CPC & CPM Calculator

Calculate Cost Per Click (CPC), Cost Per Mille (CPM), and total campaign spend to maximize your marketing ROI.
Enter any 2 fields to solve for the 3rd
CPC Calculator
CPM Calculator

Whether you are managing Google Ads, Facebook campaigns, or display networks, two metrics dictate the health of your budget: CPC (Cost Per Click) and CPM (Cost Per Mille / Cost Per Thousand Impressions). We built the calculator above to give you instant answers.

What is CPC? (Cost Per Click)

CPC stands for Cost Per Click. It is exactly what it sounds like: the actual price you pay for each individual click on your advertisement.

This is the standard metric for performance marketing. If your goal is to get a user to do something visit a website, sign up for a newsletter, or buy a product you generally want to track CPC. In this model, impressions (how many people see the ad) are free; you only pay when someone shows interest by clicking.

The CPC Formula

CPC = Total Ad Cost \ Number of Clicks

Example: If you spend $500 on a campaign and receive 250 clicks: $500 / 250 = $2.00 per click.

What is CPM? (Cost Per Mille)

CPM stands for Cost Per Mille (“Mille” is Latin for thousand). This metric measures the cost of 1,000 advertisement impressions.

CPM is the standard for brand awareness campaigns. If you are launching a new product and just want as many eyeballs on it as possible, you aren’t necessarily worried about immediate clicks. You just want to be seen. In this model, you pay for visibility regardless of whether users interact with the ad.

The CPM Formula

CPM = {Total Ad Cost \ Total Impressions} x 1000.

Example: If you spend $500 and your ad is shown 50,000 times: ($500 / 50,000) * 1,000 = $10.00 CPM. (Meaning you pay $10 for every 1,000 people who see the ad).

CPC vs. CPM: Which Bidding Strategy is Better?

Choose CPC if:

  • Your goal is conversion: Sales, leads, or registrations.
  • You have a tight budget: You don’t want to pay for people who just scroll past your ad. You only want to pay for engagement.
  • You are testing ad creative: CPC helps you understand if your headline or image is actually compelling enough to drive action.

Choose CPM if:

  • Your goal is visibility: You want to build brand recognition or announce a launch.
  • You have a high Click-Through Rate (CTR): Pro Tip: If your ad is extremely clickable (e.g., a viral video), CPM can actually be cheaper than CPC. If you pay a flat rate for impressions but get a ton of clicks, your effective cost per click drops dramatically.
  • You are running display or video ads: These formats are visually driven and often sold on a CPM basis.

What Affects Your Ad Costs?

  1. Industry Competition: Legal and Insurance keywords often have CPCs over $50 because one client is worth thousands. Entertainment or hobby niches often have CPCs under $1.
  2. Quality Score (Relevance): Platforms like Google and Facebook reward relevance. If your ad text matches your landing page and users engage with it, the platform lowers your costs. If your ad feels like spam, you pay a “tax” (higher costs) to show it.
  3. Targeting: Broad targeting is usually cheaper but less effective. Hyper-specific targeting (e.g., “CEOs in Chicago aged 40-50”) is more expensive but often yields better leads.
  4. Seasonality: Ad costs spike during Q4 (Black Friday/Christmas) as major retailers flood the market with budget.

FAQ

Q1. What is a “Good” CPC?

There is no universal number, but the global average across all industries for Google Ads is roughly $2 to $3 for Search and under $1 for Display. However, a “good” CPC is simply one that leaves you profitable. If you pay $10 for a click but make $50 in profit from that customer, that $10 CPC is excellent.

Q2. Can I convert CPM to CPC?

Yes, but you need one missing variable: CTR (Click-Through Rate). If you know your CPM and your CTR, you can estimate your CPC:

CPC = CPM / 1000 x CTR

Q3. Why is my CPM so high?

High CPM usually indicates a small, highly competitive audience. If you are targeting a very specific group of people that other advertisers also want to reach, the bidding war drives the price up. Broadening your audience slightly can often lower your CPM.

Q4. How do I lower my CPC?

The best way to lower CPC without changing your bid is to improve your Click-Through Rate (CTR). When more people click your ad, platforms view it as high-quality content and often reduce your cost per click as a reward. Improve your ad copy, test better images, and ensure your offer is compelling.

Sources: Omni Calculator, Search Engine Land, Publift, AdLib, DashThis, CalculateCPM, Whatagraph, Integrately, WASK, ConvertCalculator.