CPM, CPC & CTR Ad Calculator

CPM, CPC, CTR — Ad Metrics Explained

Every digital advertising platform uses the same core metrics to measure campaign performance. Understanding what each number means — and how they connect — is fundamental to optimizing ad spend.

Key Ad Metric Formulas

• CPM (Cost Per Mille) = Budget / Impressions × 1,000 — cost per thousand views
• CPC (Cost Per Click) = Budget / Clicks — cost per individual click
• CTR (Click-Through Rate) = Clicks / Impressions × 100 — % of viewers who clicked
• CPA (Cost Per Acquisition) = Budget / Conversions — cost per converted customer
• CVR (Conversion Rate) = Conversions / Clicks × 100 — % of clickers who converted
• ROAS = Revenue / Ad Spend — revenue per dollar spent

Benchmark CPMs by Platform (2024)

• Facebook/Instagram: $8–$14 CPM average
• Google Display: $2–$5 CPM
• Google Search: Not CPM-based (CPC model)
• TikTok: $6–$10 CPM
• LinkedIn: $30–$80 CPM (expensive, B2B focused)
• YouTube: $6–$15 CPM

The Connection Between Metrics

CPC = CPM / (CTR × 10). A $10 CPM with 1% CTR gives a $1.00 CPC. Doubling CTR to 2% halves CPC to $0.50. This is why creative quality (which drives CTR) is the most cost-efficient lever in paid advertising.