Cost per Mille (CPM) is one of the most widely used metrics in advertising, including influencer marketing. It represents the cost of reaching 1,000 people with your content and serves as a standard way to measure the value and effectiveness of a campaign across different platforms. But while CPM benchmarks provide valuable insights, it's important to understand both their utility and their limitations.
What is CPM in Influencer Marketing?
In influencer marketing, CPM helps brands measure the cost-efficiency of a campaign by calculating how much they are paying for every 1,000 views or impressions an influencer generates. It is often used to compare performance across platforms and make decisions on which channels offer the most return on investment (ROI).
In the table below, you can see our CPM benchmarks ranges based on thousands of bookings conducted through our platform over the last 2 years:
Platform | NOK / SEK | EUR | GBP | USD |
350 - 450 | 30 - 40 | 25 - 35 | 32 - 42 | |
TikTok | 270 - 370 | 23 - 33 | 19 - 29 | 25 - 35 |
Snapchat | 350 - 450 | 30 - 40 | 25 - 35 | 32 - 42 |
YouTube | 550 - 650 | 45 - 55 | 39 - 49 | 51 - 61 |
These benchmarks give you an idea of what you can expect to pay per 1,000 impressions when collaborating with influencers on different channels. For example, YouTube tends to have a higher CPM compared to platforms like TikTok or Instagram, suggesting that it may cost more to reach a similar audience size on YouTube. However, this higher cost often reflects the greater depth and engagement that YouTube content provides.
Why CPM is Useful for Brands
Campaign Budgeting and Planning
CPM allows brands to estimate the cost of reaching a specific number of users on different platforms, making it easier to allocate budgets and set realistic campaign goals. For instance, if your target is to reach 100,000 impressions, knowing the CPM for different platforms helps you predict the cost of each potential collaboration.
Comparing Platforms and Influencers
By comparing CPMs across channels, you can assess which platform offers the best value for your campaign. While TikTok might have a lower CPM, a platform like YouTube could generate deeper engagement, making it worth the higher cost depending on your objectives.
Assessing Campaign Efficiency
Post-campaign, brands can use CPM to measure whether they got good value for their investment. By calculating the actual CPM after a campaign finishes, brands can assess if the influencer was able to deliver impressions efficiently and whether that platform is worth pursuing for future collaborations.
Limitations of CPM in Influencer Marketing
While CPM provides an excellent starting point for understanding costs and reach, it does have its limitations:
Engagement Over Impressions
CPM focuses solely on reach and doesn’t account for the quality of that reach. An influencer might deliver 100,000 impressions, but if their audience isn’t engaging with the content (e.g., through likes, comments, or conversions), those impressions might be less valuable. Engagement rates should always be considered alongside CPM.
Audience Relevance
A low CPM might look attractive, but if the influencer’s audience isn’t aligned with your target demographic, it’s not a valuable investment. It's better to pay a higher CPM for a relevant, engaged audience than a lower CPM for a less suitable one.
Platform-Specific Dynamics
Different platforms excel in different ways. TikTok and Instagram are often great for rapid, viral content, whereas YouTube lends itself to more in-depth storytelling and longer-form engagement. High CPM on YouTube may be justifiable if your goal is to foster deeper connections with your audience, while lower CPM platforms like TikTok might be ideal for quick, high-volume impressions.
Conclusion
CPM is a helpful tool for brands to measure the cost-efficiency of their influencer marketing campaigns. It helps with budgeting, comparing platforms, and assessing the effectiveness of a campaign. However, it’s essential to balance CPM with other factors like engagement rates, audience relevance, and platform dynamics. While a lower CPM can mean cost savings, ensuring the audience’s quality and engagement with the content is equally important for achieving meaningful marketing outcomes.