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Active CPM refers to the pricing model where advertisers pay a set amount for every 1,000 impressions their ad receives. These are often used in campaigns aimed at increasing brand visibility and awareness, expanding brand outreach, and focusing on conversions.
Components of Active CPM :
- Impressions:The number of times an ad is shown to users.
- CPM Rate:The cost of every 1,000 impressions.
- Ad Placement:The platform on which the ad appears (e.g., websites, search engines, social media).
Use Cases:
- Brand Awareness Campaigns:These are mostly used for advertisers aiming to get their brand in front of a large audience in less time.
- Display Advertising:Common in banner ads and video ads, where visibility of the ads is the main goal, not immediate actions like clicks or conversions.
Active CPM is a cost-efficient way for marketers to build brand awareness and reach a larger audience in less time. This makes active CPM an essential tool for campaigns focused on visibility rather than direct conversion.
