draws the eye and encourages interaction. One way to do this is through the use of images. It's been proven that posts and ads with visual elements perform better than all-text counterparts. Just be sure that when you design the creative that you keep a good balance between the amount of text and white space within the ad.

Another easy way to get attention is through a call-to-action, such as “Buy Now” or “Learn More.” Including a call-to-action allows the consumer quick access to the information provided in your website - whether that would be for a product or service.

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