To calculate the eCPM:
\[ eCPM = \frac{TAS}{TMI} \times 1000 \]
Where:
eCPM, short for effective cost per mile, is a term used in digital marketing to describe the effective cost of an advertising campaign per 1000 measured impressions. It helps advertisers understand the cost efficiency of their campaigns.
The key difference between eCPM and CPM is that eCPM is the total cost per 1000 ad impressions after a campaign has been run, while CPM is the cost for every 1000th impression when starting the campaign.
Let's assume the following values:
Using the formula:
\[ eCPM = \frac{5000}{1000000} \times 1000 = 5 \text{ dollars per 1000 impressions} \]
The eCPM is $5 per 1000 impressions.
Let's assume the following values:
Using the formula:
\[ eCPM = \frac{2000}{500000} \times 1000 = 4 \text{ dollars per 1000 impressions} \]
The eCPM is $4 per 1000 impressions.