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CPMV – Cost Per Thousand Viewable Impressions

CPMV, or Cost Per Thousand Viewable Impressions, is a crucial metric in digital advertising that measures the cost incurred by advertisers for a thousand viewable impressions of their ad. As the digital advertising landscape evolves, advertisers are increasingly prioritizing viewability to ensure that their ads are seen by their target audience. CPMV provides a more accurate reflection of the value advertisers receive for their investment compared to traditional CPM (Cost Per Mille) metrics, which consider all impressions regardless of whether they are viewable or not.

To understand CPMV, it’s essential to grasp the concept of viewability. Viewability refers to the percentage of an ad that is visible on a user’s screen for a specified duration. For example, an ad is typically considered viewable if at least 50% of its pixels are visible on the screen for at least one second.

The formula for calculating CPMV is straightforward:

​Here’s a breakdown of the steps involved in calculating CPMV for marketers:

  1. Determine the Cost: The cost of the advertising campaign is the total amount spent on placing the ads. This could be based on various pricing models such as cost-per-click (CPC), cost-per-acquisition (CPA), or fixed rates agreed upon with publishers.
  2. Track Viewable Impressions: Marketers need access to ad serving platforms or third-party ad verification tools to track the number of viewable impressions their ads receive. These tools measure the viewability of ads based on industry standards set by organizations like the Media Rating Council (MRC).
  3. Calculate Viewable Impressions per Thousand: Once the total number of viewable impressions is determined, it’s divided by 1000 to calculate the number of viewable impressions per thousand.
  4. Plug Values into the Formula: With the cost and the number of viewable impressions per thousand in hand, marketers can plug these values into the CPMV formula to derive the cost per thousand viewable impressions.

By calculating CPMV, marketers gain insights into the effectiveness and efficiency of their advertising campaigns. A lower CPMV indicates that advertisers are paying less for every thousand viewable impressions, making it a desirable metric for optimising ad spend.

Additionally, CPMV allows marketers to make informed decisions when comparing the performance of different advertising channels or placements. For example, if one advertising platform offers a lower CPMV than another, marketers may choose to allocate more budget to the more cost-effective platform to maximise their return on investment (ROI).

Furthermore, CPMV can help advertisers identify opportunities for improving ad creative or targeting strategies to enhance viewability and engagement rates. By focusing on increasing viewability, marketers can ensure that their ads have a better chance of capturing the attention of their target audience and driving desired actions such as clicks, conversions, or brand awareness.

In conclusion, CPMV is a valuable metric for marketers in the digital advertising landscape, providing insights into the cost-effectiveness and performance of their campaigns. By accurately measuring the cost per thousand viewable impressions, advertisers can optimise their ad spend, improve campaign efficiency, and ultimately achieve their advertising objectives.