CPM, CPC and CTR calculator
CPM is the cost of 1,000 impressions: spend divided by impressions, times 1,000. CPC is spend divided by clicks. CTR is clicks divided by impressions. Put your numbers from Ads Manager in and the calculator returns all of them, plus your click to conversion rate.
Read together, they show where an ad is losing you money: in the auction (high CPM), in the scroll (low CTR) or after the click (low conversion rate).
From Ads Manager
CPM
£10.42
Cost per 1,000 impressions.
CPC
£0.82
Cost per link click.
CTR
1.27%
Link clicks / impressions.
Click to conversion rate
2.95%
Cost per conversion £27.78.
CPM = spend / impressions x 1,000. CPC = spend / clicks. CTR = clicks / impressions. A low CTR with a normal CPM usually points at the creative, not the audience. Worked out in your browser.
The formulas
CPM = spend / impressions x 1,000.
CPC = spend / link clicks.
CTR = link clicks / impressions x 100.
Conversion rate = conversions / link clicks x 100.
Reading the numbers
A normal CPM with a low CTR usually means the creative is not stopping the scroll. Test new hooks and new formats before changing the audience.
A good CTR with a low conversion rate points past the ad, to the landing page, the price or the offer.
CPM moves with competition, season and audience size, so compare it with your own history rather than with other brands.
Frequently asked questions
- How do I calculate CPM?
- Divide your ad spend by the number of impressions and multiply by 1,000. £500 for 48,000 impressions is a CPM of about £10.42.
- What is the difference between CPM and CPC?
- CPM is what you pay for 1,000 people seeing the ad. CPC is what you pay for each click. A strong ad lowers CPC even when CPM stays the same, because more of the people who see it click.
- Should I use all clicks or link clicks?
- Use link clicks. All clicks includes likes, profile taps and expanding the text, which do not bring anyone to your site.