Cost Per Impression

Cost Per Impression (CPI) indicates the cost incurred by an advertiser for each display of their ad to a potential customer. Since the expense for a single impression is typically very low, this metric is often represented as Cost Per Mille (CPM), which denotes the cost for one thousand impressions.

This metric is essential for assessing the reach and cost-effectiveness of an advertising campaign. It aids marketers in determining whether a campaign is sufficiently reaching its target audience to warrant the investment. CPI is particularly useful for comparing digital advertising with traditional media such as television or print.

CPI is especially important for campaigns aimed at enhancing brand awareness rather than driving immediate sales. For new businesses or products, it plays a key role in establishing market visibility and recognition. It enables advertisers to evaluate the effectiveness of various channels and refine their strategies accordingly.

The cost per impression is not static; it is a variable metric affected by numerous factors. These factors can include the targeted audience and seasonal trends, leading to significant variations in rates across different campaigns and platforms.

Although Cost Per Impression (CPI) and Cost Per Mille (CPM) are often used interchangeably, they primarily differ in their measurement scale and practical usage.